7 TOP QUESTIONS A REAL ESTATE INVESTOR MAY ASK ABOUT THE ATM BUSINESS CAREY BUCK
add an extra income to my bottom line. The ATM business, while not a tweak to your real estate business per
se, is certainly a tweak to your bottom line!
4) What exactly are the expenses in the ATM business?
The expenses really are minimal on a month to month basis. I’m not going to include the cost of your equipment
here because that is a 1 time expense. As far as monthly or yearly expenses in the ATM business here you go:
You will want to have insurance for your ATM business (which covers your ATM machines, cash, liability, etc.)
This should run you about $500 or so a year.
You will have to pay a monthly fee in order for the ATM itself to connect to the banking networks (so you can get
paid.) This can either be through a phone line or a monthly modem fee. They probably will run you about the
same amount monthly. $15 to $25.
Servicing of your ATMs shouldn’t cost you more than $250 to $1000 a year. For my ATM business that I have
had for over 3 years now, I would say that I’ve been running at about $250 to $300 a year in service parts. My
partner and I do the work ourselves so we don’t have to pay labor charges. (A service call has never taken
more than 15 minutes in over 3 years of being in the business and with a half dozen or less service issues.)
You may have to pay profit sharing or rental fees to site owners. That monthly figure is up to you. It could be $0
or it could be a portion of your profits, monthly. It all depends on how you want to run your ATM business.
You will find that the ATM machines out there are work horses
and not a lot goes wrong with them. But when they do, you
have to be prepared.
5) How much does the equipment cost?
I buy brand new ATMs, and they cost about $2,000. Give or
take a couple hundred bucks for shipping, installation, etc. .
You’re also going to want to buy either a wireless modem that
can communicate with the ATM and the banking network, or
you can install a new phone line into the business location to
do the same thing.
“Only 2.94% of businesses
actually have an ATM in them.
Does that sound like
saturation to you?”