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Sweet tower vending machines – The business for you?

Sweet tower vending machines – The business for you?

Tubz Tower Original
Are you ready for a professional change?

Whether you’re daydreaming about retirement but want to ensure you have extra income, fantasising about building your own business empire or itching to get out of the office and become your own boss, vending machine franchises present flexible and workable next steps.

Completely scalable to suit your lifestyle, sweet tower vending machine franchises (like our packages at Tubz) can generate as much as £72,200 gross profits per annum, or take up as little as 2 hours of your time per week, depending on your goals and resources.

You can find out more about our potential profits, and what you might be able to expect to earn on our business bundles page.

So is vending the business for you?

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At Tubz we work with an incredibly diverse range of individuals. Our franchisees come from all over the UK, from all backgrounds, of all ages, with completely different professional experiences; from stay-at-home parents and eager young entrepreneurs, to retired individuals and tradespeople seeking flexible additional income. That means vending machine franchises are the business for everybody!

There are, however, a few practical requirements that will affect your suitability:

– Transportation

In order to visit your vending tower locations in order to check and refill machines, you will need to have access to a vehicle that is also able to transport your vending towers.

– Time

At least two hours a week are required to maintain our smallest vending franchise option. Many of our franchisees choose to spend considerably more time on their franchises, but this is completely up to you.

– Storage space

Depending on the number of sweet vending machine towers you choose to operate, you may need space to store machines that are not yet at sites.  

If you have transportation, time and a little storage space, vending machines could well be the business for you. But aside from practical considerations, there are some personal attributes which may make this business a better fit for you:

– Motivated

Some Tubz franchisees have been self-employed for decades, others are totally new to working for themselves. Whether you have experience being your own boss or not is unimportant, what really matters is that you’re driven to make your sweet vending machine business a success and will stick at it until it is!

– Organised

Our smaller packages are relatively simple to organise, but at the other end of the spectrum, with 100 towers to keep topped up and locations to monitor, organisational abilities will become crucial to your success.

– Independent

Your vending machine towers are your responsibility, which means you need to be prepared to take initiative. If a location isn’t performing well, raising this with your franchisor is crucial. If you’re selling out faster than anticipated, it’s down to you to expand your business. Rest assured though that the Tubz team do offer support on an ongoing basis, so if you have issues, new goals or want to built your empire further, get in touch.

Do you think Tubz sweet tower vending machines could be the right next step for you? We’d love to show you a little more of what we do. To find out more about our system, rates and bundles, explore our website or get in touch today via info@tubzbrands.co.uk or on 0845 601 900.

How do vending machine businesses work?

How do vending machine businesses work?

Are you interested in running a vending machine business?

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If you’ve been exploring this option, you’ve probably been attracted by low startup costs, the opportunity to be your own boss, the chance to dictate your own schedule, the idea of growing your own business however you’d like, and the thought of solid profits whether you’re putting in a few hours a week or going full time.

There’s a lot to like about going into the vending machine business, which makes the enterprise a promising one for people from all backgrounds and walks of life. So how can you get started and what do you need to know before you take the plunge?

In this article we’ll be explaining how franchises work and how vending machines make money using this structure, taking you from your first investment to your first annual profits.  If you want to find out more about why Tubz is a great partner to help you succeed in this venture, then check out details on our business and what support we offer our franchisees.

How does a franchise work?

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A franchising system is how the vending machine business works in most cases. A franchisor is a company with its own products, its own branding and its own processes, which sells the opportunity to use all of these assets to franchisees – that could be you!

This approach allows businesses (like Tubz Vending Franchise and many others, including international names like McDonalds) to grow an ever-bigger brand and expand across counties, countries and even continents with less risk and expense.

The system offers benefits to the franchisee too. The individuals who buy into the franchise can walk into a ready made brand and business, taking advantage of its established reputation and materials, from marketing resources to supply chains.

Franchisees typically pay a one-off buy-in fee to franchisors, then a range of payment systems can be applied. In some cases, franchisors will take a percentage of annual profits, in others a flat monthly fee is required. How this works will vary widely from franchise to franchise.

How do vending machine businesses work?

Which vending machine is most profitable?

So how does this structure apply to vending machine franchises? Again, there is a lot of variation in the market, but here at Tubz Vending Franchise, we operate the following system:

1. Franchisees select the business bundle which fits their budget and availability. These bundles start at £2,499 + VAT, with sizes ranging from 10 to 100 vending towers. The time investment required starts from just two hours a week and every bundle comes with all of the equipment and resources you need to get up and running.

2. You install your towers at local sites in post codes agreed between you and Tubz Brands. We have a comprehensive database of potential profitable locations and arrange commission either directly with the premises owner or via our corporate Charity partner the ‘Starlight Children’s Foundation’ – and we have already raised £270,000.00 for them.

3. You start operating your franchise and selling treats! From restocking machines and monitoring profitability, to ensuring presentation is good and arranging maintenance, running a vending franchise is pretty straightforward. Should you have any issues, the Tubz team will be on hand to help, whether you need to buy more stock, or are concerned that a location isn’t performing profitably, or you want to expand!

4. Make sure you keep your towers topped up, rather than waiting until they are empty. This will prevent you from losing sales and ensure your machines look as enticing as possible to customers. So make sure you visit regularly and keep on top of your vending round. You’ll need to buy a new batch of stock at our low rates, exclusive to franchisees. If you’re selling well, you may even decide to add more machines to your enterprise at this point to boost profits even further.

5. You make money. Now that your vending machine franchise is up and running, it’s time to keep track of your sales. With our smallest 10 tower bundle, just 10 weekly sales will generate £5,200 in turnover annually, leaving franchisees with a very respectable gross annual profit of £2,340 (Profit is the amount of “take home” money you’ll be left with after commission and stock costs are deducted from your turnover). Our larger bundles provide the opportunity for much more substantial profits up to £72,200.

6. Did you know that more than 90% of new business startups fail in the first year of trading, with vending bucking that trend. This is because there are no bad debts and you don’t have to wait months to build up a client bank to call upon – you earn cash from day one!

Vending business variations

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As we mentioned previously, not all vending machine businesses work the same. Some may charge a monthly, quarterly or annual fee. Others may take a more substantial overall commission on profits.

To find out more about how each vending machine business works, make sure you research fees closely and talk directly to a potential franchisor before going ahead. Tubz Brands don’t charge a penny more after the initial purchase of your business bundle.

Would you like learn more about how our franchise works? The Tubz Vending team works right across the UK and we’re always looking for new franchisees to help us grow even further. To find out more about our system, rates and bundles, explore our website or get in touch today via info@tubzbrands.co.uk or directly on 0845 601 900.

How much is a snack vending machine franchise?

How much is a snack vending machine franchise?

how much is a snack vending franchiseAre you considering buying into a snack vending machine business? If you’ve done your homework, you’ll know that snack food vending machine price – and the cost of franchise agreements which allow you to operate them – varies widely from vending company to vending company.

There’s a lot of variation in the market, and a number of franchise options for aspiring UK sellers to explore. From the up front franchise fee, to ongoing royalty payments and restocking costs, there are plenty of different variables to take into consideration before you make your choice and sign on the dotted line.

To help make things a little clearer, we’ve broken down the different costs you might be required to cover to help you work out exactly how much it will cost to operate a snack vending machine business via a franchise.

The franchise fee

This is the very first figure you’re likely to come across when you’re exploring vending machine companies. The franchise fee is the up front payment you’ll need to make to get on board with your chosen franchisor. You’ll typically make this payment when you sign your franchise agreement, although different companies have different processes and requirements.

At Tubz, our up front payments depend on the number of snack towers you want to operate. Our smallest 10 tower package comes to £2499 + VAT. Our largest 100 tower package comes to £20,995 + VAT. These prices include all machinery and all the stock you need to get started, along with invoice pads, marketing materials and more.

Take some time to explore the range of start up fees out there and ensure you appraise the costs against the quantity and quality of equipment, stock, support and extras you receive.

Royalty fees

Another cost you may encounter, which will add to your snack vending machine franchise price, is a royalty fee. At Tubz, we don’t require these. However, many franchisors require a regular ongoing payment from their franchisees – usually a percentage of their profits or a regular, agreed-upon flat rate. Make sure you ask about royalty fees before proceeding with an agreement.

Restocking costs

When your snack vending machines run out of treats, you’ll need to fund a restock after your initial batch of merchandise has run out. Your franchisor will usually require you to buy your stock from them or from an approved supplier. The cost of this, again, will vary depending on the snack vending company in question. Be sure to ask about restocking costs before you get started.

Location costs

In some instances you may need to pay a percentage of your earnings or a flat rate to secure the location of your vending machines. This may be paid to the company which owns the space, or it may be paid to your franchisor which has identified and secured the location for you.

To make life simple for our franchisees and to ensure each spot they work with has the maximum potential, Tubz finds sites for sellers using a 15 point system to find profitable locations. You can read more about this on our business bundles page.

Time & expenses

Last but not least, remember, your time is money! So too are things like petrol and vehicle maintenance. While the latter can be offset as tax deductible expenses, it’s important that you’re spending your time profitably.

If we’ve said it once, we’ve said it a thousand times – the snack vending machine business you work with will dictate how much time you’ll spend maintaining and operating your machines. Our sliding scale allows you to choose. Our small 10 machine package will typically take two hours per week to operate. Our largest 100 machine package will take around 20 hours of time each week.

The grand total

So what do all of these different costs add up to? Well, that depends. Ultimately, it’s time for you to do your research and crack out your calculator. Add up all of the costs listed here for your prospective franchises and you’ll have a figure which should tell you how much your snack vending franchise of choice will cost to buy into and to operate over the longer term.
Ready to research Tubz costs? Take a look at our business bundle page to find out all about our rates. Have any questions? Don’t hesitate to ask our helpful team via info@tubzbrands.co.uk or on 0845 601 900

Franchise definition & other essential terms

Franchise definition & other essential terms

Are you looking for a franchisee definition? Would you like to know the meaning of a franchise agreement? Are you uncertain what an approved product is? Whichever aspect of franchising you’re unsure about, our quick franchise dictionary has the answers…

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THE FRANCHISE DICTIONARY

Advertising fee

A fee required by some franchises which goes towards advertising costs for the overall franchise. It is typically paid as a percentage of a franchisee’s gross sales.

Approved product

The products selected and approved by the franchise. Franchisees must exclusively buy and sell approved products.

Approved site

A location which has been approved by a franchisor. Franchisees may conduct their business at these sites.

Area franchise

An agreement which gives one franchisee the exclusive right to open and operate multiple locations within a specified area and time period.

Capital required

The amount of money required to buy-in to a franchise. Also known as an ‘initial investment’.

Company-owned location

A location which is owned and operated, not by franchisees, but directly by the franchisor itself.

Exclusive territory

An area which a franchisee is exclusively entitled to operate within due to an agreement with the franchisor. This could be a particular county, a town, a street or even a shopping centre. Also known as ‘protected territory’

Field representative

An employee of a franchise who visits and inspects franchises to ensure they are compliant with the franchise’s overall standards and to offer support or training where required.

Franchise

(N.B. Reaching one clear franchise definition is difficult. A franchise can have many different forms. However, in broad strokes:)

A franchise is a business which allows other businesses to sell products or services under its banner. The businesses which sell these products pay for the right to do so and typically pay a percentage of their profits back to the “parent company” – or franchise. In return, the franchise provides some or all of the following: business structures, marketing, support, training, equipment, stock.

Franchise agreement

A legal document which sets out the relationship between the franchisor and a franchisee, laying out each party’s rights and responsibilities.

Franchise consultant

A business expert who specialises in providing advice and guidance to both franchisors and franchisees on everything from smoother working processes, to marketing.

Franchise fee

A flat payment made by the franchisee to the franchisor, usually as a “buy in” and typically paid when the franchise agreement is signed. Regular royalty payments may also be paid for the duration of the business relationship.

Franchisee

An individual or company which buys into a franchise and works to operate the business in one or more locations, always subject to the franchisor.

Franchisor

The parent franchise itself – or those who operate it.

Initial investment

The full cost of setting up a new business under the franchise including franchise fees, inventory costs, legal fees and numerous other startup costs.

Key supplier

The chosen supplier of the franchisor. Franchisees must use this supplier to restock and purchase supplies as specific pricing and availability has been negotiated by the franchisor.

Master franchisee

A franchisee who has an agreement with the franchisor allowing them to sub-franchise to other franchisees, usually in one designated area.

Product (tradename) franchising

A common type of franchising which allows franchisees to sell products or services using the franchise’s name, logo and trademark. This type of franchising doesn’t force franchisees to use a particular type of structure to deliver the product.

Royalty fee

A regular fee paid by a franchisee to the franchisor, usually a percentage of gross sales, but this may also be a flat, fixed fee. Not required by all franchisors.

Successor Agreement

An agreement allowing a franchisee to continue trading under the franchise name after they have successfully completed their first period in the business.

Turnkey

A fully-equipped location laid on by the franchisor for the franchisee to operate which is “ready to go” (they only need to turn the key!).

Do you have questions about any of our franchise definitions? Perhaps you’d like us to add another term to our franchise dictionary? We’re here to help. Explore our website to see franchising in action or talk to our team about your options today via info@tubzbrands.co.uk

Sweet vending machine franchise opportunities?

Sweet vending machine franchise opportunities?

Are you looking for a new challenge, the chance to be your own boss or a flexible side earner you can slot into your schedule? Sweet vending franchise opportunities can be found right across the UK and can be developed into the business or professional next step you’ve been looking for – whatever your goals might be.

Today we’re going to be exploring what these franchise business opportunities involve, who they are a good fit for and what you need to get started.

What is a sweet vending franchise?

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Let’s start with the basics. Sweet vending franchise opportunities can come in a range of shapes, sizes and styles. From upfront costs, to ongoing payments, there is a lot of variation from opportunity to opportunity, but the basic principle remains the same:

A franchisor (just like Tubz) enters into an agreement with a franchisee (that could be you!) which allows the franchisee to operate the franchisor’s products, structures, equipment, marketing and/or locations. This means that the franchisee can generate revenue by installing and maintaining sweet vending machines in their area.

This franchising agreement typically calls for an upfront payment to the franchisor to get the ball rolling (you can take a look at our costs here) but our structure allows franchisees to keep all of the subsequent profits they generate. Some franchisors will take a percentage each month, others will have ongoing maintenance fees – the structure will vary from franchise to franchise, so make sure you read the small print.

Franchisees will usually be responsible for restocking and maintaining the machines, in some cases they will also be responsible for identifying and arranging new locations. The workload you face and the profits you make will depend on the number of machines you franchise. As comparatively cheap franchise opportunities, sweet vending franchising is easy to get started with and easy to grow into a bigger network of machines.

Who do vending franchises suit?

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The beauty of these low cost franchise opportunities is that they are incredibly flexible. Some franchisees take on just a couple of machines which require just a few hours of work each week. These hours can easily be fitted around a hectic schedule (perfect for busy parents) or can provide a small supplementary income ideal for retirees.

Other franchisees love the idea of being their own boss but may not have the capital to launch a startup or invest in a more substantial franchise, or may not want to take the risk on their own. Cheap franchise opportunities like this give such individuals the affordable kick start they need to grow their own endeavour into a full time, self-employed role.

Vending franchise opportunities are also a great fit for entrepreneurial spirits who may not have the experience to embark on a more significant venture. Working with a vending franchisor gives you access to their many years of experience, a community of franchisees, plus ongoing training and support which allow you to “learn the ropes” from the ground up and gain experience yourself

Ultimately, this type of opportunity is what you make of it. Flexible and affordable, franchisees can use their new enterprise to develop a steady supplementary income, build something bigger or work towards their next entrepreneurial step. Which path will you take?

Getting started

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Interested in getting the ball rolling? It’s time to appraise the sweet vending franchise opportunities out there and to invest. Make sure you do your homework before you put your cash on the table. As we mentioned in our introduction, no two franchises are identical, so it pays to know crucial details like:

– Upfront costs

– Ongoing costs

– Maintenance costs

– Restocking costs

– Restocking frequency

– Whether sites are included in your deal

– Training availability

– Who you’ll be working most closely with

– Opportunities to expand

 

Would you like to learn more about how vending franchising works or take a closer look at our structure here at Tubz Vending? Explore our website or talk to our team today via info@tubzbrands.co.uk

How to conduct vending machine franchise reviews

How to conduct vending machine franchise reviews

By inefekt69 via Flickr CC

By inefekt69 via Flickr CC

Do you think you’ve found the vending franchise you’ve been searching for?

Whether you’ve stumbled across the opportunity out of the blue or have been hunting for the right franchise opportunity for months, it’s important to conduct a thorough vending machine franchise review to find out if it’s suitable for you, before you jump on board and make an investment.

In this article we’ll be sharing some top tips which will help you perform smarter franchise reviews of vending machine companies, whether they’re little known, new on the scene or listed among vending’s top 10 franchises (just like us here at Tubz!).

The costs

piggy-bank-970340_960_720Going into business as a franchisee is all about taking charge and building your own future but, at the end of the day, everything boils down to money. That’s why costs should be the very first aspect of the prospective vending franchise you review.

The initial investment you’ll need to make may not be all you’ll pay. In some cases you’ll need to cover costs including:

– Restocking costs

– Service maintenance costs

– A percentage of your profits

Before you jump into a franchise, make sure your prospective franchisor has shared details of every cost with you. Then compare these against the cost of other, similar franchises to ensure you’re getting a good deal.

Don’t forget to check out estimated profits and to confirm these with current franchisees too. (You can find out all about our costs and predicted profits here.)

Testimonials

Testimonial of Tubz franchisee David Rose

Testimonial of Tubz franchisee David Rose

Hearing it straight from the horse’s mouth is one of the very best ways to gain insight into a vending franchise you’re considering investing in, whether it’s a relatively small vending machine company or one of the industry’s top 10 franchises.

Take a close look at testimonials pages and reviews written by franchisees to get a better understanding of how franchisees are treated by the franchisor, how the franchise structure works, whether or not profits are accurate and much more. If a vending franchise doesn’t offer testimonials, this could be a red flag.

We share views and insights from our franchisees on our testimonials pages, and you can also find success stories from current operators on our blog.

Of course, testimonials can be cherry-picked and may not represent every franchisee’s experience. Performing a quick Google search is a good idea as this could flag up any negativity which exists online and give a more balanced picture. If possible, ask your prospective franchise if you could meet or talk with a current franchisee to get the inside scoop.

Your franchise contacts

The final part of any reviews you conduct should focus on the franchise itself – and the people representing your franchisor.

Will you get along? Will you feel supported by them? How accessible are they?

The answers to these questions could all make a big difference to your success and happiness in the franchise.

Ask your potential franchisor to list the individuals you’ll have the most contact with and ask to set up a conversation or a meeting so you can get to know them a bit better before diving into a potential long working relationship. Good support is vital if you’re entering the business world with a new enterprise, even if the business model has a proven track record.

If you conduct thorough research, get feedback from current franchisees and ask franchisors lots of questions, you will be in a great position to choose a winning vending machine franchise.

Have you reviewed Tubz Vending using these steps? If you think our vending machine franchise could be a great fit for you, we’d love to talk. Please contact our team today on: info@tubzbrands.co.uk or 01795 414 480.