Selling My Bulk Vending Route Part1

First let me clarify I am not getting out of the vending business, I am restructuring, redefining how I want to run, and grow my business, a reset if you will. This article is about how I went about preparing for the sale, deciding what I wanted out of the sale, and how I tried to sell it. This isn’t a “how-to” guide so much as just informational in how I did it.

Preparing to sell my bulk vending route

I keep a spreadsheet tally of all my vending equipment as I order and buy it. My spreadsheet made it a snap to not only list what I have, for advertising it, but to assign a sell price point to each machine model type and then multiply it by the quantity of each model. After adding all of the totals into a grand total, that was how much I wanted for all equipment.

Next I looked at my locations. Most vendors I know value a vending location based on current locator prices, it goes something like this; if the locator average is $40 per location and I have 40 locations that would be 40x$40= $1600 value for locations. This is a great simple and easy system, a lot of people use it, but I decided it wasn’t for me.

The problem with using the value model above is this; it says all locations are the same, and for unknown locations, like brand new ones the locators find for you, they are. Mine are not, I know that I have relocated my machines to more profitable locations for underperformers. I know that the majority of my locations have been there for an extended amount of time and that the chance of being kicked out anytime soon is lower than a new location. I also know that several of my locations are super performers, making much more per month than the industry average.

Because of these known variables I was able to make a more true and accurate estimate of my bulk vending locations value. My formula went something like this (standard value + adjusted performance + adjusted super performer if applicable=xx).

After getting my value totals for my vending equipment and locations I next moved to my vending product(s) inventory.  Some may include total product inventory, including that in the machines on route, but for my own calculations I only considered what I had on hand which included; candy, regular gumballs, premium gumballs, tattoos and lots of toys. I made best estimate calculations, minus shipping costs because I wanted to be fair in my pricing model.

Last preparations for the route value included estimating the value of all miscellaneous vending items not already accounted for. This included tons of labels, price stickers, boxes of wheels and brushings, matched locks and keys, extra globes and other misc. parts. It also included the website, not this one, the site for the vending route itself, and all of my custom spreadsheets to keep up with running the route and my “service” kit which included all the tools needed for repairs, lots of extra hardware, professional grade service containers, heavy duty cotton change bags, etc…. These are tangible items and should be attached a value, if you include them in a sell.

The largest part of preparation was as I went through everything to value it I organized and cataloged it, made sure everything was in working order, cleaned anything that needed it and made sure I was delivering exactly what I would say I would in my advertising of the route.

See Selling My Bulk Vending Route Part2

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