With the economy the way it is these days, more and more people are looking for ways to provide security for themselves and their families by getting away from the insecurity of a job and into the freedom of self-employment.  If that is you, then my business might just be the opportunity for you.

As opposed to the “vending seminar” or “vending opportunity” you have probably seen advertised in newspapers (under the “Business Opportunity” section, no less), which is nothing more than a clever way to get uninformed people to buy overpriced equipment, my vending business is a bona fide, currently operating business.  It is already making money, and will continue to make money for the new owners from day one. It is well-priced, and the client base is established.

I would prefer to sell my company as a whole.  However, I am open to the possibility of selling it in parts in order to give people the same opportunity that came available to me years ago when I purchased a small route.  It is a great way to get your foot in the door and learn about the business from someone who has spent time growing a successful operation, or an excellent opportunity to grow your existing route.  It is an opportunity for you to be in business for yourself. You can make a low-risk, small cash investment in a business that will make money from the day you take over.  You will be making money in your sleep, and you can decide to work it full time or part time as a secondary income.

How many times have you thought about starting your own business and being your own boss, but you found it either too risky, or just did not have enough money to make your dreams come true?  Well, stop dreaming and read what I have written about my business, and how you can make it yours.

Potential Candidates
This offer is being made available to individuals who have 1) the capital to invest in this venture, 2) business savvy, and 3) the desire to own and operate their own business.  You will be provided with excellent training, historical data, financial information, and all the contacts, materials, and tools necessary to continue being a success in this business.  The knowledge I have gained over the years in this business is valuable and proprietary. Therefore, specific information about my business is not available to those who cannot afford it. It is only available to those who have been carefully screened as financially capable of investing in my vending business.

Business History
I started my vending company (we’ll call it Coin-op here) in 2000 by purchasing a small route consisting of three customers, and had a vision to develop it into a business that could support my family. This business has done so well for us that we were able to save enough money to invest in commercial real estate, start a retail business, build a house, and still pay all the bills without needing a regular job.

Location
Coin-op is located in one of the largest metropolitan cities in the nation: San Antonio, Texas. The city is growing, has a strong economy, and has not been affected by the downturn in the economy like the rest of the nation.  Home values have experienced little fluctuation, and San Antonio has been fairly insulated from the market’s ups and downs.

Reason for Sale
I’ve been doing this for over nine years and am ready to change direction. I own another business in a different industry altogether and am looking to invest in that and grow it into a long-term investment.

Revenue
In 2007, Coin-op grossed $254,547. In 2008, the business grossed $329,500.  Early in 2008 I spent some time acquiring new clients and growing the business.  My efforts yielded over 30 new locations placing 40 machines.  For the most part, the machines were placed in late April through the end of May. Almost all of the machines had their first full month’s worth of business in June, with a few exceptions.  Revenue for January through April of this year is $111,100.  Our revenue typically increases about 30% during the summer (late May through end of September) so the business is on track to exceed 2008 sales.  If you are interested in purchasing a portion of the route, I can customize a route based on your investment capability and/or cash flow requirements.  Coin-op maintains a very high profit margin when compared to the industry.

Client Type
As mentioned above, our client base has recently grown considerably due to my renewed focus to grow the business. Currently, the company services 119 clients with about 174 machines on location. Coin-op has a very high retention rate and many of its clients have been in the portfolio for over 5 years. In addition, many of the accounts are secured with a 2-year, self-renewing, transferable contract.

Support
This business can easily be run by an owner/operator and is being marketed that way. I currently perform all duties in the business (receiving orders and inventory, stocking machines, repairs, responding to clients, acquisitions, administrative work, etc.). I currently spend less than 22 hours per week working on this business, to include stocking machines, receiving product, and repairs.

I will spend as much time as the new owner(s) need(s) to get up to speed with things, the exact amount of time can be negotiated. However, I will take a vested interest in customer relations to ensure the new owner’s success in client retention. Complete training in all aspects of the vending business will be part of the sale, if necessary.

Risk
As with any business venture, there is risk. A wise business venture is one in which risk is minimized to the extent of being negligible. This is probably the least riskiest business venture you could invest in.  Here are a few reasons why:

• As I mentioned above, the route you purchase has historical sales data (some as far back as 9 years).  Therefore, you know what you are getting and what you can expect.
• Many of the clients are secured with transferable agreements.
• My training will be thorough.
• My ongoing consultation and public relations services (which are negotiable) are available to ensure that you and your new business are in it for the long term.
• There are other benefits that I consider to be proprietary information that can be discussed with potential buyers.

Benefits of buying my business
The benefits of buying my business, in whole or in part, are:

• Minor cash investment;
• Immediate cash flow;
• Very low risk;
• Can be operated as a secondary source of income (part time);
• Excellent training;
• Large number of medium-sized clients, thus no impact with minor attrition;
• Secured clientele through contractual agreements;
• Easily run by owner/operator;
• Numerous opportunities for growth that will be discussed with the new owner.

Sale Price

The sale price I am asking for is arrived at by using the ratios listed by the reference books used by business brokers. Two methods normally used are: 1) a percentage of Gross Sales; 2) a factor of Net Income. I am using the 2008 and 2009 sales data, YTD.  I’ve arrived at virtually the same asking price by using either method.

Sale price: $215,000

Terms are negotiable. Owner financing will be considered.  Trade for income producing real estate will be considered.

What you need to do next

Contact me expressing your interest in buying my business (I prefer e-mail at the address noted below). Be sure to include your full name, and a phone number I can reach you at. Be prepared to talk about all the information I need to ensure you are a qualified buyer, including proof of capital.

vendingforsale@gmail.com

Thanks for your interest.

Can you live on this type of revenue?  I would say so.  I’ve owned this business for nine years, seven of which have been full time without the need for another job.  My wife does not work since we homeschool our children.  In 2006 we had saved up enough money to purchase an auto repair franchise, including real estate.  Also in 2006, we built a home.  During this time, all of our bills have been paid, racking up no personal debt (other than the mortgage).

If you are looking for a get-rich-quick-scheme, this is NOT it.  If you are looking for a long-term investement in your future, or a vehicle to get you to the next step in your life, then my business could be for you.  Maybe you just want some extra money to buy some toys or travel.  Maybe you want to spend more time with the family, or would like more time to pursue your hobbies.  If you are looking for a good return on your investment, my business can help you accomplish that.

Click here to play “Money from the sky game.”

Nevertheless, if you could figure out a way to only visit a location when it is just about to sell out of a product, then that would be the most efficient time to service that particular machine.  If you decide to visit locations every week, for example, you will find that there are many machines that will only require a minimal amount of restocking, or no restocking at all.  That would be a waste of time, fuel, and unnecessary mileage on the route vehicle.  On the other hand, if you could visit machines and stock eight or nine cases of soda without having run out of any product then that would be ideal.

I have designed my route as best as possible to not make unnecessary trips, but to ensure that I don’t have product selling out either.  There are numerous accounts that I visit weekly, and many accounts that I visit bi-weekly.  There are several more that only require a visit every three or four weeks.  In so doing, two weeks out of the month are pretty heavy and the other two are lighter.  Let me give you an example:

Week starting 6/23/09 – On Tuesday I worked from 5am to 5pm, visited 39 locations, and used 203 cases of 20oz. soda (I own another business and have three active children.  Therefore, I prefer to work hard and long in order to compress as much work into a day as possible).  On Wednesday I worked from 6am to 1pm, visited 17 locations, and used 102 cases of soda.  This was one of my heavy weeks.

Week starting 6/30/09 – On Tuesday I worked from 530am to 5pm, visited 25 locations, and used 165 cases of soda.  On Wednesday I worked from 6am to 930pm, visited 11 locations, and used 49 cases.  This is an example of one of my light weeks.

I’ve scanned a copy of my deposit slips for each of the two weeks to give you an idea of the type of money this route is making.  The first slip on 6/26/09 only reflects a deposit of bills.  I did not have time to deposit the coins.  The second deposit on 7/1/09 includes all cash collected this week and the coins from last week.

SUMMARY

As you can see by the example I’ve given for the last two weeks, I worked 34 hours total and deposited $15,500.  If you want to look at it this way, I made $456/hr.  Do the math and you will see that the revenues I’ve listed in the previous post are actual.