Ok, hypothetical situation here. Let's assume there are no makeup agreements. The backer stakes the horse $5,000 agreeing on 50/50 for the profits. Say the horse runs it up to $10,000 and decides he want's to take a shot on his own with the $2,500 that is his. So he pays the backer $7,500. Now let's say he loses his $2,500, so he goes to the backer again asking to get staked. What does the backer do? Give him $5,000 again? What if they start a new stake and the horse loses $5,000? Now the backer is stuck $2,500 even though the horse is technically breakeven overall since they've been doing the stake. So do people usually keep track of old stakes and resume them rather than starting them all over in the interest of the backer?

Sorry if this is a stupid question. I'm new to this and want to avoid any issues with my friend. Also how do people usually go about it if the horse is using his winnings to cover living expenses? Say he's up $1,000 and spends $250 on gas or whatever. But then loses $750. How is he gonna pay the backer $125 since he's now back to what he started with? Is that what you would call "makeup?"

Thanks for taking time to answer a newbs questions and if this is the wrong place feel free to move it.

hi there!

- about taking shots with own money, this its something u need to talk with ur backer, most staking deals are for certain amount of games/time so horse its not able to leave the stake untill this games or time its done
- about living with stake money, most cases this sint allowed, stake money/winnings are just part of the stake, meaning that u cannot take money from the stake to cover live expenses, unless u talk to ur backer and he agrees with this (wich prob he wont coz he will be loosing money) stake its only for playing not for something else.

Dont worry about stupid questions better to ask than make a big mistake

gl!

The best approach imo is 50/50 split, with makeup, and weekly or bi-weekly cashouts for the horse if they are in profit. Makeup means if the horse loses than any gambling income first goes to cover losses.

Thanks guys. He's ok with me using some for expenses. I think the way we will treated is, if I'm up a total of $1,000 on the stake but I spent $800, we will treat the $300 I can't pay him like makeup (not debt). So as long as he's willing to bankroll me then I have to play for him until I can pay the full 50%. How's that sound?

it sounds like its going to lead to a lot of trouble.