Gumball Vending as an Income-Producing Asset

gumball vending
Gumball vending can be a very profitable business if your startup phase is conducted right.  In other articles I have written about not overpaying for machines, buying the right machines, and choosing the right products.  Gumball vending is normally the highest profit margin area of Bulk Vending.
Many vendors buy their gumballs at Sam’s Club or Costco stores for  around 2 to 2.5 cents  apiece and sell them for 25 cents.  It seems like a huge profit margin.  The profit margin is large, but there are many expenses which have to come out of that quarter if you run your gumball vending route as an income-producing asset:
  • Product cost (minimal)
  • Machine cost
  • Vehicle costs
  • Supplies (cleaners, towels, office supplies, etc)
  • Parts to repair machines
  • Taxes
  • Spoiled product
  • Several other minor costs
A gumball vending route is ideal for the person who wants to run just a few machines and maximize every dollar.  Not everyone will like gum and this will limit your ability to get some location.  The flip side though is that you can have an excellent and easy to manage route which produces a good profit for you. 
Most people eventually expand their bulk vending gumball route to provide candy and toys.  This is fine and will produce good profit too if you watch your portions on candy and watch which toys you sell in your machine.  Just remember that gumball vending can be your real “bread-and-butter” for a profitable foundation.
Mark Evants
© Copyright Christmark Enterprises, LLC

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