5 replies to this topic

[kryan]

I'm looking to start a vending business and was wondering if the business below sounds like a good possibility?

http://chicago.craig...2909935720.html

Thanks for any imput.

[H4UV]

Maybe offer $7000? The machines are probably worth at least $5500. From what he has pictured, they are excellent machines. I don't really like that 1800 or Genesis combo machine, whatever it is. But the rest are good machines. I would go to each location and check each machine, make sure they work. Ask to see proof of the weekly sales.

[kryan]

Thank you very much. I appreciate your input.

[vend1ng]

I'm looking to start a vending business and was wondering if the business below sounds like a good possibility?

http://chicago.craig...2909935720.html

Thanks for any imput.

There are only 4 pics, What are the other 2 machines. Also I didn't see any permits or tax stamps I don't know what I assume is Chicago areas requirements. I can't see what prices are being charged. Just guessing 7,800.00 on 1,100.00 sales your looking at (on a 28% net) 25 month payback. Thats if hes getting prime prices. The glass front bottle machine and snack machine I'm going to guess are at the same location and are probably doing a large precentage of that sales. If not its way over kill. The glass front beverage machine is not a good primary drink machine it doesn't hold enough product he has way to many selections to be a profitable machine it is good as a secondary machine if a location requires it. The combo machine is probably a total waste (it would work in a mother inlaws beauty shop). If all you have is time then do it but you will not make enough money with it to justify it. The coke machine is a decent machine but if it has bottles and not cans sale price would have to be 1.75-2.00 to justify the time it doesn't hold enough either. Rule of thumb a route or location is worth fair market value of equipment and 3 mos sales ( I also ask for 3 mos guarantee on each location just in case they have inside info of its demise). Then you must consider commissions, sale prices, permits etc. If everything is up and up and without visiting the locations and not knowing the other 2 machines I valued it at 7,475.00 I valued those machines at 5,000.00 and the locations at 1,100.00 @ 75% x 3 = 2,475.00. Thats pretty conservitive. I only used 75% because I know hes telling you only his high month sales . Also you couldn't buy those machines from me at that price. But I am in equipment sales. I would say its a 7-8 on a scale of 1-10 with a 10 being they paid me to take it. If you want to get into vending its a good start. If you have to borrow the money to do it I would say don't do it and would put it at a 3-4. Just my thoughts good luck!
Vend1ng

[kryan]

Thanks a lot! You brought up a number of things I didn't consider. I appreciate your input.

[H4UV]

I agree, DON'T BORROW MONEY.