With people returning to work post the COVID-19 pandemic and contactless services still being in vogue a vending machine business can be an exceptionally profitable one if done right.
Not just that vending machines are easy to use, they come with a variety of product niches and help you avoid the hassle of showing product after product to customers, who’ll have every option displayed right in front of them with a vending machine.
And though refilling a vending machine and protecting it from theft and vandalism might seem like a boring job, a vending machine business is much more than that.
From vending machines that offer products ranging from granola bars to office supplies to the ones that take orders from apps through artificial intelligence, the vending machine business has gone through a massive change over the decades.
But, one more interesting fact is that there are over 5 million vending machines in the US alone, and if you want to last in such a competitive market you need a proper business plan. So, read on to find out how to write a vending machine business plan.
Why do you need a vending machine business plan?
Before we discuss how to write a business plan, it is only fair to tell you about its advantages first. A vending machine business plan will help you decide your product niche, the location where you can find your targeted customer, it helps you manage your finances, devise a marketing and pricing strategy, and run the operations of your business smoothly.
It also helps you design your brand image, decide on the scale of expansion and become more cost-effective as a business. Thus, a well-written business plan can serve a variety of purposes and help the different facets of your business in flourishing.
This brings us to the central topic of this blog, how to write a vending machine business plan?
Vending Machine Business Plan Outline
This is the standard vending machine business plan outline which will cover all important sections that you should include in your business plan.
- Executive Summary
- Mission statement
- Vision Statement
- Customer Focus
- Success Factors
- Financial Summary
- 3 Year profit forecast
- Company Summary
- Startup Summary
- Startup cost
- Products and services
- Market Analysis
- Industry Analysis
- Market Trends
- Market Segmentation
- Working Community
- Residential Community
- SWOT Analysis
- Strategy & Implementations
- Advertising Strategy
- Pricing Strategy
- Financial Plan
- Important Assumptions
- Brake-even Analysis
- Projected Profit and Loss
- Profit Yearly
- Gross Margin Yearly
- Projected Cash Flow
- Projected Balance Sheet
- Business Ratios
After getting started with upmetrics, you can copy this vending machine business plan example into your business plan and modify the required information and download your vending machine business plan pdf and doc file. It's the fastest and easiest way to start writing your business plan.
How to write a vending machine business plan?
Even though you can write a business plan from scratch yourself it is always a good idea to get a little expert help before you start writing one. You can either use a pre-designed template or an online business plan software.
For, writing a good plan always remember, that a plan should be clear, realistic, and customizable. It should not be a dead letter, but a living document that grows with the industry.
Here are a few sections that you can include in your business plan to make it a well-rounded one.
What to include in a vending machine business plan?
Although your vending machine business plan would keep growing alongside your business there are certain key areas that you must include in your business plan.
1. Executive Summary
The executive summary section sums up your vision, business idea, and strategy. It consists of a brief summary of all the sections of your business. It is important to write a good executive summary, especially if you are expecting to get funded.
As a vending machine business, you should include your range of products and target audience, preferable locations, financial summary, and pricing strategy in your executive summary.
2. Company Summary
In this section you will summarise all that your company stands for:
- Your target audience, whether they are kids, students, working professionals, or tourists.
- Your niche, if it is beverages, packaged food, health food, stationery, or some other products.
- Your preferred location( select this as per your target audience)
All in all this section defines what your company is.
3. Competitive Analysis
In this section, you should include everything you can find about your direct and indirect competitors. You should note down points that are working for them, strategies that have led to their failure, and what makes you stand out from your competition. Apart from that, you should also see if you are standing out in a positive or negative light.
4. SWOT Analysis
This section is one of the most underrated sections of any business plan because if you carry it out properly writing a business plan and formulating strategies becomes way easier.
While carrying out a SWOT analysis, always try to look at the threats and opportunities of the market first and how your strengths and weaknesses can affect them, later. This would give you a clearer, more niche picture of what the opportunities and threats in the market mean to you.
5. Financial Plan
A financial plan is essential for the success of a vending machine business plan. It helps you decide whether you need funding or not, which are the most viable options of being funded, how much should you spend initially, when your business is ready for an expansion, etc. Therefore, a financial plan is exceptionally helpful and should be included in your business plan.
Vending machine business plan summary
In conclusion, there are several ways in which a business plan can help your vending machine business. It can help you in selecting the right niche, planning your finances, choosing your product category, and also in creating an advertising and pricing strategy.
A business plan would walk you through your business journey and help you overcome obstacles. So, if you plan on starting a vending machine business, go ahead and start planning.
Customize your Business Plan
All businesses are different. So, don't hesitate to customize your business plan according to your requirements. Even though our sample business plans aim to help you create the perfect presentation for your clients and investors, it is finally up to you to decide how you're going to present your ideas in the best light.
Business Plan Software
Our upmetrics business plan software can help you to customize your business plan and provides you a step-by-step guide to write your business plan. You can save your plan online and update it any time, or download it as a PDF or DOC file. You can share business plan online with investors or any other important person with upmetrics easily.