5 Favorite Vending Franchise Business Opportunities
Many people overlook it as a plausible business opportunity, but vending machines serve as one of the most widespread and lucrative home based businesses around. The average person passes dozens of vending machines weekly, if not daily, and though it’s often not on the forefront of the minds of those passing by, someone is profiting from each one of them.

For those who don’t know, estimates say that roughly 7 million vending machines are currently in operation, and those machines serve 100 million American customers every day, bringing in $43bil in annual revenue for over 700,000 employed in the industry. To bring it closer to home, what all those numbers amount to, according to surveys conducted by the US Department of Labor, is that the average income of a vending machine owner/operator is just over $70/hr.

The numbers are a little staggering when put together, but the simple fact is that vending is a far more profitable business endeavor than most people realize. What’s more, the overhead is much less than most other businesses, and the work itself is simpler, despite the outstanding return that it brings.

Product markups for the average candy vending machine hover somewhere in the range of 300-500%, meaning that for every dollar a franchise owner spends on product, $2-4 of pure profit comes back. All the while, the owner is busily expanding the business’ reach, maintaining other machines, or going out of town for a long weekend. And all of this can be achieved without any overhead costs, beyond perhaps a small rental fee paid to the owner of the space that each machine occupies. Vending machines may take a background seat in the public’s mind, but in the eyes of a vending franchise owner, they are a trustworthy source of income.

If you would like to take advantage of this great source of profit, however, it’s important to choose the right franchise business. Though it would be nice to be able to trust anyone making a business offer, there are a number of scams out there, posing as reputable vending opportunities. To help you avoid potential frauds interested in your money and not your success, here are five excellent business opportunities that sell an exceptional product and can be trusted with your financial investment.

1. Vendstar

A favorite in the industry, Vendstar is a solid opportunity that offers a flexible and easy-to-operate business with some of the most sturdy and advanced machines on the market. The problem with vending machines is that they tend to be bulky, taking up more space than a potential location provider is willing to lose, but with the advanced machines that Vendstar provides, that worry is a thing of the past. Built to take vertical space instead of lateral, the machines can house just as much merchandise without stealing walking space from store, restaurant, and office owners. And as versatile as the machines are, the home business is even more so, adapting to fit the lifestyle of almost any owner, including the elderly, college students, and married couples.

2. U-Turn Vending

If novelty counts for anything in the vending industry, this home home business gets big points for machine design. Though their machines can’t stand against a wall, like so many of their competitors’, U-Turn Vending machines offer something that the competition can’t touch: four-times as much candy variety. By designing a four-sided machine that spins, U-Turn Vending manages to sell eight different types of candy, and as studies indicate, increasing customer choices increases the likelihood of purchase. With 20 years of experience in the industry, this simple yet effective business can give you the ticket you need to financial independence.

3. American Vending Systems

Sometimes, the success of a vending franchise has less to do with the machine and more to do with the product. If selling a high-demand product is your idea of a booming business, American Vending Systems is for you. Specializing in the sale of energy drinks and chews, this work from home business gives the boost that so many working Americans are looking for. Particularly their Mad Dog Energy Shots are a hit among customers, providing a 6-hour, clean energy boost and giving franchisees the opportunity to make $3 per shot.

4. Allstate Investment Group

According to some sources, the most profitable corner of the vending market is machines that sell individually wrapped snack and beverage items, as opposed to bulk candy. Allstate Investment Group really took this to heart when they designed a work at home business built upon a machine that, instead of selling only one or the other, sells both individually wrapped snack products and beverages. The more choices consumers have, the more likely they are to purchase, and with only one franchisee assigned to a 50,000-person territory, the potential for earnings is very high.

5. DVDNow

Perhaps the most revolutionary shift in the movie rental market, DVDNow is one of a small number of automated DVD rental businesses that is sweeping the nation. Customers have the ability with these machines to spend only a dollar and pick up a movie for the night right at the grocery store they’re already shopping at. Franchisees only need to keep machines stocked with the newest movie releases each week and they’re well on their way to turning a huge profit in an industry that is just starting out.

It’s never easy to decide on a business opportunity, because it always appears there are so many to choose from, but as you choose the right one for you, don’t overlook vending. With so many great vending franchises to choose from, there is no reason not to profit from this lucrative and recession-resistant industry. And if you choose to go with a vending opportunity other than those listed here, simply be sure to do a good background check on the business before buying.


December 10, 2008