The most profitable business is the sale of food. And if you bring the tray with food and drinks closer to potential consumers, eliminating, in addition, the need to pay for the services of sellers, this type of activity becomes even more attractive. So how to start a vending business?
What is a vending
This is trading without a seller. A special machine accepts payment and issues the goods selected by the buyer.
The very first machines were patented in the USA back in 1886. Since then, this type of trade has successfully evolved. Modern units offer everything: food, drinks, books, digital technology, shoes and clothes.
In Russia, all the characteristics of trading apparatuses were devices that offered sparkling water.
But in general, compared with the countries of Europe or Asia, in Russia this business is not too developed. You won't find vending machines with food just as often. Therefore, you have good chances to find your place in this niche.
The benefits of vending machines with food
What are the advantages of this type of trade? Isn’t it easier to open a traditional point?
Among the main advantages are the low operating costs of the machine. To install the equipment you do not need to rent serious areas, just a small patch is enough. No need to pay a salary to the seller. And advertising is not required for your business.
Reviews about the vending business confirm that it pays off very quickly. Initial investments are required for the purchase of specialized machines. With an unsuccessful location, you can always quickly move to a new point. A round-the-clock mode of operation of the unit ensures that you will not be left without profit.
How to start a vending business
Like any business, trading through a machine must begin with the registration of your company. You can register as an individual entrepreneur. Or to collect documents and form a limited liability company.
Then carefully study the appropriate taxation options. Most likely, a simplified system will suit you. But in some regions you can pay a single tax on imputed income. If you are at a loss to make a decision yourself, then consult with specialists from the tax office. In the latter, by the way, you need to register.
We get equipment
When choosing machines, focus on the most popular models. The easiest way to start is with units that sell hot (tea, coffee) or cold drinks. The second place in the ranking is occupied by devices offering snacks and sweets. And on the third - machines with toys. Other types of selling equipment are not so common here. With the development of your business, you may well try other types of devices. For example, machines with pizza.
When developing a business plan for a vending company, think about the question of whether you will buy a machine or rent it. At first, while you are just trying your hand, it is worth considering the second option. If you understand that things are not going uphill, it’s easier to refuse to rent a unit than to look for a buyer for it.
Another pressing question is whether to purchase used devices or to pay money for new equipment.If you do not want to deal with breakdowns of machines during the business promotion period, then buy equipment from a trusted supplier who provides warranty service for your products.
When buying machines, pay attention to the presence of a convenient bill acceptor equipped with a reliable recognition system for banknotes. Your device must have a change delivery function. Great if your unit is equipped with an intelligent payment system. Then customers can easily pay by plastic cards. Now most young people prefer cashless payments.
We solve the issue of SES
There will be no problems with the sanitary inspection regarding the use of new vending machines. SES does not make claims to them. They usually have a water filtration system. And the documentation is all right. You only need to keep your equipment clean.
But the owners of used devices may have to order a paid examination to obtain permission.
We select a good place
The payback of a vending business directly depends on a well-chosen location.
What should be the perfect place? Passable. Under this definition, shopping and entertainment, business centers.
Good prospects are for those who place their devices with drinks or chocolates at stations or airports. In hospitals or clinics, there are also good chances to quickly make a profit. In these places, people are not just constantly crowding, but they still spend a lot of time waiting. And not everyone will go in search of a catering point; rather, he’ll buy a glass of coffee and a pack of snacks in the nearest vending machine.
In office buildings, employees like to eat sweets, but they don’t have time to walk around behind them. Therefore, they will also be very happy about the prospect of having an aggregate with chocolates and drinks at their side.
Schools are also attractive in this regard, but, unfortunately, the devices in them are often attacked by vandals. Therefore, you can incur much more losses.
Starting a new vending business, try to assess in advance the profitability of a future location. But even if you miscalculate in something, it’s not scary. The mobility of the device allows you to quickly change the place of its deployment.
Having picked up a place, take an interest in a rent. Sometimes office building owners are interested in installing free coffee machines for customers and employees. This is a great success, since you get a source of stable income. And you have to pay only for electricity consumption.
Underwater rocks
Before starting a vending business, familiarize yourself with its pitfalls. In the first place is vandalism. You must be prepared for its manifestations. Unfortunately, in Russia this is the main inhibitory factor.
Of course, machines located in large business, office centers are less susceptible to attacks by hooligans. As a rule, security guards monitor the observance of order in such buildings. But in shopping centers or public institutions (especially when it comes to train stations) there is a risk of losing the device. Therefore, it makes sense to insure your property.
The second minus is the inability to install such vending machines on the street. In the conditions of the Russian winter, they will refuse to work. And after the attack of local bullies they can not survive.
Staff
How many people do you need to service automatic machines? A vending company is a business that you can easily accompany yourself. You will need helpers only when expanding the business. If the number of your units with food and drinks exceeds thirty, then there will be a need to hire additional staff.
Usually the number of employees is calculated according to the scheme: one person for ten machines.
When selecting candidates, ask them for a driver’s license and a car. Warn the applicant in advance about the traveling nature of the job.
Payback
Let’s now calculate the costs of maintaining your business. We will include the cost of equipment in the calculation of expenses. The price of one machine is a run from one and a half to five thousand dollars. Renting a place can vary greatly depending on which region you live in and in which place you installed your units.
But on average, the amount is approximately one hundred dollars (about 4 thousand rubles). Each month you will pay for the electricity consumed by your equipment. If there are employees, we include their salary in the amount of costs. And of course, taxes.
And now about the income. A machine can make a profit of 500 rubles or more per day. We multiply this figure by the number of days in a year and get an approximate monthly revenue.
With the successful location of the machines, you will pay back your investments in two years.
Thinking about how to start a vending business, immediately consider the options for its development. Do not stop at two, three units with hot coffee. Invest the proceeds in the purchase of additional devices. Stand next to vending machines selling drinks, vending machines with packed snacks or sweets. By summer, put the devices with cold water. So you will be insured against falling profits.
