buying a another route

[amc-vending]

I ran across an ad for a total of 20 1800 machines, 15 are already placed, 5 in storage.

they are asking 125.00 each for the ones that are placed and 75 each for the ones in storage.

or bascially 2250 for everything.

I had email them and they said they avg around 10-15 per machine on location.

It seems like a fair deal - figuring the machines are 75 each and 50 to place them anyways.

I wanted to see what other people thought of the deal - was thinking about seeing if they would owner finace the deal on a 6 or 10 month note.

any ideas ?

thanks

[chrisdunn77]

sounds like a good deal to me. i would take it to expand your business then slowly move the slow performers as needed.

[amc-vending]

i am meeting with another person next week that i already purchased 1 location from and purchasing another location plus 1 spare machine (xyz machines) - he has 12 on location and 20 in storage now also - he is going to full line vending and doesnt have time to deal with the bulk anymore.  We have worked out a deal on those system (99% complete) but just for the ones on location and a set price of 75 each for the ones in storage.

so if this other person goes for the deal that would give me around 30 or so on location.

the one i have already purchased avg around 50 per month and the one i will be picking up avg 60 per month.

so i am getting hyped

[Faith Vending]

The $10/15/mo locations are basically worth nothing. You should only pay for the equipment in these locations.

[amc-vending]

True  - But may be able to increase the sale by changing out to different product - if not - I will relocate them to a different location at a later date.

[amc-vending]

they didnt want to finanace the deal, so I went ahead and purchased 1 on location and going back this coming week and purchasing 2 of them out of storage plus 1 more already on route.

I was able to get a better price the one listed at first.

[Faith Vending]

Good job amc; my point was for negoiating purposes the locations do not add value due to minimum production. I bought a route similiar to yours and basically we agreed on a price for the value of the 1800's placed, not the locations. Out of 25 placements I have one still on location; I probably collected $300 for all over time and that did not pay for my time, gas, labor etc of pulling them. Then if you add another locator fee or spend your time locating, I think you can see my point. Regardless, best of luck with your new venture.