Profitable Vending Route with Fully Paid, Newer Machines

FINANCIAL INFORMATION
Asking: $135,000
Annual Gross Revenue: $358,000
Annual Net Cash Flow: $64,000
Furniture, Fixtures & Equipment: $200,000 (included in price)
Inventory: $6,000 (included in price)


SUMMARY INFORMATION
It would be very difficult to find a better vending opportunity than this one. The asking price of only $135,000 is far less than the value of the machines and the net profit, which totals $264,000. The seller is selling because he has a regular job which does not leave him adequate time to devote to the vending business. This is a turnkey opportunity with profitable locations and an easily serviceable route. Seller has started negotiating with a major technology company in the Silicon Valley. This will be a new, significant contract. This company is not just another vending business. This is a 21st century vending concept that makes healthy food more convenient than junk food. This concept has proven to be effective in that the business has been recording revenue growth. Moreover, healthy eating is in line with the valley consumer culture of healthy and green. The vending machines are located in schools, gyms, etc. and the seller has recently made inroads to the technology companies in the area. Each machine currently yields over $10,000 a year. Micro-markets with multiple machines in the technology companies yield between $70 to $80K per location, per year. This is a great opportunity for a new owner to leverage from an existing base of customers, take this business to the next level and generate a nice stream of supplemental income.

GENERAL INFORMATION

Location: Santa Clara County, San Francisco South Bay Area


Facilities: Seller makes cost-effective use a 900 sq. ft. warehouse space that functions as storage, restock/distribution and administrative space.

Competition: As with any business, there is some competition. However, this vending business differentiates itself with its healthy food and drinks and there are some contracts in place with schools. The machines feature state of the art features and payment systems.

Growth and Expansion: Though doing well, this business has considerable upside potential. The current owner/operator has been running the business part time. A new owner should be able to initially run this as a supplemental income generator and at the same time grow this business significantly by stepping up target marketing to the surrounding community and companies.

Support/Training: The current owner will provide training in marketing outreach and materials, purchasing and inventory management, accounting and sales record system. Duration of training is 2 weeks @20 hours a week.


Reason for Sale: Seller is transitioning to a new career.

Year Established: 2013


Employees: There are 2 part time employees and the owner who works periodically. The employees are well trained and experienced. They likely will want to remain under the new ownership.

Financing: Some seller financing may be available for a well-qualified buyer with a substantial down payment.

CONTACT INFORMATION
Contact: Sam Lee

Phone: 408-839-1877
Email: