| Author |
 Topic  |
|
|
subaqua99
Penny Sorter Member
Canada
25 Posts |
 Posted - 01/13/2010 : 22:16:53
|
In my town there are about two dozen banks and about a dozen groceries stores. None of them have coin counters like coinstars. I looked online and it looks like you can get similair machines for about $12,000- $15,000 each.
Anyone ever think about investing in one of these and approaching a bank or grocery store about placing it in there locations? Obviously coin star has mastered this in bulk. But I wonder if I could make a small business out of buying 2 or 3 of them around town. My luck I would lay out $50,000 for 3 of them and next week the credit union or TD BANK would install them for free and I'd lose my shirt.
|
|
|
twocents
Penny Collector Member
398 Posts |
Posted - 01/13/2010 : 22:25:43
|
| I think you answered your own question. The big fish will always be able to run you out of town. Let's just say the town you are in wants Red Box machines, you know the $0.99 DVD rental machines. Yet Coinstar, who owns these, says, "hey if you want the Red Box machines, you also have to take our Coinstar machines." You would be out of business quick. Better yet, the big fish will let you create the market, and then they will steal it out from under you. |
Just my two cents! |
 |
|
|
fasTTcar
Penny Hoarding Member
Canada
573 Posts |
Posted - 01/13/2010 : 22:38:15
|
Where in Canada are you located?
A few things you need to know about coin kiosks.
Firstly, you need to sell the system to prospective locations.
If you can pull that off, you need to be able to handle the coin transport, security as well as the maintenance of the machines. Then you need processing equipment (and a facility) to handle the coin and an accounting system that allows a verifiable paper trail so you can profit share with the locations. Insurance is a killer for any money handling operation and no national player will deal with you without a hefty policy. Finally, you need to find a way to get rid of the coin, as you can not just show up at your bank branch with a pallet full of pennies.
It can be a great business, as a couple members here can attest to. However, it is not as easy as sticking a couple machines in a location and waiting for the copper, nickel and silver to roll in. |
www.londongoldbuyer.com |
|
|
|
jldco
Penny Pincher Member
USA
114 Posts |
Posted - 01/14/2010 : 09:01:41
|
| Sound advice by twocents and fasTTcar. Great points by both. |
Mark 8:36
www.pennybullion.com |
|
|
| |
Topic |
|
|
|
Thoughts on investing in Commercial counters
Forum Locked
