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Is The Vending Machine Business Risky

Don�t tell yourself that the vending machine business is just too risky or that you are not a marketer, go out and survey some high-volume vending machine locations.

Is not risk what we all are afraid of when going into a new business? The fear of the unknown and the fear of failure are not near as probable as the risk of loosing your complete investment or life savings.

A vending machine business is one of the safest all cash businesses that you can invest your time and treasure in.

If you invest in most small business your investment in the equipment it takes to run that business devaluates as soon as you purchase or lease it. For example investments in an office, the restaurant business, construction business or the maybe the color copy business you have large capital investment in new expensive equipment. In most cases you have to invest in ALL of the expensive equipment before you can start your new business you earn no money until you have invested in 100% of ALL of the expensive equipment it takes to run your new business. A vending machine business on the other hand takes a minimum investment in vending-equipment and the vending-equipment you invest in has a great resell value and an estimated life of twenty five plus years.

When initially opening a coin operated vendiing machine route you do not need a specialized vehicle of any kind. It is fairly easy to service your first locations using your four by four or your family car. It is not essential to rent an expensive storage facility to store your goods because now there is a super store like Sam's Club in almost every immediate area in America and Canada.

It isn't required spend tens of thousands of dollars buy/lease dozens of expensive vending machines before you have signed-up homes for them. Every state has a licensed coin operated-vending machine show room that will not only guide you in vendor selections they will also help you with starting up and opening lease and finance programs. This assures that all you have to do when you sign a new high volume location is make a phone call to your distributor and let them know what you need and where to deliver your new vending equipment. Your vending machine distributor will prepare your new lease pappers and then start prepping the additional coin operated-vending machines that you need to satisfy your new vending high volume location pappers.

In most cases the high volume location contracts you have signed will not cost you a penny; your only investment will be in the time you spent cold calling and surving the location. After you have serviced each of your high-volume vending machine locations for a few days you will have a cash flow statement and sales tax returns to confirm your gross sales and profit. If for some reason you decide to sell your vending route you now have absolute proof of the profitability of your route.

If your sales tax recoreds isn't enough proof of gross sales, all you have to do is open each of your vending machines doors and pull up your gross sales on the machine's DEX system.

Now you can sell your route for what it is worth, one location at a time or as a complete route. If for some reason you have lost your high-volume vending machine locations you can sell your coin operated-vending equipment for approximately 70% of what you purchased it for in the first 18-months and 50% of its purchase price any time within the first three years.

An all cash vending machine business is relatively risk free.