I received a spreadsheet last month from the love child of Albert Einstein and Carole Vorderman! Yes it’s my old mate Mr Tefal Head! He followed up with a phone call as he was currently

sitting on £4,200 after starting with £480, and this was all down to a staking plan rather than a selection strategy.

I asked him to share the details and was shocked to learn that when he started with the £480, his daily target was just £2.20! Highly achievable and once again utilising our old friend compounding. What’s his current daily target with £4,200? A measly £18!

Let’s look at it this way: what if I told you to turn 480 into a 5-figure sum in 3 years? You’d naturally say, “I can’t do that!” BUT what if I told you to start by making £2.20 in your first day, £2.21 in your second day? Now that is possible!

The Secret’s in The Staking …

You see, Tefal Head’s aim was to start with a relatively small betting bank and grow it daily and then get on with other things. He was already aware of my idea regarding making 1% or 2% daily (this is something that The Pegasus Racing Club is also achieving) – small consistent drip-fed profits for huge potential LONG TERM gains.

But Tefal felt that when the betting bank grew, the 2% figure becomes too big. Take his current betting bank of £4,200. In order to meet targets if operating a 2% of betting bank profit per day, then he would have to make £84!

Contrast this with his new 3-year plan. In order to meet his targets with the new staking plan, he will have to make £18 with a £4,200 betting bank! Psychologically this is immediately far more manageable than £84, which the subconscious may pick up as being a little too near £100!

I’m so excited by this staking plan and its application, specifically with the betting exchanges that I have started using it myself. I am confident in my ability to make £2.20 or thereabouts per day with £480, given our abilities to trade and lay on the exchanges. I just need the services of Miss O’Whiplash to help with my discipline to work the plan!

So How Does it Work?

The staking plan is simplicity itself. For my example, I will use an initial sum of £480. Follow the steps below and translate the calculations onto an Excel spreadsheet

STEP 1: Take your initial seed money and divide it by 2. In my case, £480 is my initial seed money. Divided by 2 = £240.

STEP 2: Make 2 columns (A and B). In column A, we have £240 and in column B we have £240.

STEP 3: The goal with column A is to make £1 per day, NOT 1% per day, but £1.

STEP 4: The goal with column B is to make 0.5% per day.

And that’s it! Here’s what the columns should look like.

COLUMN A

£1 per day

COLUMN B

0.5% of betting bank per day compounded £240 (0.5% compounded simply means that, say, in Day 2, we look to make 0.5% of Day 1’s £240 + 0.5% = £241.20. So in Day 2, we seek to make 0.5% of £241.20, rather than £240).

COLUMN C

Total

COLUMN D

Target profit

To make things easier, I have the Excel spreadsheet available to forward to you, so email me at clive@whatreallywinsmoney.com (note my new email address!).

The ability to break large targets into small manageable chunks is really the key in not just this task but in any task. It makes it psychologically far more appetising.

A Few Tips . . .

I feel the key to this strategy will be trading on Betfair, be it football or horse racing. Waiting for the right opportunity, taking your profit, and leaving the task alone for the day is important. Lay the 0-0 in a game with likely goals – that kind of bet. Discipline and patience I’m afraid are prerequisites, as is a degree of lateral thinking. If you’re looking to make Day 1’s target of £2.20, and you have £2.20 in cash lying around, why not put that cash to one side and tick off Day One. There’s no law saying this strategy must be solely betting based!

Tefal Head for instance saves his tips as a taxi driver and ticks off the equivalent boxes in the spreadsheet, or he will look to take his profit through trading one or 2 predefined markets. He only ever looks to make 1 day’s target per day. I know that sounds obvious but some will want to speed the process up, and in so doing, incur more risk to try to ensure more gain.

Remember this system is a battle against the bookies best pal and your sworn enemy: GREED! You can also set weekly targets instead of daily targets. If starting with £480, in 7 days we would be looking to make £2.20 + £2.21 + £2.21 + £2.22 + £2.22 + £2.23 + £2.24 = £15.53.

BOTTOM LINE

Fund managers go barmy if they make 10% a year, but it’s entirely within your grasp to do this yourself. I would go so far as to say you could make 10% per month. Imagine that and divide it into small daily chunks. E.g. £1,000: target 10% per month = £100. £100 divided by 30 = £3.33 per day. I put this forward for you as it may spark something in you to excite you as to the potential of such a simple staking plan, married perhaps with a selection system, you are already using which is profiting (you can always put this £480 separate, and if you are profiting from your betting activities, siphon off the daily profit target and add it to the separated £480).

Remember you can use any money lying about – scrimp on that can of Coca Cola you were going to buy or that chocolate bar, because that 40p or so, from a compounded perspective, is worth its weight in Yorkie bars!

If you want some ideas on markets and strategies let me know. In the meantime give it a go!