Tony Policano Posted March 24, 2012 Share Posted March 24, 2012 Hello, Being new to vending, and reading hours and hours on here for great information I came across 2 locations and 2 machines already placed for sale. He said both are setup for cans but can do bottles as well. He said yearly gross is 800 for one and 550 on the other one. Total sale price is 600. I know it's low and not nearly as profitable as the ones I have been reading about but just getting started. I wonder of it maybe nice to ease into this? Both are only a couple miles from my house. He told me they are serviced once a month. If he is correct on the numbers, I'm not really going to loose money but also not make it rich either. Please offer your experience, Thanks, Tony Link to comment Share on other sites More sharing options...
sbishop Posted March 24, 2012 Share Posted March 24, 2012 I would say that you are only buying the equipment. So check out the equipment and if it is worth 600 then you can buy them and not have to store them until you find better locations for them. Link to comment Share on other sites More sharing options...
Tony Policano Posted March 24, 2012 Author Share Posted March 24, 2012 Thanks for getting back to me so quickly. I actually just got off the phone with him and here is what he told me. Loc 1- Clinic set at .75 and is 6-10 years old. He has the shims in for cans but can do bottles as well. Loc 2- Rehab Clinic set at .70 and its older machine. Setup for cans, never had an issue but it also doesn't have a dollar bill acceptor. Seems to me he is loosing out without a bill acceptor. Who has .70 in their pocket all the time? He didn't know the make and models of the machine but is scheduled to service them next week and will let me know. I paid 500.00 for my pop machine i have in my garage so 2 of them with locations for a little more seems reasonable to me but you guys are definitely the experts! I'm also trying to learn more on this ADA crap to ensure I'm not buying someone else's problem. Link to comment Share on other sites More sharing options...
Tony Policano Posted March 25, 2012 Author Share Posted March 25, 2012 I'm not sure what to do. I want to purchase this to get into full line but don't want to make a huge mistake that I'll regret. Link to comment Share on other sites More sharing options...
AngryChris Posted March 26, 2012 Share Posted March 26, 2012 Well... regarding the ADA issue... being that they are at clinics, it could be an issue... otherwise I would tell you not to worry about it. The machine that does $800/year only does about $15/week or about 1 case (24-pack of cans) each week. This *could* be okay but it's not prime stuff. The machine that does $550/year only does about $11/week or about 3/4 case each week. This is pretty darn slow. For most vendors on here, these locations are terrible... however... if it's $600 for each, you would be better off finding out the exact models of each machine and letting us know. Either of those might not even be worth the trouble... but it's possible that, with the locations included, that $600 investment could teach you a lot of things about the vending business. It might not be the hard to turn around and sell them for $200/each 6 months later after you find out it's not for you. You could make your money back in about a year so as you stated.... while you won't get rich, you wont' really lose out. It's a very low-risk idea to get the hang of things. What I might even do, if the better machine is in good shape and modern and the other machine is junk.. I would buy the pair for $600, sell the junk one for $150 as-is, take the good machine out of its location and put it in a small blue-collar warehouse with about 15-20 people and generate a good $30-40/week. Now you have increased your revenue about 75% and reduced your cost to $450. If you made $30/week, and about a 50% margin on cans (at about $0.75/can), it would pay for itself in a little over 6 months. Link to comment Share on other sites More sharing options...
Vendors Tech Posted March 26, 2012 Share Posted March 26, 2012 I agree, find out what model of machine they are, and it might be worth it to buy them at that price, then relocate them. I wouldn't keep that location no matter what you pay for it. Link to comment Share on other sites More sharing options...
mission vending Posted March 26, 2012 Share Posted March 26, 2012 I agree, find out what model of machine they are, and it might be worth it to buy them at that price, then relocate them. I wouldn't keep that location no matter what you pay for it. Agreed, let them pay for their own storage until you find a better place to put them. Link to comment Share on other sites More sharing options...
Tony Policano Posted April 2, 2012 Author Share Posted April 2, 2012 Hello VendD! I got a chance to gather some more info on the machines I was looking at. They are DN-276 & DN-240. I know the 240 is old. It actually doesnt even have a bill val on it. Not sure if one can be installed on this machine or not. The 276 looks really nice. Link to comment Share on other sites More sharing options...
dogcow Posted April 2, 2012 Share Posted April 2, 2012 the machines are junk they are too small to relocate anywhere i have a 276 it gives me nothing but headaches because it does NOT hold enough product to be as profitable as it could at even a highly profitable location. the machine is loaded with 1/2 mtn dew and still runs out every week Link to comment Share on other sites More sharing options...
AngryChris Posted April 2, 2012 Share Posted April 2, 2012 the machines are junk they are too small to relocate anywhere i have a 276 it gives me nothing but headaches because it does NOT hold enough product to be as profitable as it could at even a highly profitable location. the machine is loaded with 1/2 mtn dew and still runs out every week I certainly wouldn't call the DN 276 junk. It's called a 276 because it holds 276 cans . It's a good machine if you ask me and I would dish out a few hundred for it.... not so familiar with the 240 though. Dogcow, why don't you get a larger machine in there? You simply won't find a machine with the footprint of the 276 that holds more product.... except for maybe a CB-300.... but just by 24 cans lol. Link to comment Share on other sites More sharing options...
Walta Posted April 3, 2012 Share Posted April 3, 2012 It’s not easy to find locations for 6 select machines that earn enough pay the gas to service the location. Walta Link to comment Share on other sites More sharing options...
AngryChris Posted April 3, 2012 Share Posted April 3, 2012 It’s not easy to find locations for 6 select machines that earn enough pay the gas to service the location. Walta If you are buying your 6-select machines brand new, then I agree. I have been on a rampage finding small accounts that do $35-$50/week and only need a 6-select machine and a 4-wide snack machine. These locations require no commission, get hit every other week (to reduce fuel/time expense), and give me great profit margins. I plan on finding more accounts like these! They are relatively easy to get into, especially for someone starting out. Link to comment Share on other sites More sharing options...
dogcow Posted April 3, 2012 Share Posted April 3, 2012 I certainly wouldn't call the DN 276 junk. It's called a 276 because it holds 276 cans . It's a good machine if you ask me and I would dish out a few hundred for it.... not so familiar with the 240 though. Dogcow, why don't you get a larger machine in there? You simply won't find a machine with the footprint of the 276 that holds more product.... except for maybe a CB-300.... but just by 24 cans lol. the machine is fine mechanically compared to other dn machines from the same era however it is junk because you are limited by where you can put it. i have decided not to do anything smaller than a 368 if the account sucks, no big deal just service it once a month, but if the acct does gangbusters that 276 will need service way too much to make it worth while. I just talked to a guy today with a coin laundry, he has a dn276 in there. it is ALWAYS empty. i told him do you realize how much money you are losing having such a low capacity machine in there? he never really thought about it. the reason i cant put a bigger machine is because because its at a 5min lube place like this: the 276 is the only machine narrow enough to fit between the bays. they dont have enough room on the inside for anything bigger either. im not even sure the 276 would fit. I am thinking of just buying a second 276 to fill it completely full of mtn dew If you are buying your 6-select machines brand new, then I agree. I have been on a rampage finding small accounts that do $35-$50/week and only need a 6-select machine and a 4-wide snack machine. These locations require no commission, get hit every other week (to reduce fuel/time expense), and give me great profit margins. I plan on finding more accounts like these! They are relatively easy to get into, especially for someone starting out. 50/wk account w/ snacks is a no-no in my book. Link to comment Share on other sites More sharing options...
AngryChris Posted April 4, 2012 Share Posted April 4, 2012 the machine is fine mechanically compared to other dn machines from the same era however it is junk because you are limited by where you can put it. i have decided not to do anything smaller than a 368 if the account sucks, no big deal just service it once a month, but if the acct does gangbusters that 276 will need service way too much to make it worth while. I just talked to a guy today with a coin laundry, he has a dn276 in there. it is ALWAYS empty. i told him do you realize how much money you are losing having such a low capacity machine in there? he never really thought about it. the reason i cant put a bigger machine is because because its at a 5min lube place like this: the 276 is the only machine narrow enough to fit between the bays. they dont have enough room on the inside for anything bigger either. im not even sure the 276 would fit. I am thinking of just buying a second 276 to fill it completely full of mtn dew That's my point. It's not the machine's fault that your location cannot hold anything bigger than a 276! The only reason why they made the 276, to my knowledge, was because people needed narrow machines and would have to sacrifice capacity for the smaller footprint. 50/wk account w/ snacks is a no-no in my book. I agree with you that 50/week with snacks is anything but desirable, but in my area, they are absurdly common due to having so many small machine shops and industrial places. You can easily get 5 of them along the same couple of blocks and service them every other week. It adds up and even the larger vendors with 5+ routes ****** these locations up because there are so many older/cheap equipment out there (good equipment, but cheap to buy used). The plan is to buy equipment, use it for several years to return a decent profit (and reduce any waste issues down to nothing) and sell the equipment for slightly less than I paid for it and only keep my larger accounts that are all MDB. I guess these smaller accounts are just a good stepping stone tool to quickly increase my revenue. It's much easier to grab these small accounts quickly than to get the larger accounts. The recession caused many vendors to have absolute wars over accounts and many of them underbid each other drastically. Link to comment Share on other sites More sharing options...
dogcow Posted April 4, 2012 Share Posted April 4, 2012 That's my point. It's not the machine's fault that your location cannot hold anything bigger than a 276! The only reason why they made the 276, to my knowledge, was because people needed narrow machines and would have to sacrifice capacity for the smaller footprint. yes but you missed my point and a few others... say i take a 3rd party machine and put it outside the bldg. now i have the 276, what good is it? i cant move it to a better location. if you have a 368 or bigger at least you can move it from a slow location to a good location. the 276 has a very limited use and IMO isnt worth investing in. I agree with you that 50/week with snacks is anything but desirable, but in my area, they are absurdly common due to having so many small machine shops and industrial places. You can easily get 5 of them along the same couple of blocks and service them every other week. It adds up and even the larger vendors with 5+ routes ****** these locations up because there are so many older/cheap equipment out there (good equipment, but cheap to buy used). The plan is to buy equipment, use it for several years to return a decent profit (and reduce any waste issues down to nothing) and sell the equipment for slightly less than I paid for it and only keep my larger accounts that are all MDB. I guess these smaller accounts are just a good stepping stone tool to quickly increase my revenue. It's much easier to grab these small accounts quickly than to get the larger accounts. The recession caused many vendors to have absolute wars over accounts and many of them underbid each other drastically. i have honor box/soda set up at those type of accts. it works well for me and i dont spend money fixing machines. i make as much or more than i would with a snack machine and my ROI is within a week on the snacks. Link to comment Share on other sites More sharing options...
AngryChris Posted April 5, 2012 Share Posted April 5, 2012 yes but you missed my point and a few others... say i take a 3rd party machine and put it outside the bldg. now i have the 276, what good is it? i cant move it to a better location. if you have a 368 or bigger at least you can move it from a slow location to a good location. the 276 has a very limited use and IMO isnt worth investing in. i have honor box/soda set up at those type of accts. it works well for me and i dont spend money fixing machines. i make as much or more than i would with a snack machine and my ROI is within a week on the snacks. I'm in the process of trying honor boxes, it's a much better idea. As for the 276, my argument is that it is not junk. Sure, it has a significantly smaller capacity than larger machines but... it was never designed to do what larger machines can do, it was designed to fit into spaces that larger machines cannot fit into. When you consider this, and consider the functionality of it, it's anything but "junk." It's like calling my compact car "junk" because it's a small car. I bought the car because it gets good gas mileage and it fits into tight spaces... and it does these things flawlessly. Link to comment Share on other sites More sharing options...
Tony Policano Posted April 9, 2012 Author Share Posted April 9, 2012 Thanks for all the input. I made an offer of 450 for both machines and never heard back lol. I think I'll keep looking. I'm getting my bulk candy machines out this week so hopefully it'll get the ball rolling. Link to comment Share on other sites More sharing options...
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