Vending Machine Business?

[J Grant]

Idk but like most businesses with a relatively cheap buy in, probably best suited for a retired person who is okay with a couple of hundred a month.

A friend of a friend did it a few years ago and paid 30k for two machines/locations, sold the machines for 15k two years later after concluding the small amount of $ was not worth the drive time, gas money, physical labor to restock and repair etc.

If a buy in new from a vending company which over promises only gets half $ when resold on the open market, is a clue-

 

[DTB]

One bent coin puts you out of business until removed. One criminal with a laminated bill and string rips you off.
One vandal with epoxy glue stops up the money slot.

One appraisal short of contract price, lost client. One homeowner complaint, lost client.
Your point? That there are risks involved?

 

[EddieB]

I appraised a property for a guy in the vending business. He and his buddy had just a few trucks and were making a very good living. It is all about location, easy concept.
I also appraised a property for a guy in the waste business. Similar small operator but way bigger house and fleet of muscle cars. But then again, I was offered a package of pay phones for a low price. Glad I steered clear of that business model...

 

[alebrewer]

Valuation? No idea but machines are cheap, locations are valuable.

This. I'd expect location to be WAY more important than age of machine (assuming working order).

 

[glenn walker]

Its the repairs and parts thats critical, unless you know how to repair them yourself you cant make any money-Of course old machines are in a constant state of disrepair .

 

[ramrcdk]

Instead of a Vending Business...
How about "the FREE Cell Phone giveaway" (bait) out of the back of an old beat-up van in a Food Lion parking lot
offering cheap cell service TOO (hook).
Innocent & Dumb (grocery goers') stood in line to likely get their ID stolen for the crap phone/service.

 

[BRCJR]

One appraisal short of contract price, lost client. One homeowner complaint, lost client.
Your point? That there are risks involved?

No particular point being made.
Just personal insight to the vending business.

 

[Terrel L. Shields]

Most vending machine operators guard their business rather jealously and it's almost a mafioso type operation. People get beat up trying to encroach upon another persons territory. But the value of most businesses is a multiple of the income and a book on valuing a business is valuable.

 

[glenn walker]

Kinda reminds me of my two stupidest business ventures Uncle Billy talked me into . A Laundry Mat and the Dead Hooker Motel as we named it on old Route 66 in a crime infested part of town. Dont know which was worst-65 washers and dryers breaking down or the weekend fights at the motel : )

 

[Sandra Koutsopoulos]

Seller is retiring, pitching his 6 machines for $1,000 apiece ($6000), but shows only $2200 yearly gross including product. Doesn't make sense to me. Shows erratic income, sometimes zero, sometimes $300/mo. Weird. 3 are soda, 3 are snacks. I see nothing in his spreadsheets regarding cost of electricity for cooling the sodas. This has been an interesting conversation. Looks like #1 is foot traffic location, #2 is security, and the rest is maintenance, servicing & contracts.