ATM's as a Profit Center for Your Business

I know that I have talked about ATM's before but I had a chance recently to discuss how profitable ATM's have been for various retail stores, restaurants, and bars.

For many business owners, the best option has been to be to only be responsible for stocking the ATM with cash. This means zero up front cost (other than the cash which is credited back to their bank account within 2 business days as it is dispersed from the ATM).  On the low end, a couple of businesses have been generating about $100/month in profit from the ATM surcharges.  Businesses with higher volume (or in areas with few ATM options for customers) have seen monthly profits over $300.

$100 - $300/month may not seem like a lot but that equates to $6,000 to $18,000 over five years. Not bad for something that has a zero investment cost.

Making Money by Owning an ATM

So, I've taken some time to analyze some ATM transaction data and come up with the following conclusions:

• You can make money through an ATM if the following criteria are met
• You charge a $2.00 transaction fee
• You pay no more than $3500.00 (very easy since our ATM's at DirectPOS start right around $3000)
• The ATM will be placed in an area that will generate 140 to 145 transactions per month
• The ATM also needs to be in a secure location as we prefer to use special bolts to anchor the ATM

If you do the math, 145 transactions per month X $2.00/transaction = $290.00.

$290.00 X 12 Months = $3480.00.

That means that the ATM is paid for in one year - after that, the $3480.00 per year is pure profit. Not a bad return on investment!  Other than stocking for cash & paper, ATM's do not require too much maintenance these days. They even run a version of Microsoft Windows so they are really easy to program as well!

You can always contact me through blogger or at 208-376-8121x234 for more information.

You Can Make Money by Having an ATM

I'm analyzing some data from retail stores, restaurants, bars and nightclubs that own their own ATM's. Appears that these things pay for themselves in the first year and then generate additional profit each month for the business.  More details later this weekend once I sort through all of the data...