learner Posted December 10, 2011 Share Posted December 10, 2011 I am in a bit of a tricky situation that I would appreciate some input on. I used to live in the midwest and where I got into the bulk vending business. My introduction to the business was when I replied to an ad on craigslist about a family who was moving away and had to sell their bulk vending route. I met with them and they seemed like good people. They were selling a route of Northern Machines in my city at $300 each (which is way too high as I later found out). They requested a deposit on the route which I provided, and we were to meet the following week to look at the machines on location. When I got home, they had reposted their ad for the machines that I had left a deposit on. After doing some research, I discovered that their full time job is to sell people machines and give them the wrong keys so they could still collect the money. They are also known to sell machines and then steal them back, relocate them and sell them to another unsuspecting buyer. Needless to say, I did not give them anymore money. Instead, I went to a reputable company (that I check references for) and bought machines from them. I was supposed to pay $10,000 for 28 Beaver Meridians that were to be placed on location in my city, and that were to net $30 each a month (according to the salesman). After I paid for them, I was informed that the locator hired by the business could not find any locations in my city, and the business was unable to provide me with a refund. The business then informed me that sales were better in small towns and it would be easier to put the machines there. I naiively agreed, and after spending another $5,000 for transportation, hotel stays, and the replacement of the stale gum that this business had provided me with, I had my very own vending route of 28 Beaver Meridian machines spread out in small towns on a 2,000 mile route. At first, I collected from them every month and I netted around $100 a month (after gas, hotel stays and gum). I was not happy with the way that this turned out (and that is a huge understatement), so to increase profits, I turned to craigslist and bought more machines. I currently have 20 Beaver Meridians, 80 single head vendmax emperors and 3 round beavers on my 2,000 mile route. I have another 7 round beavers, 8 Beaver Meridians and about 40 vendmax emperors (most of which are missing parts) at home. This year, I moved to the east coast and although I still enjoy the bulk vending business, I cannot operate this route that requires 1200 miles each way to get there and 2000 miles to service. The city where I live has few bulk candy machines and the market is wide open, but (asides for being paranoid about crooks), what should I do? I have had various parts of the route up for sale since january (I am asking $300 for the meridians and $100 for the emperors on location, with the gum and money inside), but no one is interested. No one wants to do all of that driving. I have a few options. Option #1: pick up all of the machines, load them on a truck, ship them to where I live now and locate them. The costs will be $3,000 to ship them, plus whatever it costs to locate them (if I use a locator or do it myself). Option #2: ship the unlocated machines first, and everytime I go to check on the rest, take the worst machines on the route, ship them and then locate them. option #3: have a big ebay sale, get rid of them all (where the buyer pays for shipping) and buy other machines where I am living now. option #4: make a deal with someone to service the machines like a farmer or university student and when I get what I want for them, relinquish them to this person. option #5: try find a Church or local community group in each town to take them on and give me a percentage each month until they are paid off. I will be going back to check on them next week. Any ideas? Link to comment Share on other sites More sharing options...
TKK Posted December 10, 2011 Share Posted December 10, 2011 Wow that is just crazy. Youve spent over 15000 and u net 100 a month? So it would take u over 13 yrs for roi.....did you do any research before doing this? Why didnt you self locate? Or pay someone to find you local spots? Atleast within a reasonable range! Ive spent 2500 including 600 in candy have 24 locations and 22 machines ready. In 2 minths I grossed about 600. The farthest machine I have is a 5 mile drive! I started mid october Link to comment Share on other sites More sharing options...
antoniocinisi Posted December 10, 2011 Share Posted December 10, 2011 where are these machines at in the midwest?I am near springfield Il.I called on a route on craigslist and we even talked about it on here if it was the same one.did you call the cops?? Link to comment Share on other sites More sharing options...
timberframe50 Posted December 10, 2011 Share Posted December 10, 2011 Have you tried selling off portions of this route instead of the whole? Link to comment Share on other sites More sharing options...
learner Posted December 10, 2011 Author Share Posted December 10, 2011 Wow that is just crazy. Youve spent over 15000 and u net 100 a month? So it would take u over 13 yrs for roi.....did you do any research before doing this? Why didnt you self locate? Or pay someone to find you local spots? Atleast within a reasonable range! Ive spent 2500 including 600 in candy have 24 locations and 22 machines ready. In 2 minths I grossed about 600. The farthest machine I have is a 5 mile drive! I started mid october Thanks for the reply. I did do some reasearch before starting. I had no clue that there are people out there who would sell machines and steal them back, or sell them and keep the keys. As per my big purchase, I was getting 2 boxes of gum with each machine, as well as locations (and the company that sold them to me had a locator on staff. In reality, they contracted the work out to a locator). The locations were part of the deal. Now that I am in the business, I can see that it is better to locate myself. Link to comment Share on other sites More sharing options...
learner Posted December 10, 2011 Author Share Posted December 10, 2011 where are these machines at in the midwest?I am near springfield Il.I called on a route on craigslist and we even talked about it on here if it was the same one.did you call the cops?? These machines are close to the North Dakota and Montana areas. I did call the cops about this, and they said that because it was a business dealing. there is nothing that they could do and I had to go through the courts. I saw a lawyer who helped me do some research on this company. We found out that the company has never had any legal problems. The owner of the company apparently did - and has had several businesses that have been sued 22 times. Each time a business has been sued, he has closed his business and started it under a diferent name. His consequent businesses have been sued, but not himself. As his busineses cease to exist, no one has been able to get any money out of him. Link to comment Share on other sites More sharing options...
learner Posted December 10, 2011 Author Share Posted December 10, 2011 Have you tried selling off portions of this route instead of the whole? I have tried selling parts of it, but either no one is interested or they want it for next to nothing. I had 1 guy offer me $50 for each machine in a few towns with the location, gum and money in it. I told him no Link to comment Share on other sites More sharing options...
timberframe50 Posted December 10, 2011 Share Posted December 10, 2011 I think you only have 1 choice. Re-locate the machines. Here is what worked for me. Every time I serviced I picked up machines that were the farthest away. Cleaned & located them then do it again.I also sold some equiptment in the process. I've been at it for a couple of years. Link to comment Share on other sites More sharing options...
learner Posted December 16, 2011 Author Share Posted December 16, 2011 If I were to pick up all of my machines consisting of 25 beaver meridians 120 vendmax emperors (with stands) 10 round beavers with stands does anyone know how much they would be worth? Link to comment Share on other sites More sharing options...
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