Since we are always reading about the huge success story that is online bingo, we have been surprised this week to hear of a few online bingo sites that appear to be struggling.
Despite an increasing number of players registering every day at many sites, it would seem that the likes of Buckingham Bingo and bingo.com are finding it hard to meet their financial responsibilities. Of these two stories, we at the Hideout were surprised to hear that a site like Bingo.com which has the strongest and most searched domain name in bingo online was finding it hard to make ends meet. The truth is however that in the light of the recession even this American based site was finding it hard to offset profit against the severe taxation that plagues the gaming industry.
On the brink
The Daily Telegraph also reported of trouble at Buckingham Bingo the privately owned operator of 12 bingo clubs this week, saying that the site’s owners were currently in talks with their banks over a possible breach of their interest cover covenants. With a reputed full year pre-tax loss of £88.7m the paper reported that their status as a going concern is now at risk and while they have “adequate resources to continue in operational existence for the foreseeable future” Buckingham Bingo is officially in dire straits.
Up and running online
This news comes as even more of a surprise when you consider that this group has just launched the new Bucky Bingo site. Whether or not the online version is hoped to recover some of the losses seen in the live halls or as a replacement to these in the future is uncertain, but we at the Hideout would like to think that after the positive words from Paul Talboys and the change of law regarding category B3 machines it’s possible that both can co-exist at a later date if the halls manage to hold on for the short time.