Definition
A limit is the maximum stake a sportsbook accepts on a bet. If a market has a $500 limit, the book will take up to $500 on that selection, but not more in a single accepted wager. Limits can differ by sport, league, market, timing, account, and price.
There is no special betting formula for a limit. It is a stake cap. The payout math still follows the odds. At -110 odds, profit equals stake / 1.10. At +150 odds, profit equals stake x 1.50.
Worked Example
A sportsbook posts Eagles -110 with a $500 limit.
If you bet the full $500 at -110, the potential profit is:
$500 / 1.10 = $454.55
Total return if the bet wins:
$500 stake + $454.55 profit = $954.55
If you try to bet $800, the book can reject the wager or offer only $500 at that price. The extra $300 is not accepted unless the book raises the limit or offers a separate approved wager.
Why It Matters
Limits affect whether a bettor can actually place the stake their model recommends. They also help compare books, because a good price with a tiny limit may be less useful than a slightly worse price that accepts the full intended stake.