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How Much Can You Make from a Vending Route?

How Much Can You Make from a Vending Route?

But many people get in the industry to make extra money part time. Individual route owners are more likely to purchase mechanical or combo soda and snack machines -- as opposed to the large electronic machines that vending corporations own. The smaller units don't hold as many products as the large electronic ones, so the profits are smaller. Whatever products vending route owners sell, their average annual salary is less than $25,000.

Salary and Qualifications

Vending route owners' salaries are based on the profits they earn, as many are sole proprietors. In 2013, vending route owners earned average annual salaries of $24,000, reports the website Indeed.com. Most of these entrepreneurs have at least high school diplomas, although a formal education isn't required. They do need the funds to purchase vending machines or existing routes, which can range from several hundred to tens of thousands of dollars. Some people finance vending machines through bank loans. Other essential requirements include persistence, business savvy and customer service and math skills.

Salary by Region

Average salaries for vending route owners vary by region. In the West, in 2013, they earned the highest salaries of $26,000 in California and the lowest of $17,000 in Hawaii. Those in the Northeast made between $21,000 and $29,000 per year, respectively, in Maine and New York. Vending route owners earned $18,000 to $26,000, respectively, in South Dakota and Illinois, which were the lowest and highest salaries in the Midwest. In the South, they made the most in Washington, D.C., and the least in Louisiana -- $28,000 and $21,000, respectively.

Contributing Factors

A vending route owner's salary is contingent on the number of machines she purchases and places in the market. It isn't unusual for bulk vending machine owners to place several hundred machines in various retail establishments throughout a city: beauty salons, auto dealerships, grocery stores. Bulk vending machines dispense gum, peanuts or candy pieces for a quarter, for example. Soda and candy machines usually yield higher profits but cost more to operate. These kinds of vendors often hire professional locators to place their machines in higher-traffic areas, an important factor in earning money in the vending industry. Vending route owners may own coin laundry machines and electronic video games, which can yield considerable profits in apartments and recreation centers.

Job Outlook

The U.S. Bureau of Labor Statistics doesn't forecast jobs for vending route owners. It does project a 17 percent increase in jobs for retail sales workers through 2020, versus the 14 percent growth rate for all occupations. Opportunities for vending route owners should be commensurate with retail sales workers because both are in the retail business. Vending route owners may enjoy higher sales if the economy continues improving. They will likely find more opportunities for expanding their businesses in high-growth areas.

By http://work.chron.com/

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