Guy wants $9000 for a not great machine and location

[s.weir]

So I have been corresponding with this guy on kijiji with 4 Seaga HF 3500s for sale on location.  He says he originally paid $36000 for the four of them (can anyone say biz op?) and has been trying to sell them as a group.  His pricing over the past month has gone from $21000 to $14000 and now today he has split them up.  Together they were making $1000-$1100 per month (I assume that is before product costs are deducted).  His best location is allegedly making $600ish per month (once again I assume this is before costs are deducted) and he wants $9000 for it. 

I mentioned to him that I owed some of these machines and that they were only worth about $2000 dollars each and he must have bought them from a biz op to think they were worth that much.  He messaged me back with this:

not sure your judgement, for location, it is worth more than $7000,

for machines, it is $9000 each, I am second owner of machines.

I decided to just stop emailing him because I am not interested anymore, but even if the location is making what he says it is I am correct in assuming that is WAY to much correct?

[lurtsman]

I dont' even do full line, but I know that's over priced crap.

[Sparta_Automation]

$9000 each....no way, no how!

Other then getting a good laugh from continuing to email him, you're just wasting time as his assessment is WAY OUT OF LINE!

But based upon his own numbers.  $1000 a month in sales ($500 profit...roughly)....$6000 a year profit.  It would take 1 1/2 years to pay back.  That's assuming that his numbers are correct!

Travis

[mxer518]

people that do not ever buy right will never sell right.

[s.weir]

It kind of bothers me when people screw up by buying into biz ops and stuff, but then they can't understand why I don't want to pay them the same price to buy it.

[mission vending]

Just for fun I`d send something back like this....

Hey Bro,

Whenever you sober up and/or come down off of whatever recreational pharmaceutical your on give me a ring so we can have a meaningful discussion about your machines and locations. LOL

[s.weir]

The sad thing is mission...I have sent people responses before telling them, "Just wanted to let you know, your machines are over prices, even compared to the other people selling the same machines on kijiji" and I usually get angry messages back.  One guy I actually received two messages from, the first saying I was wrong and they were selling fine (people buying from him must be really stupid) and the second a few minutes later had several links to places selling the machines in the states, he argued he was selling them super cheap because you didn't have to pay fees for importing.  Gee...I wonder if he considered buying them domestically... or NOT BUYING THEM FROM BIZ OPS IN THE STATES!  That is why they were so expensive, he sent me links to places that were selling mechanical machines (which were only worth about $500 TOPS) for like $2500 without shipping.

Why is our industry flooded with stubborn people who don't do research!?!

[gogo]

Eventually, these guys/gals come to their senses ... it just takes them some time to admit they were ripped off. I approach negotiations with discussions about ROI. Who in their right mind would buy a machine/location package that takes 6+ years to pay off? They don't know what they are getting into when they buy ... I, however, do understand the bigger picture and I explain the realities of the vending business to them. Frequently, it is the first factual education they have on the topic.

BTW, the guys who angrily respond that your offer is too low usually sit on their craigslist ads for months and months. They might find another gullible buyer here and there, but they continually lower prices until they just want to GET OUT!!! 

This business is primarily about locations, not machines. But the biz-op victims just want to talk about the quality of the machines ... it's so frustrating ... they just don't seem to get it. I flat-out told the last seller I dealt with that I had no interest in the features of his machines .... all I wanted to know is how much money they make him. He insisted that I come over to his house so he could give me a long sales presentation about the equipment. It was like pulling teeth to get him to admit that he made next to nothing on his locations. Are you kidding me? This corporate middle-man had no clue about how to run a profitable vending business. He was living in a fantasy world constructed by slick salesmen with pretty Powerpoint presentations.

If I have a good location lined up, then iI will pay an attractive price for a combo machine. If I have a mediocre site lined up, then I will pay a lower price. If the machine works, it has a base value. If I have a place to put it, then that value increases.