Before diving headfirst into a brand-new business venture, some people like to start out with a side hustle to see if they can handle it. Sometimes, these developments can turn into a full-fledged business, while other times, entrepreneurs can easily dissolve them when a better venture comes around.
Either way, the ownership of a vast network of vending machines is one example of a solid starting point for many people. But are vending machines actually worthwhile investments, especially for long-term involvement? Well, that’s what we’re here to examine for you today in this short guide.
A Look at the Upfront Cost
The main concern that people have when considering a vending machine venture is the upfront cost. In general, these types of machines usually cost a few thousand dollars. Depending on the products sold and the branding of the machine, some can become more expensive than that, but these machines rarely go over $10,000.
While this amount might sound like a lot, it’s still significantly less than the cost of starting a brand-new company. In the first year of a normal business, you could easily spend over four times the amount of money on equipment. Even though you’ll need more machines to turn vending into a full-time gig, the first one can help pay for all future machines.
Regular Vending Expenses
Of course, the expenses don’t stop with the initial purchase. Running a machine will also cost money. You’ll need to think about how much stocking the machine will cost. Additionally, you will want to factor in the cost of renting a space for it and paying for the electricity it uses. In some cases, you might have to pay the company that provided the machine a monthly charge.
If you get into ice and water vending, you’ll be able to avoid the stocking fees, but you’ll need to consider water usage expenses instead. While these expenses will still be cheaper in the long run, they’re worth noting.
Average Return Profits
While the monthly expenses might make this entire business venture sound pointless, vending machines are still fantastic at churning a profit for owners. As long as you find a good location for your machine and keep it fully stocked, you can easily earn up to $400 a month per machine. That means you can easily pay off your machine in less than a year.
If you go with an ice and water vending machine, you could earn even more than that. Plus, there are plenty of ways to ensure successful sales of your ice vending machine over time that will keep it profitable.
Are They Worth It?
In the end, though, we still must answer the question, “Are vending machines worthwhile investments?” If you don’t want to spend time or effort expanding your small vending empire, the answer is probably no.
However, with the proper amount of dedication and a steady income to purchase more machines, you can make easily turn vending machines into big money makers for you. Imagine that $400 a month multiplied across all of your vending machines. That’s the kind of money a lot of people can get behind, which is why so many people turn this into a full-time gig.
