DETROIT – Four years ago, a couple of brothers came up with the idea of creating a video online web site to play each other for money. On Sept. 15, GamerSaloon.Com launches its Madden 11 Tournament with $5000 in cash prizes up for grabs.

The site has attracted some 300,000 members who have won nearly $5.8 million, including $1.2 million during the first six months of 2010. The company was founded by Southeast Michigan gamer Gabe Rubin, who with developer Noah Krugel, have assembled a team of five full time employees and a dozen part timers. It’s a division of Beyond Gaming LLC.

GamerSaloon.Com offers both free tournaments and tournaments with entry fees. Players deposit money into their accounts using a credit card or PayPal account. They use their consoles or PCs to play their opponents online and then post the results to the website, leaving feedback about their opponent?s skills and sportsmanship. Where challenges involve a cash prize, as determined by the player, the winner takes all. GameSaloon.Com earns a 14 percent service fee.

Rubin says his business model has been vindicated by none other than billionaire Richard Branson who founded Virgin Gaming in July.

“It has already drawn international attention to the industry,” Rubin said. “”irgin can use its brand name and marketing power to build awareness of this segment of the video game market, which is so crucial.”

To compete at GamerSaloon.Com, a member has to be 18 years old. Since the tournament is skill based, it is not considered a gambling site, said Krugel.

“We offer multi-player tournaments,” he said. “You find a competition you want to join, pay an entry fee using your PayPal account and enter the tournament. If you win, your winnings go into your account. You come back to the site and report the results of the game. You can provide feedback against opponent, and players develop a public profile.”

Eric Fisher, 19, a business student at the University of Harford, is GamerSaloon.Com?s top money winner, he said. So far he’s pocketed $18,000. He’s been playing since 2008.

“It’s probably the best gamer site on the web,” Fisher said. “There are so many people on it. You can get a game in less than five minutes. I’ve made the most money on the site. In the summer, I played whenever I could. I made $5000.”

Fisher said he’s one of the top 30 players in the world. His all time record is 6000 wins and about 200 losses.

“I go to tournaments around the world and GamerSaloon reimburses my expenses,” he said.

Josh Bland, 24, of Ashland, Ohio, has been playing on GamerSaloon.Com for three years. He said it’s the best site he uses to play Madden 11, the most popular game to play for money. He said he wins from $1000 to $2000 each month. During football season, Bland said he makes $1000 to $2000 in a day.

“I’m a stay at home dad so this is something for me to do during the day,” he said.

What he likes best about GamerSaloon.Com is it becomes the middle man that holds the money for the players.

“Players from Madden 11 wanted a place to play safely,” Bland said. “It’s also a good way for bad players to play the best and figure out how to get good. I took my lumps when I started out.”

He also likes the online support provided by GamerSaloon.Com. Plus, he said, the site doesn’t bombard him with pop-up ads, since it is advertising free.

“The only thing they could work on is recruiting,” he said. “It’s hard to figure out new ways to get the word out. Probably tens of millions of people playing Madden who don’t know about GamerSaloon.”

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