💸 Great Beginner Business - Vending Machines
super low startup cost with a lot of potential!
GM. This is Work "After" Work, the newsletter that has your back like that friend who reminds you when it's another friend’s birthday.
It’s Friday, let’s boogie:
🍫 Vending Machine Business
😂 Meme of the day
WHO DOESN'T LOVE SNACKS!
Who doesn’t love a good ole snack? Especially when you’re waiting for hours for your car to be fixed. Or a long day at the office and you just need something for your cravings... I don't know about y'all but only at vending machines will I justify paying $3.00 for water 😒
Regular people will go to vending machines and pay the premium for their snacks and drinks and not think twice about whatever.
But smart people, or people who read Work "After" Work 😎, try to find opportunities everywhere. And the vending machine business is the opportunity we'll be talking about today!
OK, SO HOW CAN YOU START ONE?
1. Find a location
The very first thing you need is to make sure you find a location. A very GOOD one at that. From my experience, the best places to put a vending machine are laundromats, mechanic shops, office spaces, and hospitals/clinics. Ironically, all the places where people wait for their service to be completed.
Landing a location is by far the hardest step, but luckily for you guys, I have a whole script you can use when reaching out to businesses. The only cost is to refer this newsletter to at least one person. Grab the script here!
Now I know cold calling can be nerve-wracking. I have no clue how salespeople do it... but the best part for both of us is everything's online so you can just DM or email a lot of these businesses and reach out to them that way.
2. Buy the Vending Machine
*Note* Before you buy one, MAKE sure you land a location first.
What the majority of people do is they go and buy a vending machine first, but never find a location. Then they are stuck with a whole machine sitting in their garage not making any money.
You can find amazing deals on Facebook marketplace, Letgo, Offerup, and Craiglist.
Sometimes if you get lucky you can snatch one up for free because these machines are so heavy, people don't want to deal with moving them and if you offer to come grab it they'll just give it to you. If not, you can get a used one for about $700-$1,000.
Make sure it's functional tho... I'll leave it at that 😢
Let's say you find a great vending machine, your location is set, and the business owner is cool with it. Now you just need to get it there and this can be tricky.
What you can do is if you know someone who has a truck ask them if you can borrow it. If not, the second method is getting a U-Haul truck or moving company to take it there for you.
It all depends on what resources you have. If you buy it new, or through eBay, you can just have it shipped to the business location to save you the headache, it all depends on your budget.
HELP FROM YA BOY 👀
Buying Snacks - I get all my snacks from Sam’s Club. They have a large variety and have great prices. You can use any bulk grocery store near you. If you don't have any you can honestly buy your snacks from Target or Walmart, just know you will be paying a little more.
Tips to land locations - To get business owners to let you in their location tell them all the benefits of having a vending machine on-site. Like, it will decrease the rate of customers leaving their business for food, it can bring customers into your business, and the business owner can make extra money each month because you will give them a percentage of each sale.
Harsh Truth 😬
Now I'm not gonna sugarcoat this business as being a "great" business because there are some drawbacks. It's very hands-on. So if you don't have the time maybe it's best not to go after this.
But I will say it's one of the best beginner businesses. Vending machines was one of the first businesses I started and you actually learn a lot from it.
This is the section where I keep you up-to-date on anything new in the tech world 🤖
Today we’ve got news from Apple. In September, when IOS 17 drops there will be a “personal voice” feature that allows your iPhone to talk in your voice with just 15 minutes of training.
It’s supposed to assist those who’ve lost the ability to speak or who are blind or have low vision. Pretty cool!
MEME OF THE DAY
this can’t be real 😂😂
Never forget that time Whole Foods put a spear of asparagus in water and then charged $6 for a bottle of “Asparagus Water” https://t.co/CpPFAjFDVQ
— Trung Phan (@TrungTPhan)
May 17, 2023
That's a wrap! Enjoy the weekend :)
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DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.