Withdrawals will be charged for. Why?

Listen this article:

The purpose of this article is to explain the compulsory measures that we have been compelled to take in order to avoid inappropriate expenses, which were incurred due to the unreasonable behavior of some of our small-scale investors. We hope this article will serve as a clear and concise explanation for the charge, who it affects, and why it has been imposed.

Sportarbs International Corp. has extensive experience in the business of arbitrage betting. We have studied the peculiarities of working with bookmaker's offices more thoroughly than any other company of which we are aware.

During the last few months we have been actively attracting investments in order to increase profits and offer our investors further possibilities to invest their savings more profitably.

As you may be aware, almost all betting agencies charge for the withdrawal of money. Furthermore, each payment system charges a commission for transfer, each bank charges a commission, and any further intermediates levy a fee for services rendered. Initially we calculated that extra expenses would amount to no more than 20% of our profits (as stated on our homepage). But these calculations were made on the assumption that most payments would not be within the range of USD 0.05 to USD 5. In addition to the commission charged as a percentage, each party (bookmaker's office, bank, exchange office, etc.) has a minimum charge irrespective of the rate of commission. To clarify this point, consider the example of a wire transfer: When you transfer USD 100 and USD 10,000, the cost of the commissions is almost the same. Accordingly, if we operate with large amounts, the total of our expenses incurred on a percentage basis is less than if we were to operate with small amounts.

Some of our investors were withdrawing amounts that were too small to cover the minimal costs incurred as commissions. These costs exceeded our 20% operating margin. However, if we delay payments for 3-4 days, this may cause dissatisfaction among our investors. Besides, this would not deter those who act for the benefit of illegal investment funds, working what are known as Ponzi schemes. Such people seek to heat up tension using forums; their purpose is to attract investments into the investment fund in the interests of which they act. This is easy to deduce by noting the links in their forum signatures.

Our expenses were higher because of those who wanted to withdraw very small amounts daily. We introduced a rule for all investors that withdrawals should be of at least USD 5, but some investors chose to disregard this rule. Consequently, for a while we rejected all requests to withdraw less than USD 5, in the hope of putting an end to the activities of those who would make daily withdrawal requests for small amounts. But this resulted in threats towards us when, for instance, someone couldn't withdraw an amount of USD 0.05 (yes, five cents!). This is absurd, but the truth sometimes is.

We considered several options as to how to solve this situation with expenses. One of the proposed options was to increase the charges (reserve) for expenses from 20% to 35%. This 15% decrease in profit for all our investors would still leave our rate of return as attractive, but it would be a negative step and counter productive to our attempts to maximize the profits from arbitration. Additionally, we had to bear in mind that extra expenses were resulting from the actions of only one category of investor, making extremely small withdrawals. Accordingly, we rejected this solution because we decided that it was unfair and detrimental to the serious investors.

Another option considered was the possibility to pay for such expenses from the company's profit. But this option was rejected too, because our company (like many others) has plans for development and we can secure this development only from our own profits.

We ultimately decided that, acting for the benefit of all our investors, we would apply a charge for each withdrawal. This measure will have no detrimental effect on the profits of the investors who have invested more than USD 100 (a sum which, at a daily return of 2%, is sufficient to cover the charges for withdrawals) and withdraw their money in amounts over USD 5, no more than two or three times a month.

Investors who have invested very small amounts, and who make very small withdrawal requests daily, are advised to fill their accounts up to the amount of at least USD 100. Furthermore, they should invest this money for a minimum of 42 days, being the duration of our software's investment plans. Based on this minimum investment amount and term, we shall be able to earn money, necessary to compensate extra expenses incurred and our investors will be able to enjoy the handsome profits available through our method of working the arbitrage market.

We hope you will understand the necessity for these compulsory measures.


Sportarbs International Corp.