In relation to starting a vending machine business these days, you will be rivaling against numerous other players to get your machines into the ideal locations. One great way to convince ‘decision makers’ to allow you to area your vending machines on their premises is to associate your corporation with a Best African Charity. This can often allow you to make greater profitable trades than if you were to give them a commission and it permits you to do some good in the community as well.
Let’s take a look at how your online business can benefit by working with vending machine charity programs. Establishing a vending machine business with a charity partner could give you the edge that you need to win over ‘decision makers’.
Starting the Vending Machine Business with a Charity Partner
It is quite popular for vending business operators to partner with charities. Tends to make your service more marketable and can help you to win spots and improve sales. If the donations are coming through your vending business then they are also tax deductible.
Naturally you will still be running a business and are allowed to profit. Only a talk about of your profits will be going to a charitable organization.
It is not difficult to acquire charities to work with these days and some of them actively market by themselves to vending machine operators. Some reputable charities allow you to officially represent them for as little as a few dollars each machine, per month.
How Much Goes to Charity?
The key to leverage the charity approach is to give the ‘decision maker’ the very impression that having your machine at their location will certainly make a difference and raise a decent amount of money. In reality though the charité that you are giving from the machine that is on their premises can most probably be quite small.
Vending machine charity can be a win-win situation for everyone involved but to make your business model job it is best to make people feel like they are giving a lot when in simple fact they are giving just a little.
Most ‘decision makers’ will be cynical until they see official documentation. Once they realize that you will be a legitimate representative they will sometimes want to know exactly how much of your yields are going to the charity in question.
There are many ways of calculating the main contribution that your business will give to your charity partner. Rather to donate a fixed rate per machine or to shell out a percentage of machine takings. A fair percentage to give for you to charity and still maintain profitability for your business would be all-around 10% to 15%.
Many vendors come out and point out clearly to clients that they give a percentage of unit takings to charity if this is indeed the case. However any contribution of just a small percentage can sound stingy to some people so there are ways to make your contribution sound far more impressive.
A better way is to let ‘decision makers’ know your own personal ‘total contribution’ to the charity that your business is linked to. You can say that over the last year you have given over $5000 to the charity in question. In some cases you will be able to get a letter in which backs up your statement. If you haven’t been in business extended you can always say that your goal is to give $5000 to the charitable trust in the next year and to achieve that you need to place a certain variety of machines.
The fact is that each location won’t be contributing much on the charity after you allow for your costs and your profit. When you allow the ‘decision maker’ to do a mental calculation of the trivial amount that their location will be contributing you may be giving them justification to back out of the deal. Rather you should highlight the fact their contribution along with all your other locations adds up to a big donation every month or year.
Other Tips for Vending from the Name of Charity
You should carry official charity forms at all times as well as wear their badges if they have them. If you hand over information about your machines you should also give prospects some sort of brochure from your charity. Some venders also go in terms of including the charity that they work with in their vending business brand.
Be sure to not misrepresent yourself. If questioned on the subject you must make it clear that you are only working with the charitable organization and are in some way hired by them.