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Placed first machine


newheart53

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Just started this week and set first 3 comp. machine. A couple of questions, if anyone would like to offer advice.

1st I would ike to know how to write a proposal to an organization to use their charity on my machines [excuse me for not knowing exactly what this is]. Called them and they didn't know what I was talking about but was really interested. So I guess I need to learn the aproach.

2nd How much is a good vend on a 25. mach for skittles or m&m's?

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I figure my Cost per oz of product. MM's are .18 cents an oz. I want to keep my cost of goods served between 25% to 33% 6-8 cents a vend

Example MM's .18 an oz. X .4 oz. = .072 cents per vend. .178 cents profit. take that times vends in a bag which is 140 equals 35 bucks gross profit a little over 26 net profit.

Mike and Ikes .11 cents an oz. x .7 oz per vend. equals 7.7 cents a vend. 7.7

102 vends a bag x .25 = 25.5 -7.50=18 dollars a bag profit or .17 cents a vend.

I have a small digital scale I got at walmart and use it to set the candy wheels on my machines. Depending on location you might want to make things a little tighter More profit or a little looser for more sales. A machine in a break room with the same people using it I might set a Tenth or two looser when you have the same people using it all the time. In the case you usually have strangers using the machine most the time. In front of a restaurant in a bar etc.. then I make the vend a little tighter.

Just get down your cost of goods and vend accordingly. If you are a little on the tight side you don't have to go nuts resetting your machines when a bag of this goes up 20-30 cents a bag. Only if you get that big dollar or dollar + kind of jump

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I agree with Bigredvendor and don't have much to add other then you are right to watch your portions. I bought a route of 65 triple head machines awhile back from a guy who was not making money. The reason was his machines were all wide open vending everything wide open crazy amounts of M&M's enough gum for 3 Kids, and enough skittles to make your stomach hurt. Its a pain to reset everything but you can't make any money if you don't watch your portions. Like Bigredvendor I do the math but I also look at how much I am vending and try to eat it. I put the gum in my mouth and see if it fills my mouth up, or if it is to much. You don't want 1 vend to feed 2 kids. Same with Peanut M&M a regular bag in the quick stop has 19-21 M&M's in it for about $1 so If they are getting 7-9 from me for .25 I feel like they are getting a great deal even though they will complain it's not enough. Do the math and test the product yourself that's about all you can do.

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Thanks everyone I appreciate all the advice I can get, have been reading as much as possible on this site and have learned quite a bit. Knowing very little about this whole adventure, this site is great.

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If you are making a proposal to a local charity then keep it simple and basic. You are a local bulk vendor and wish do donate a set amount per machine to there charity. Most are usally 1.00-2.00 bucks a month some are higher but that is the normal rate I have found in my research. If you have 20 Machines then you donate 20.00 a month. Or give them 6-12 months upfront for your fist block of machines and then start giving them a montly royalty after that amount of time or when get your intial amount of machines placed.

example pay up front for 6- machines for 6 months 36.00 end up placing 12 in a short amount of time then start giving monthly 1.00 per machine on location $6.00 a month untill you hit 7 months then you go to $12.00

If you can use a well respected local charity that is non profit that dosn't run a lot of contrversy then go for it.

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