Route & Recurring Service Businesses · Buyer guide
Buying a Vending Machine Route business
Published · Reviewed by The Diligence Standard Team · Updated
a Vending Machine Route can look attractive on a summary P&L while the operating details underneath it change the cash flow, transferability and capital a buyer will actually own. Diligence should connect the reported earnings to the business-specific drivers that create them.
How the business works
Location quality, machine-level sales, route density, commission terms, product margin and equipment age determine value.
Risks to test
- Location agreements not transferable
- Cash verification
- Aging machines
- Low route density
- Commission increases
- Owner route labor
Evidence to request and reconcile
- Machine telemetry/sales
- Location agreements
- Commission payments
- Inventory purchases
- Machine schedule
- Route logs
Decision questions
- Can machine sales reconcile to deposits?
- Which locations are contractual?
- What machines need replacement?
- How much owner route labor exists?
- What commission changes are likely?