In the world of big business and high finance, casinos may not seem like they need an accountant or finance major. On the other hand, with the rise in popularity of casinos and the rise in their stock prices, these companies are now a multibillion dollar industry. If you are having doubts about why casinos need finance majors, here are some reasons why casinos need such professional to thrive as a business.
Casinos are in the Business of Making Money
They want to attract patrons who will spend as much money as they can in the casino.
However, casinos don’t want to risk their business model by taking on too much debt, or by making bad decisions that could bring their business to its knees.
Casinos need finance majors to help them properly manage their cash flow, as well as their debt. In order to make the best use of the money they have, and decide whether or not to take on more debt, casinos need finance majors who understand risk management.
These goes for online casinos as well, not only do they need IT majors, they also need finance majors to keep their site running, that’s how online casinos are standing strong.
Finance Majors are Adept at Risk Management
For the most part, casinos are businesses that see a lot of risks. They are taking bets on blackjack and roulette, where the odds are typically in favor of the house. In addition to that, they also take bets on sports and horse racing, where the odds are typically in favor of the better. As a result, casinos are always at risk of losing money.
Finance majors understand how to manage risk. They can advise casinos on how to make smart business decisions so that they don’t take on too much risk. Finance majors can also help casinos mitigate risk in some of their other ventures.
Finance Majors Understand Basic Accounting Practices
Casinos need to know how to properly value their assets and liabilities, and also how to assess their profit and loss.
Finance majors have these skills at their fingertips, as they are a core component of the accounting and finance degree. Casinos need to understand their bottom line. This is particularly important for casinos that are publicly traded, as they must report their earnings to shareholders on a regular basis, and must understand those earnings.