Until recently, sportsbooks were only legal in Nevada. Now, 30 states have legalized sports betting and offer some form of online or mobile access. The first step in running a sportsbook is researching the industry and finding out what features your competitors have. Once you’ve done that, you can decide what features to add to your sportsbook.

Creating a sportsbook requires significant investment in terms of time and money. But it can be very rewarding, especially when your app starts to generate real revenue. Before making any decisions, however, it is important to consider the legal implications of sportsbook ownership in your jurisdiction. It’s also important to consult a lawyer to make sure your sportsbook is compliant with all relevant laws and regulations.

Sportsbooks make money by accepting bets on different occurrences in a sporting event. They then pay out winning bettors from the funds that they receive from losing bettors. A sportsbook sets odds based on the probability of a certain event happening, which allows bettors to choose whether they want to bet on the underdog or the favorite.

While some whitelabel sportsbook providers offer a wide variety of customization options, they often come with some limitations that may hamper your business growth. For example, they may limit the number of available leagues to bet on or the types of betting markets that you can place. In addition, some whitelabel solutions require you to stay coupled with them for years and wait months before they introduce new functionality. This can be a major blocker if you’re looking to grow your user base and develop an engaging experience for them.