How to Make Money with Vending Machines

Bulk Vending!

Investing in vending machines may seem like an easy way to achieve financial success, but the pitfalls of vending are just waiting for the naive. Read this ehow guide to learn how to invest in vending machines the right way.

Things You'll Need

• Start Up Capital
• Good Locations
• Vending Machines
• Vending Products

Instructions

1. Vending can be a highly profitable way to make a little extra income from your spare time with a minimal investment of time, effort and money on your part. However, vending is in no way a passive investment. Before you can properly learn how to invest in vending machines, you must understand the key requirements of operating a successful vending business. The primary requirement is that you have to be able to place your machines in suitable locations. Another requirement is that you should only invest in machines that are well built and will hold up to the wear and tear of daily operations. Finally, you must have time, money, and transportation to keep your machines freshly stocked with quality products.

2. Before you even think about investing in your first machine, you must find a suitable location for it. A vending machine without a location is just about worthless. Start by doing some on the ground research. Spend some time going to area businesses and see if they already have machines in place. Check out common machine locations like barber shops, oil change centers, nail salons, office lobbies and store entrances. If the locations that you visit already have multiple vending machines on location, then odds are that your area may be saturated. This doesn't mean that you can't place a machine there, but it will have to be something different that has an appeal for the owner of that location. The best locations will have few or no machines already in place. Make a list of possible locations that might be able to host your machines on their premises.

3. 

   Next, once you have a list of possible locations for your machines, make an appearance and ask to speak with the manager or owner of the business. Present them with a proposal for placement of your machine in their business. Explain the benefits that your product may offer for their employees and customers. Be prepared for rejection. You may have to try twenty locations before you find one that is willing to give you a chance. Keep an open mind when looking for locations, and think about the possibilities that each location may offer. This is probably the most difficult part of investing in and owning vending machines, however a machine with no location is worthless.

4. 

   Once you have successfully acquired locations, it's time to shop around and find some quality machines. Many times, used vending machines are avaliable on ebay or craigslist for purchase. Often, these machines are in nearly new condition, having been purchased by the overzealous investor that never could find quality locations for machine placement. Their loss can be your gain if the price is right. Bulk machines, such as gumball or candy machines, can be picked up for $75 to $150 dollars each. Full size soda or snack machines usually start at $500 to $1500 dollars for used or refurbished machines. Only buy quality machines that are right for the locations that you already have.

5. 

   Finally, be prepared to devote the time and money to properly stock and maintain your vending machines. Plan on one to two hours a week to buy your vending products, travel to machine locations, restock, and take care of maintenance issues. Also, be sure to devote time to keep track of expenses and mileage so that you don't have a case of mass confusion at tax time.

6. As stated previously in this how to guide, vending machines are not a passive investment like buying stocks or bonds. You must manage and care for your vending investment for it to be a successful and profitable one.

Tips & Warnings

• Further research into the different types of vending, products, machines, and business regulations is a definite requirement before you make any investment. Educate yourself and practice due diligence before you begin.