Since the introduction of betting exchanges such as Betfair and Betdaq, a new dimension of betting has been introduced.

Betting exchanges do not only allow the punter to back a selection, but also to 'lay' it. While backing an outcome would pay out upon that selection's success, a layed bet would pay out on any result other than that success.

For example when 'backing' horse 'A' in a race between 'A', 'B' and 'C', your bet will win if horse 'A' wins. However laying that horse would payout if either horse 'B' or 'C' win.

This creates a role reversal and allows you to accept bets, much like your highstreet bookmaker.

One thing to understand when laying a bet is the shift of odds. Obviously if you walked into a bookmakers and placed £10 on a 10/1 bet, you would stand to lose £10. However, the bookmaker would stand to lose £100.

So, you will notice that the odds are completely reversed.
A 5/1 bet would give odds of 1/5 if you were to lay it.

Betting exchanges however, do not use fractional odds so you may need to use our odds conversion tool. In addition to this, due to the high liquidity that is seen on exchanges, odds offered constantly fluctuate. This gives uneasy odds such as 2.36 which may cause complications when guaranteeing profis on sports bets.

Another thing to note when laying, is that your losses are worked out with a 'liability' as opposed to a 'stake'. Taking Betfair as an example, when selecting which bet you would like to lay, your stake and liability will appear on the right hand side. The 'stake' that you select is the value that you are acceptng and therefore what you stand to win. Your 'liability' is shown further on the right. This is the amount you stand to lose. You can alter the odds on the left hand side of the section which will automatically adjust the liability size.

Please read our 'Guaranteeing profit' section to learn how to incorporate this style of betting and guarantee profits on all bets.