Google+

Admin Admin,

Vending Business Tips

Vending Business Tips

Many people turn to vending for a business venture. However, you should know things in advance about vending. Avoid purchasing machines from out-of-state suppliers. They tend to jack up their rates, and some have been known to rip people off. You can easily find vending machines at large wholesale stores in your area. Also, consider purchasing an existing route, as the machines are already located and likely turning a profit. Choose Right MachinesMost people who go into vending do not realize how often machines break down. This can get expensive if the owner does not know how to repair the machines himself. Therefore, choose bulk vending machines if you want machines with less workable parts. These are machines where you pay a quarter or 50 cents and receive a handful of candy or nuts. The three-headed bulk machines will allow you to sell more variety like two types of candy and nuts. If you want larger machines, your options are the large, electronic machines and mechanical ones. The electronic machines can cost $3,000 to $5,000. Instead of buying them, contact large soft drink companies in your area. Sometimes, these companies have existing routes where the machines are supplied for free. You just pay for the products and service them. Your best bet for mechanical machines are the combo machines, which vend candy and drinks together. Start small and gradually add more machines as your revenue increases, according to A Touch of Business.com. Locate Machines in High Traffic AreasLike real estate, location is everything in vending. Select locations that generate a lot of traffic, including beauty salons, car dealerships, doctors' offices, business offices and even auto repair places. Locate your machines yourself and avoid using a locator. Locators will likely charge you $100 or more per location. Offer the business owner or manager a small percentage of the profits, as this may be required to secure the better locations. Another option is to donate part of your earnings to a charity. Get decals from that charity and put them on your machines. Find Best Wholesale Cost for ProductsShop at large wholesale food places in your area to find the lowest unit cost for your candy, drinks or both. Purchase your products locally so you can avoid shipping costs, which will drive your unit costs up. Shoot for at least a 100 percent to 200 percent return on your products. For example, if one unit earns you $50 per month, your product costs should be in the $12.50 to $25 range. Remember, you are not just paying for products, but also gas as well as wear and tear on your vehicle. It will take your some time to figure your exact return on investment. Look for special sales on candy items and drinks. Service Machines RegularlyService your machines as often as you need, but do not let your machines run out of product. Most vending machine operators visit their locations once or twice weekly. Bulk vendors will usually go less often. Empty the money from your machine into a money bag or envelope. Fully stock your candy and drink machine. Fill your bulk machines up about two-thirds or slightly less to keep product spoilage rates down. Clean your machines each visit because dirty machines will turn some people off. BY SMALLBUSSINESS.CHRON.COM

0

0

Leave a Comment

You should login or register to leave a comment

No Comments  /  484 Views

Twitter Facebook Pinterest Google Plus Linkedin