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Really nice setup!


bostonvendor27

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saw the same thing only bigger.i spent about 1 hour waitng for my wife to shop and did not see any pulls. i took a picture and went back a few days later and it did not tell me there was a lot of pulls.....i shared on vendiscuss a prototype for supermarkets/malls and chain stores, when i get it complete i will first share with vendiscuss,who thru everyones help has helped me grow from 3 1800s to over 50 locs all working and growing.my idea is new and inovative.initial response is very good.the idea came from how ugly those racks look iwill keep all advised  ron

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There are a couple in the malls around me and they are used ALOT. if you stand and watch for 10 or so minutes it will get used several times at least. Thats just going at a low traffic time when me and my wife may go. I would do it if I had the chance.I bet you would pull 1500.00 a month just from what I see

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Do they charge for the space or commission from sales (or both)?  Would I need to convince the mall to let me place machines or is it more of a rental agreement?  Does anyone have a location like this?

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The rates vary by mall.  You really need to negotiate with the mall, there are about 3 or 4 companies that work the malls on a national basis.  The picture above looks like a setup by a campany called Funstop.  To give you an idea one of the malls I used to service had 4 kiosks, the company paid $300 per kiosk.  The mall would bring in $2000-$4000 per month gross, depending on the time of year. 

If the kiosks do not look good the mall will get on you pretty quick.

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Do they charge for the space or commission from sales (or both)?  Would I need to convince the mall to let me place machines or is it more of a rental agreement?  Does anyone have a location like this?

Malls charge a flat rent for the space based on location and square foot.  Then you have to report your sales each month and if you go over whats called the break then you have to pay more.

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If I got close to "the break" I imagine I might be tempted to skip a head or two.

True, and I don't see how they'd be able to accurately audit you.  And if you're paying rent, I don't exactly see how your sales are any of their business.

Seems overly intrusive.

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True, and I don't see how they'd be able to accurately audit you.  And if you're paying rent, I don't exactly see how your sales are any of their business.

Seems overly intrusive.

Unfortunatley thats how malls work. The stores have to report their sales, and pay a percentage above and beyond the rent. I can see  them doing this for vending kiosks also.

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I've spoken to a few malls, and done some significant research. If you do not reach the break point, the rent will take up a huge portion of your sales. In essence, if you are not paying the break, you are not making money. As soon as the gross sales percent (30 to 45% depending on area) is higher than rent, you will be switched to the commission. In essence a simpler way to look at it is that you are paying the percentage, and guaranteeing a minimum of the establish rent amount. If your sales are too low, it's your loss.

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i was offered either option. 40% flat or base rent with 40%. It seems a better deal for me if I just went straight 40%. I would not have to worry about the reaching a min.

I have heard someone say they were offered 40% of a base rent plus 30% above a certain point.

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i have owned a few stores in malls not just vending if you make the break you relly dont mind paying up because break is high.  i had machines in one food court and the ask me to start paying CAM si i just pick my machines up.

For the one that dont know CAM is what the mall charges food vendors to pay for cleaning and trash etc.

In the mall business the devolpoer is the one making money,

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