3 replies to this topic

[Laurie]

Has anyone had or know of someone involved with a 24seven franchise?

I really want to get into the business and am afraid to lose my money.

Any advice would be appreciated.

Thanks.

[deluxe1668]

Well, it is your lucky day! I just talk to the Regional Director of 24Seven franchise.
I was also looking into that business.
Well, these are what I found out.
They give me 66 machines in 19 locations.
The machines are lease not yours to own. (BAD BAD BAD)
$237,000 for the franchise fee up front!!
They want 10% of the Monthy Sales Revenue as Royalty fee.
10%-12% site location expenses per month from Sales.
$3.75/machine Tech. fee (Internet control program) per month.
It added up around 25% of your profit are going to 24Seven right there!!
39% Cost of goods, u have to buy from them.
I don't know about you, but for me is 6% sales tax to pay.

Although they guarrantee $350,000 per year of sales.
So here is the Math, after all the expenses up there and (storage, gas, labor, truck cost and maintenance expenses), and all the fees deducted from the sales, then tax to pay...
I will ended up making $850 net income per week!! Don't forget your personal income tax!! Meaning Socal Security and all that jazz!

What a Joke!!! I walked away!

They sell you more $4000 per machines, and it is old machines not new!
And is not yours to own!! You basically pay $200k to work for them!! hahahaha...

If you want to expand the route, pay another franchise fee for that!!! Another $100k-200k!!!

Contract expires in 10 years. Crazy!

Here you go. Hope you make a wise decision.

[Laurie]

I can't tell you how much I appreciate your response. But, disappointed on how much gross I would get if I was to buy that franchise.

I really want a lucrative business to support myself and kids my goal is a nice size vending business.

I just purchased a small bulk candy route and love it. I do however, want to get into bigger and better things...

So, what's your next step and do you think once I buy the larger vending machines and find locations will I make a nice profit?

Hope to hear from you...

[deluxe1668]

Well don't know if you check out the site called http://www.businessesforsale.com/

You can search all the vending related companies that are for sell in your location. But please do all the reseach before signing the dotted line. Check from your local government if it is a existing company or not, check all the machines if it is really are there, all the books etc etc... So much scam out there you know.

Locations, locations, locations!! No matter how big is your machines if the place is dead, the place is dead. hahaha...

Want to expand? Go out and get more accounts! More accounts more profits.
There're no rocket science formula here... hope it helps.