Most brick-and-mortar business owners realize that having an ATM can help them generate more cash customers. But have you stopped to consider that an ATM machine itself can be an excellent source of revenue? More and more entrepreneurs are discovering the possibilities of earning a steady source of passive income by building their own ATM business.
How ATMs Generate Passive Income
The idea behind passive income is that you receive maximum returns for little or no input—as opposed to active income where you must consistently work your business to get it to turn consistent profits. Here’s why ATM machines can generate great profits as a passive source of income:
- Turnkey operation. Once the ATM machine is installed and set up, it operates on its own with no further input or monitoring required.
- Low maintenance. Occasional restocking and periodic maintenance are generally all that’s required to keep the machine running.
- Virtually no overhead. Beyond the initial purchase of the machines (if you own them outright) and occasional servicing, ATM machines operate with minimal cost. If you place them in other places of business, those businesses are even providing the electricity. And since you contract with those businesses to share the service fee, you never feel the out-of-pocket expense.
- Profits go up — expenses don’t. The longer your ATMs run, the more money you make. Meanwhile, your operating expenses never increase, so your profit margin grows exponentially with time.
- 24-7 revenue. Since customers can use the ATM 24 hours a day, 7 days a week, you can literally be making money while you sleep — the ultimate in “passive income.)
Tips for Maximizing Revenue with an ATM Business
Whether you invest in one ATM machine or dozens, the following common-sense tips will help you make the most of your investment:
- Place ATMs in high traffic locations. Target locations and businesses where customers spend a lot of cash. Make sure signage is clearly visible.
- Invest in secure, tamper-proof ATM models. Since each of your machines operates as a miniature bank, your primary safety concern is to guard against theft. Be willing to spend a few extra dollars on secure machines with tamper-proof features.
- Place machines in secure locations. If you place machines outside, make sure they are placed in well-lit areas, preferably with security monitoring. When you place ATMs in places of business, ask about building security and camera monitoring, and make sure you are comfortable with the location before leaving it.
- Negotiate fair fee sharing. If you place a machine in a high-profile business with lots of foot traffic, incentivizing the merchant with a generous fee sharing offer will help ensure that merchant encourages more customers to use the machine — resulting in greater profits for both of you.
Interested in starting your own ATM business? National ATM Wholesale can help! To learn more about opportunities to earn passive income with an ATM business, call us today at 1-866-295-2329.