Round on Ebay

[Snackmore]

[part-time-operator]

what does everyone think of the price? 90 sites, they're claiming £10-30 a month turnover per site and 50% gross margin....

[Snackmore]

Laughable, machines not even stocked

[Rossi fan]

Laughable, machines not even stocked

I agree. You cant expect the new owner, who could be a newbie, to buy stock in advance. Plus the price is a litte high

Paul

[Centurion]

what does everyone think of the price? 90 sites, they're claiming £10-30 a month turnover per site and 50% gross margin....

Hi All. I know this man, he does have some nice sites bang smack in the middle of my area,but twenty large is far to much money.. Regards Al.

[PGBrew]

I queried how much stock was included in his business, I got a vague reply so sent the following email which I have yet to recieve a reply:

Hi Philip,

Thanks for your reply. The reason I asked my question was because you are asking for £20.25K for you business but you don't say exactly what you are giving for that price. You only estimate. Let me illustrate my case. You refer to tubz vending as one of your suppliers. If you go to there website, they are selling business bundles as follows:

100 Towers (all sited)
100 stands
100 boxes of stock (9,600 pots) all in price of £20.995k + VAT @GP £450 wk

Return on investment is 56 weeks (1yr & 1 month).

The above is quantifyable, also the return on investment is just over a year.

Compare this to your business:

90 machines @ 20.25K + replacement stock estimated (so that machines are full at take over) £2.25K = £22.5k. Profit averaged out (from figures given by you) at £625 per month. Return on investment is 36 months! This is way too long, should be around 12 months.

To give you an idea on what your business is worth. The second hand value of the tubz vending bb which costs £25k is about 14K fully stocked. That is assuming the sites are of good quality, less if the're not and worthless if of poor quality.

Based on the above your business is worth about £12K fully stocked.

I have bought a similar business 120 machines, all in quality sites for £15k. I considered I paid a high price but gp was about 1000/1500 month.

I hope this helps but you must be realistic if you expect to sell your business. Feel free to give me a call if you want to siscuss the above.

Regards

Pete

Peter Brew
07920 260 960

PS I thought i'd be generous it's worth only about £9K

[dorsetvending]

Very helpful and to the point Pete. I always believe a vending round is worth a little more if you have a site finder attached as you can then scale your round. Something that I picked up on when speaking to Glenn (Btw this is not a plug!)

[Style]

I always consider a sited tower to be worth upto £150. A beaver not so much as they don't tend to return your investment as quickly. Maybe £100 at a push. That puts this one at about 10.5k plus stock. But if the machines are half empty his stock is only worth about £800.
Andy

[PGBrew]

Gav,

If I ever bought a round with you attached, it would be a bargin whatever the price!!! lol

[dorsetvending]

Lol