You Can Start a Vending Machine Business for Just $2000

A vending machine is not a new thing. You might have used one at some moment. They are everywhere from schools, offices, and grocery stores to airports and manufacturing plants.

But have you ever considered it to be a business opportunity? Yes, you can start a basic vending machine business for $2000.

Why Should You Start a Vending Machine Business?

Starting and managing a profitable vending machine business is very easy. For starting a vending machine business, you just need a few thousand dollars and minimal effort.

Vending machine business gives you freedom and flexibility. You can set your hours to restock, maintain and collect your money from your vending machine. You can easily test different products and figure out which one sells best.

You can establish a vending machine business with your 9 to 5 job and when you start earning enough you can leave your day job and become your own boss.

Once you have established a profitable vending machine business, it doesn’t require a lot of work. You just need to keep maintaining the machines in good working condition, check the quantity of stock and restock it when needed and collect money.

You also need to perform some administrative tasks like keeping financial records, managing money, and paying taxes.

How Much Does It Cost?

The cost of starting a vending machine business is the cost of the machine itself and stocking the items. You can typically start a basic vending machine business for 2000$.

Starting a bulk vending machine that sells toys, candies, and gumballs can even cost you a few hundred dollars. Bulk vending machines have low-profit margins but they can be a good option for earning a few bucks in passive income.

Generally, a vending machine can cost from 2000$ to 10000$ and more depending on the features and size. Some amazing features include a touch screen, credit and debit card acceptability, and a remote stock monitoring system.

You can further reduce the cost of starting a vending machine business by going for a second-hand or refurbished machine that can cost you around 1000$ to 3000$ depending on the condition.

Besides a vending machine, you need to consider the cost of inventory which depends on the type of product and can go from a few hundred dollars to a few thousand dollars.

Steps to Start a Vending Machine Business

Decide The Type of Product

You need to do some market research and figure out the product. Some products sell everywhere whereas some perform better at selected places. The majority of the products in the vending market include snacks and soda. If you are finding it difficult to select the product you want to sell, you can go with them.

Besides snacks and soda, there are a lot of options as well. You can sell bulk items like candies, gumballs, stickers, or rubber balls. These bulk vending machines are cheap and require low maintenance costs.

You can also sell hot beverages and non-food items like medicines, and electronic accessories like phone chargers, headphones, and earbuds. You can choose from a wide range of products.

Find The Right Location

Finding a perfect location for your vending machine is as important as the product you sell. A food and beverage vending machine will fail in a shopping mall full of restaurants but it will do well in the office corridor.

You can sell candies, gumballs, and toys in a bulk vending machine placed at parks, playgrounds, and waiting areas.

By placing a vending machine in the gym you can sell protein bars and pre-mixed shakes. On another side, if you place a vending machine in a laundromat you can sell detergent packs and fabric softeners. So, the type of product depends on your location.

You can’t just place your vending machine anywhere. You will need to talk to the property owners to place your machine on their property. You will also have to pay a commission to the property owner. It can be from 10% to 25% of your revenue.

Some potential locations include

· Schools

· Bus stations

· Train stations

· Airports

· Laundromats

· Office buildings

· Manufacturing plants

· Gyms

· Universities

· Hospital and health centers

· Hotels and motels

Purchasing a Vending Machine

You can buy a vending machine directly from the manufacturer or retailer or you can buy it from platforms like eBay and Craiglist. Buying a secondhand machine can be a good option if you don’t want to spend thousands of dollars on the new machine.

Buying a vending machine franchise is also a good option. These franchises provide an established business model and infrastructure.

Top franchising opportunities include

· Fresh Healthy Vending

· IceBorn

· Healthy Cravings

· Naturals2Go

· Xpresso Delight

Keep in mind that there is an upfront fee to buy the franchise and the franchisor will take a percentage of the profit.

Stocking Products in Your Vending Machine

After buying a vending machine you need to stock it with the inventory. Find a machine that has adjustments for different product sizes. You can test different products and figure out which product sells best.

Don’t order excessive stock in the beginning. Find the demand in your area and then order accordingly.

Closing Words

The vending machine business can be your cup of tea. You can easily enter into this business with the right market research and entrepreneurial energy.

Vending machines can be easily stolen and vandalized. To avoid losses in profits, place your machine in a safe and secure place.

After starting a successful business, you can increase your vending machines at different places gradually, and eventually, you will be able to earn a full-time income.

Originally published on Medium

Here are a few questions if you answer I would be more than happy to know:

Does my story solve a problem of yours?

Does it entertain you?

Does it inform you?