Operations

Business & Compliance

How to operate Pennsylvania Skill machines like a disciplined business system. This chapter covers setup, contracts, cash controls, signage, logs, audits, staff training, and risk management. Educational content only, not legal advice.

Operators

Compliance

v2.0

Setup Guide Legal Landscape Payout Structures

Introduction

Treat machines as a system with inputs, levers, and outputs. Inputs: cabinet, power, network, staff time. Levers: signage, logs, cash controls, maintenance. Outputs: uptime, dispute reduction, sustainable revenue.

Principle: “If it is not written down, it did not happen.” Build paperwork into daily habits.

Location Readiness

Physical

Dedicated 120V outlet with surge/UPS.
6″ ventilation clearance; low glare placement.
Camera coverage of cabinet and counter.

Operational

Ticket stock on hand; test print daily.
Bill acceptor clean; reject rate monitored.
Ethernet preferred; Wi-Fi secured if used.

Prepare once. Most downtime traces to power, heat, or loose cables.

Contracts & Revenue Share

Define roles between venue and vendor in writing. Avoid handshake ambiguity.

Clause	Purpose	Notes
Revenue Split	Share of net after payouts	Define calculation and schedule
Service Levels	Uptime target, response times	Include parts and labor coverage
Ownership	Who owns cabinet and peripherals	Serial list as exhibit
Compliance Duties	Signage, logs, ID checks	Assign responsibility
Security	Anchoring, keys, camera	Loss allocation
Termination	Notice, cure periods	Data and asset return

Educational summary only. Use counsel to draft or review venue agreements.

Signage & Responsible Play

Minimum Set

21+ age restriction sign, visible at machines.
Responsible play notice: entertainment, not income.
House rules: ticket redemption, hours, ID policy.

Helpful Extras

One-paragraph explainer: “RNG base + skill prompt.”
Quick tips: take breaks, set limits, small wagers.
Contact for questions or disputes.

Clear, consistent signage reduces disputes and shows good-faith compliance.

Cash Controls & Reconciliation

Step	Action
Open	Count float, test print, record starting meters.
Mid-shift	Spot-check meters vs. cash drawer; restock tickets.
Close	Collect acceptor, print meter report, reconcile variances, two signatures.
Weekly	Deposit, archive reports, review anomalies with owner.

Two-person counts and signatures lower shrink and protect staff.

Logs, Records, & Audit Pack

Daily Logs

Open/close checklist with initials and time.
Meter readings and ticket stock.
Incidents: jams, disputes, inspections.

Audit Pack

Serial list, firmware/app versions.
Photos of posted signage and placement.
Last 90 days: meter reports, cash sheets.

Back up digital copies to cloud or USB weekly.

Tax & Reporting Basics

Track revenue accurately and consult a tax professional regarding applicable taxes or fees in your jurisdiction.

Maintain separate ledger for machine receipts and payouts.
Retain invoices from vendor and bank deposit slips.
Reconcile weekly and monthly; keep year-end summaries.

This site does not provide legal or tax advice. Use licensed professionals.

Staff Training & SOPs

Frontline 10-Minute Brief

Check ID when uncertain; enforce 21+.
Explain basics: “random draw, then skill prompt.”
Show ticket cash-out and redemption policy.

Manager Tasks

Daily checklist supervision and signatures.
Variance review and escalation tree.
Quarterly refresher training and firmware notes.

Short, repeated drills beat long manuals. Rehearse printer jam and cash-out scenarios.

Risk, Security, Insurance

Security Controls

Anchor cabinets; limit key access; label cables.
Cameras on cabinet and redemption counter.
No public cash pulls; use back office.

Insurance & Contingency

Confirm coverage for equipment and cash on premises.
Document serials and take dated photos.
Keep vendor support and policy numbers accessible.

If a dispute occurs, stay calm, follow house rules, document facts, escalate to manager.

Policy Monitoring & Updates

Rules evolve. Assign one person to track updates and refresh signage and SOPs accordingly.

Review policy news monthly; update audit pack if needed.
Reprint any outdated signage immediately.
Log all changes with date and staff initials.

Consistency demonstrates good-faith operations during inquiries or inspections.

FAQ

Do I need special licenses?

Requirements vary by jurisdiction. Use local counsel for specifics. Keep signage and records current regardless.

How should we handle inspections?

Produce the audit pack, answer factually, record inspector name/time, and note any requested changes.

What ends most disputes quickly?

Clear house rules, posted paytables, printed logs, and calm staff trained on ticket redemption.

Who should sign cash counts?

Two people. Dual signatures reduce errors and protect staff.