Jump to content

Racks vs. Heads


sjal

Recommended Posts

Hello all,

First post after lurking for the past few days. I'm gleaning information off these boards before jumping in to bulk vending.

Very basic question. It appears racks would maximize $ per hour worked as there are many heads concentrated in one location.

Are single/double/triple heads more common solely due to a lack of appropriate places to put racks? Meaning-are there only so many high traffic places that would justify that many heads? Or does it have to do with cost of the racks? Also, how difficult are these to place in your experience?

I'm interested in getting started, but I'm also interested in maximizing my $ per visit to any location (as are all of you). Please let me know your thoughts.

Link to comment
Share on other sites

Single and double triple machines are cheep and available all over. Can be broken down to put racks together when you get to that stage. Racks are harder to place and require Higher traffic very kid friendly locations. Cost is quite a bit higher for a rack. I have a 4 way rack ready to go it was just under 300 to set up. Machines and new mechs .50 cents as well as inventory. That is using used equipment and a changing things. It is all Eagle machines.

I did some Vendstarst to start. Have put some in a few stops been working ok so far Cheap and plentiful. Two big words in starting up. 1st fill is 20 to about 60 bucks depending on candy and how much you fill the machine.

I am putting out singles and doubles now some eagles and some NW have a found someone with a bunch NIB for 50 bucks each. Easy to place only need about 10 bucks in GB to fill and can keep a service cycle from 1 to 6 months. Gumballs have a 2 year shelf life. Easy to move and most are placed using the Charity method Less paperwork

Racks are larger need a mini van or small pickup at least. Little more paperwork because you have to keep track of your commission payments to your locations most are placed giving the location owner a commission of 15-30%

You can make money both ways Just a little longer road with a rack to start. Most guys will progress into racks as they grow there route. The main thing is you need to get Cash flowing to cause thing to grow.

It boils down to your start up money. If you can find some good deals on used Racks then go for it or have enough to buy two do one and do some single or double. They will also add to your bottom line. As you grow you can always pull them for a rack somewhere else or sell the machines and locations and just move into doing racks.

I am working on some limited funds So I started with what I could find and get. As I get larger I plan on adding some racks also.

Good luck hope I have help you some. there are a lot of great people on here willing to give a hand and help you out.

Link to comment
Share on other sites

It comes down to locations, and your ability to get machines into them. Racks are great, but there aren't any locators available that can place them- so that's all on you. I've been working on getting a 5-way into a busy store for a few months now, and it's still not in as of this writing.

Singles, doubles are the easiest to place. Triples are alright in some capacity, though they're best relegated as candy machines in employee break-rooms. Some toy triples might be okay, but you're better off with standard bulk heads just to save time.

My system is now singles and doubles and racks. There's more money in it, less effort, and I don't have candy to deal with in the future. Candy is more work for less money I've found, and where's the fun in that?

Whatever you do, I wish you the best of luck!

Link to comment
Share on other sites

Great gents, thank you very much. If I can get your thoughts on a somewhat local deal:

-75 used machines (not placed). 25 Oak doubles, 43 Vline doubles, 7 Vline singles. Oak appears to have a good rep, Vline, not so much.

-Extra parts, extra candy boxes.

-$2500 obo for the whole shebang

It's just far away enough that I'd have to Uhaul in one shot (figure $1-200 additional).

I'm aware it's smart to start off small. At the same time, I'm semi-retired, looking for cash flow, and do have those funds to spare.

So what would you advise in my situation? Worth jumping in with both feet, or should I hold off until a smaller lot comes up?

Link to comment
Share on other sites

I would say jump in both feet. Even if the vines are not great machines you can get them working keep the oaks back and as you find out what are your better performing spots move them in. The second thing is you can always upgrade the vines later if they are a problem to you. Sell them to the next guy to get started. At 16 bucks a head you cant lose. You can always piece meal them on ebay for more then that.

Link to comment
Share on other sites

Oak machines are legendary, so you have some quality for sure. If my count is correct, that's 143 machines, which works out to about $17 a machine not counting stands. As deals go, that's not bad at all. LYPC and the Pro-Line/ V-Line machines aren't great, but they are workable, and would serve you well enough. With that many, parts wouldn't really be a concern. You could work with it and work your way up if you wanted to.

I will stress this- make sure vending is what you really want to do before you drop a couple grand on anything- a lot of guys find out they don't like some feature of it after they invest their money in it,a nd then they're stuck.

If you think you're ready to go, I can't think of a better starter deal for you. Good luck!

Link to comment
Share on other sites

Thanks to both of you for the feedback. I'd intended on giving it more time to learn on the boards, but this does appear to be a very good deal.

With that said, what are some of the common reasons people don't like the business? I had planned on asking in a seperate post, what are the "cons" of this type of work?

A bit more backstore on my end-I've been looking at a lot of different businesses the past few months. I'm a fairly risk averse person with my money, hence my interest in bulk vending. Compared to most businesses, the ROI is excellent. My personal expenses are relatively low (between 8000-12,000k/year).

I'm already formed as a coraporation due to a few other small businesses I own, so no issues there.

One other addition-the candy included: four 25lb boxes (baked beans, burnt peanuts, and a few others).

Link to comment
Share on other sites

Great gents, thank you very much. If I can get your thoughts on a somewhat local deal:

-75 used machines (not placed). 25 Oak doubles, 43 Vline doubles, 7 Vline singles. Oak appears to have a good rep, Vline, not so much.

-Extra parts, extra candy boxes.

-$2500 obo for the whole shebang

It's just far away enough that I'd have to Uhaul in one shot (figure $1-200 additional).

I'm aware it's smart to start off small. At the same time, I'm semi-retired, looking for cash flow, and do have those funds to spare.

So what would you advise in my situation? Worth jumping in with both feet, or should I hold off until a smaller lot comes up?

I would just buy the oak doubles from him if they are in good shape, they are the best machines money can buy. Buy them and start yourself out the right way. offer 800-1200 for the doubles assuming there are 50 heads and 25 stands.

I would just buy the oak doubles from him if they are in good shape, they are the best machines money can buy. Buy them and start yourself out the right way. offer 800-1200 for the doubles assuming there are 50 heads and 25 stands.

What state are you in some are more saturated than others.
Link to comment
Share on other sites

I've considered just the Oaks as well. The plus to the Vlines is saving on future shipping/Uhaul when expansion would take place. It's something I'll talk with the owner about.

I've scouted fairly thoroughly around my area this week, and there's not hardly any bulk machines around.

Link to comment
Share on other sites

The biggest con I can think of is that this is a one-man show, and it all hinges on you. You're the salesman, the repairman, the book-keeper, the order-taker, the researcher, the CEO and more, and you must be somewhat proficient in every regard to make it really work. Simply put, it's very hard for someone to run a vending business if they aren't "pretty good" in each of those areas. That's why the vending choice is a personal one- there's no one-size-fits-all approach to vending, and there's no one-size-fits-all vending business.

If you can recognize and minimize your weaknesses while capitalizing on your strengths, you can really move a business forward. If you never give up, nothing can stop you.

However, if you're familiar with small business, I'm sure you're no stranger to any of this. If you choose to pursue the vending business, I wish you the best of luck!

Link to comment
Share on other sites

The reason some don't like it. It is work. Locating moving machines around to better locations. I have been at it for just about 3 months. I am up to 20 stops 50 heads. Working on my locating skills to so I can get more machines placed. It is something that is work. Good rewards for the work but it is work. Lot of extra time besides just servicing the route in the beginning. Finding and buying equipment. Prepping equipment for locations. Finding and buying supplies Sam's club, Costco or online sources. Once you get it up and running it goes smoother. I probably put 5-10 hours a week looking for equipment. Prepping things for the route ordering parts and supplies to keep things as uniformed as I can. Some just don't have the stomach to be self employed. I love my folks but don't understand. Nothing wrong with it just there mindset. Some the affairs of life are more important. Job wife kids and etc... To devote enough time to make it work.

The plus side is you can set your own hours. Take something work it part-time into a full time business. Move up to full service vending or a combo of the two. You have the freedom to make it what you want it to be. You can tailor to fit you. If you have a corp now and know how a business should work that is half the battle. You can work by yourself or build up to a company with several employees

Good luck

Link to comment
Share on other sites

Excellent-thanks to both of you again for the advice. I'm not afraid of the work, and I'm aboslutely ecstatic having left the normal work world to do my own thing.

There will be hurdles-no doubt. However, my motivation is to never return to the work for someone else world again. I'd rather work 20 hours a day for myself then 1 hour a day for someone else.

I'll keep you all aprised on my decision/progress. .

Link to comment
Share on other sites

Excellent-thanks to both of you again for the advice. I'm not afraid of the work, and I'm aboslutely ecstatic having left the normal work world to do my own thing.

There will be hurdles-no doubt. However, my motivation is to never return to the work for someone else world again. I'd rather work 20 hours a day for myself then 1 hour a day for someone else.

I'll keep you all aprised on my decision/progress. .

Just remember in vending you are still working for others, the location is your new boss.

Link to comment
Share on other sites

it seems weird how many ppl start buying a ton of equipment, why do u want 2500 in equipment in ur garage

buy one machine place it,repeat. see if u like the biz

That's how I did it.

Sent from my SCH-I500 using Tapatalk 2

Link to comment
Share on other sites

your original post was racks vs singles....

the singles can go anywhere and everywhere,,but as far as time its really no different...You just have to get your service times in line,,meaning don't be a idiot and service a $10 a month stop every month,,go every 4-6 months..thats one reason i won't touch candy anymore,,because you can't stretch the service cycle out because of product going bad..

racks are hard to place as there are only so many grocery stores, restaurants in a area that will make any money..but when you get a good big china buffet a 7 or 9 way rack will make about 1-200 a month easy so it doesn't take that many locations to have a good earning route.

I found out the best way to expand a good bulk rack business is to start with a crane machines or pusher business.. when you place a crane in a big buffet or other really great stop you can then get the bulk guy booted and get your stuff placed..

if your just starting, just put out some single gum ball machines and see if you really want this job ..

ron

www.blazingquarters.com

Link to comment
Share on other sites

OK gents-here's the low-down. I'm going to go with my gut, and hold off on this purchase. In the interim, I'm going to scout areas, and talk to some business owners to gauge interest. Also, more then likely I'll just take it slow a few machines at a time.

I'll let you know how I progress.

Link to comment
Share on other sites

OK gents-here's the low-down. I'm going to go with my gut, and hold off on this purchase. In the interim, I'm going to scout areas, and talk to some business owners to gauge interest. Also, more then likely I'll just take it slow a few machines at a time.

I'll let you know how I progress.

Awesome that is the nice thing about this you can grow as slow or as fast as your pocketbook will allow. I have kind of dived in with both feet. 14 vendstars and 15 eagles set up as singles doubles and one 4 way along with a few NW 60's.

Do your market research figure out how many machines you want to start with and go for it. I plan on starting on my own locating this week will load up a couple GB singles and a one Double and see if I can get them placed. I also have a spot or two I want to hit to place my 4 way toy rack.

Link to comment
Share on other sites

Archived

This topic is now archived and is closed to further replies.

×
×
  • Create New...