How this 31-year-old turned his side hustle into a $300,000 vending machine business: ‘I only work 4 hours a week’

At 31 years old, I have a vending machine business that brings in more than $300,000 a year. My mom was working a $17-per-hour managerial job when I was living at home with her.

I wanted to save enough money to purchase a rental property that could be used to make money. A new side hustle idea was sparked when a woman took cash out of a vending machine.

I thought about how profitable it would be. I bought two machines when I moved to Philadelphia in the middle of last year.

The vending company made $5,000 in the first year. I have 21 vending machines in Baltimore, Philadelphia, Detroit, and Washington, D.C., and I am on track to make $500,000 by the end of the year.

My best advice for anyone who is interested in starting a similar business is to read this.

My startup cost was $4,000, which I used to pay for a snack machine, two credit card readers, food and drink products, and delivery fees.

I recommend saving between $4,500 and $5,000 due to inflation. Depending on the type of machine, it can run from $1,000 to $10,000. Delivery costs can be as high as $500.

Since you aren't only relying on customers to have cash on them, credit card readers can increase sales by up to 25%.

Automatic Products are one of the reliable manufacturers. If there are vending machine warehouses in your city, you can check them out on platforms like eBay.

Different types of machines are available. The Vendo 511 Drink Machine is a classic example of a refurbished machine. A new one costs a lot.

The most profitable machine location is an online gaming venue in Philadelphia.

CNBC made it.

If you only have room for one machine in a certain location, I recommend you go with the Crane National 449 combo machine, which has both snacks and beverages. A refurbished machine can cost as little as $3,500, while a new machine can cost as much as $70,000.

It's location that's important. Places with a lot of foot traffic are always on my mind. You can find apartment complexes, hotels, student housing areas and warehouses with a lot of employees.

Find out if a location is profitable.

• The hours of operation of the establishment: The more days and times they’re open, the higher the opportunity to make sales.
• How big the staff in the area is: More people working in or around the building means more potential customers.

One of my best placements is an online gaming location in Philadelphia, which is on track to make $100,000 this year.

I don't pay a lot to put a machine in a location, which is typical in this business. Many businesses just want the service and don't want to pay for it. 15% of the monthly profits is paid to one venue.

After starting Joyner Vending, I quit my full-time job and now work only four hours a week. I usually shop online for food and beverage products. I replenish a machine in Maryland on a weekly basis.

There isn't any branding or customer service involved in this business because the machines operate on their own. That is not true.

My quick response time is something that distinguishes me from my competitors. The places that house my machines and the people buying items from them are both places that I try to accommodate.

Gram wants to open a vending machine warehouse one day.

CNBC made it.

I invested $20 in business cards and spent $30 on a polo shirt when I first started out. I paid for a website and prepared a business proposal if there was a machine placement opportunity.

My best-selling items are Coca-Cola, Red Bull, peanut M&M's, Doritos, and Iced tea. I usually get them in bulk from distributors.

In Philadelphia, there is a vending machine warehouse that sells food and beverages.

I can buy a bottle of Coca-Cola at a wholesale price of $0.55 and sell it for $1.75 at the store. A bag of chips will cost me $0.60 and I will make a profit of $0.80.

Thirty percent of my revenue goes towards stocking products, 10% goes to paying my five part time employees. My take- home profit is 50%.

I would like to open my own vending machine warehouse in the future.

I began offering an online class on how to start a vending machine company in 2020 and wrote an eBook based on it. I have made $90k from these digital products. A one-on-one coaching and consulting program will be launched next year.

Joyner Vending has changed my life in many ways. I enjoy sharing my knowledge with other people because I have become an expert in the business.

Joyner Vending was founded by Marcus Gram.

A 31 year old man makes $300K with his vending machine business.

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