Makeup
Makeup is the amount of money a player has to win before the backer begins to share in the profits. It is the total of the backer's investment that has not been recovered yet.
The simple explanation
In staking, a backer pays for a player's buy-ins and receives a share of the winnings. If the player loses, the loss does not vanish: it is added to the makeup, and the player must win it back before the profit is split again.
A closer look
Makeup is important in long staking deals. For example, a backer puts in $10,000 and the player loses $4,000. The player owes $4,000 of makeup, and the next $4,000 of profit goes to the backer first. Some deals reset the makeup after a set period, and others carry it forward without limit. Players should make sure to agree on the makeup terms before they start.
A practical example
A backer invests $10,000 in a player with a 50/50 deal. After the player loses $6,000 in some tournaments, the makeup is $6,000 and the player must win that before any profit is shared.
Full explanation
Makeup is the amount of money a player has to win before the backer begins to share in the profits. It is the total of the backer’s investment that has not been recovered yet.
Makeup is the loss that a staked player must win back before sharing profits.
It protects the backer from the player’s losing streaks.
The terms should be agreed in advance.
It is used in staking and backing deals.
Alternative spelling: make-up, make up