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How Much Do You Need to Start Your Vending Business?

Posted by Al Goldsmith - April 21, 2014

Let’s be honest here. One of the initial best reasons why a vending business is a good option is because it doesn’t require a whole lot of capital to get started.
Any business venture requires some start-up money, but many businesses require thousands upon thousands of dollars for start-up costs. This isn’t the case with local vending businesses. Regardless of how little or how much someone has to get started, it is generally possible to invest in or even operate long term with a handful of machines.
Before you get right into business, here are some cost-related things to consider:

How Much Do Machines Cost?

Some of the basic, gumball machines can be purchased for only a few hundred dollars.   But remember the two old adages for buyer beware advice, “you get what you pay for,” and “things that sound too good to be true, usually are.”  There are many companies out there who simply sell machines, while other sell packages that include training programs.  It’s important to assess your own needs and experience and find the one that’s best for you.
The type of vending machine can make a big difference, too. Small gumball machines won’t deliver more than $50 or so each month. You’d need a modest army of these machines to build up a good, monthly revenue. In the same vein, coin-only snack and drink machines miss out on the growing population of people who don’t carry cash. Health-conscious people won’t pick out snacks that they can’t assess in terms of nutritional value, either.

How Much Does Stock Cost?

Those who want to run their own vending businesses will need stock to fill up their new machines. The cost of filling up these machines obviously depends on the type of product that is being used. Gumballs, candy and small toys can be very affordable when purchased in bulk. Popular snacks, canned drinks, bottled drinks and other similar products can also be quite cheap and can generally be purchased at discounted rates when bought in bulk. Certain snacks can be more costly than others, but shopping around for the lowest prices and buying larger quantities at once can help new business owners get the lowest prices.
Bags of chips can be a very interesting learning experience, for example. Shop your local big-box retailer and you may find two different sizes of “snack bag” chips – commonly 1 ounce and 2 ounce bags. They may look the same, but their per-unit price will be very different, which makes a big difference to your own bottom line.

How Much Does Rent Cost?

Many business owners do want something out of the deal from those who place their machines on their properties. This is only fair, particularly with machines that use electricity. Luckily, many business owners don’t charge a lot for this, and a lot of them won’t ask for any money up-front. Instead of charging a flat rate, business owners will typically agree to a percentage of the sales, so machine owners usually don’t have to worry about paying for anything until they start making a bit of money from their machines as well.
Does the idea of commissions and rents frighten you a bit? The great news is that the majority of the locations you’ll find in your area won’t ever bring them up! Modern vending machines use very little energy and won’t impact the company’s bills, so the concept of paying commissions and rents is fairly outdated. A good vending training program will teach you how to minimize the impact of commissions on your bottom line.

Looking for a Vending Machine Provider with a Healthy Objective?

Naturals2Go is dedicated to helping you achieve financial success as a vending machine provider. With over 25 years of experience in the industry, we have the tools and the know-how to assist you. We are here to make your business opportunity an enjoyable and prosperous experience. Give us a call at 1-800-679-8370 today!


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