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Commission Routes


Darth_Vender
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I have been considering the bulk vending business for a number of months and this forum has been very helpful in answering all of my questions.  I was curious if anyone has had experience with commission routes and how they work?  What is the standard commission rate?  What is the max rate for commission?  How does payment work?  Does the owner/manager watch over you as you collect money or is it on the honor system?  What type of account should be commission (i.e., store front location)?

 

Any help you could provide would be greatly appreciated.  Thank you.

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usually I give anywhere from 15 percent to 25%on one account I give 30 but it is a high volume location(skateing rink)I did turn the vends down on this location though.

as far as counting money it depends.some locations watch what I do others could care less.

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Hey DV,

I will do 20-22% in high volume, highly profitable accounts for candy and toy capsule vending, (Not Higher). 25% for skill game machines.

You should also do charity vending in as many places as possible. Don't be to quick to give your hard earned money away just to get in to an account. Every account will be different, so I would decide how much, if any, commission you are going to offer, if asked, before you go in to a new account.

As far as being watched when I count money-I have never been watched or had anyone stand there and count with me. I scale it for a total and scale their commission amount and give it to them with a receipt. I would never cheat them and I guess they can sense that.

Gary

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Again, it really depends on the account. Some accounts like family run community type accounts will be happy to do it for charity.

Than there are the corporate type accounts that are use to always getting something for giving something. Slotting fees, placement fees, commission payments, etc.  They would not even think about letting you place a vending machine in their business unless you offer them one of the things I have listed above. If the account has very heavy foot traffic and a lot of kids, it could really be worth it to offer something.

Note: have a limit to how high you will go on the payments.

 

Although, if you find out which charity these big accounts like, you may have a change.

Gary

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In commission locations is it the most common practice to pay the commission on site when servicing the machine?  All my machines are NCCS and I count all my money at home with a separate money bag for each location (seems safer, more practical to me).  But I may be purchasing some locations on a route for sale which are already commission.  How do you "scale" the money for the total?  I am unfamiliar with this totally and need some good guidance/advice.

Thanks for the info,  Ginger 

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Ginger if you are purchasing a route, then how does the current vendor do it? What ever he is doing is what the locations will expect from you. Does not mean that you will not be able to change it but that will be dependent on the location. I use accucount counting scale, and have only one location were I pay a commission, but I love counting while I'm collecting as I find it less confusing for me to keep track of. Most of the time it is setup in my vehicle but it is light and portable enough to bring in the location. There is a thread on accucount on the forum.

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Grumpy,

I will look up that thread. 

The guy selling the route wasn't servicing the route.  He was selling it to the person servicing the route and d/t unforeseen circumstances that person is no longer able to do it.  The seller is unsure of how it is/was being done when I asked over the phone.  Thus it gets a bit tricky.  I will get the contact info from the seller of the service person when I actually meet him to see the route next wk.  Ginger

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