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How To Ensure You Profit From Your ATM

Ensure You Profit From Your ATM

So you have an ATM, but do you even know if you’re making any real profit? Some ATM operators consider the additional money spent in their location as profit but you may want to know the actual profit from the machine.

Do not become a business owner that buys an ATM and never calculates whether or not profits are being made. That’s no way to run a business. It’s a good idea to figure out how much you make a month and year so that you know the value of your investment.

When you don’t feel like you’re making as much profit as possible then you may want to consider ways to get more people to withdraw cash from your ATM. There are a few things you can do to encourage more customers to use your ATM.

How Much was the ATM?

Using the cost of the machine and how much profit you make from it monthly you can quickly see your ROI (your return on investment). Most business owners simply pay cash or use a credit card to finance the ATM (they aren’t that expensive anymore) so calculating ROI is fairly straight forward. While you can take advantage of depreciation and amortization as a piece of business equipment, you should also calculate how long it actually takes to recoup your investment.  We’ve seen busy ATM’s have an ROI of less than 1 month, while slower machines can take 6 – 12 months, which is still a fantastic ROI.

When you figure out how long it is going to take to pay off what you paid for the machine (your ROI) you’ll get a better understanding of when you will make a real profit. It should not take longer than a year to pay off what you invested to get the machine. Most business owners are able to pay off or recoup the investment in the ATM within a year.

Big factors include how much business you generate and the location of your machine. Make sure that your ATM is in a place people can easily find it. Consider putting your machine near the front of your store so people will be more likely to come in and use it if they need quick cash and don’t forget to load the ATM everyday.

How Much Does It Cost to Operate an ATM?

The factors that add to the operational cost of an ATM include communication (phone, internet or wireless device), a little electricity, and paper for the receipts.  All this added together is probably less than $0.85 per day.

Are you Keeping Track of the Money Going In and Out of Your ATM?

Most retail business ATM operators load cash daily similar to a cash register. So you should balance daily if you can. Otherwise, you can use the trial cassette close functions and online balance functions to track or count the money in the machine daily if possible. Whenever you or someone else loads the machine make your you have procedures in place to keep track of the funds. If you trust someone to load the ATM for you, be sure they keep a ledger or journal and make sure funds balance. This helps keep track of the money to ensure that you are not losing or missing any cash. Some people are tempted to think you’ll never miss a $20 bill here or there, so the last thing you want to realize is that someone you trust has been stealing a $20 here or there for a few months. Twenty dollars here and there might go unnoticed but it could add up.

You should be able to trust your employees but caution is always good to practice. Use the printer balance functions and put the receipts in envelopes and balance to the online system whenever you load or do your closeouts.

Are You Advertising that You Have an ATM?

A few signs, one for inside the store and a couple to put outside can make a big difference. Make your ATM very easy to find once people get inside. Post a big sign outside that reads “ATM Inside” so that people will know if they need cash all they have to do is walk into your store. Place another sign in close proximity to your store that notifies people there is an ATM within walking distance. A small investment into signs can go a long way and help you generate a lot of more profits on a weekly basis.

Another way to generate more ATM usage is to offer specials or coupons on the ATM receipt.  Most of the late model ATM machines make it easy to offer your customers extra value for using the ATM. If you have coupons in other publications, advertise those. You can also make deals with neighboring stores to advertise their store on your ATM if they advertise your store. You can also offer a coupon good for a special during their next visit.  There are lots of other ways to make your ATM more profitable. Want more tips on how to profit from your ATM, give us a call.

Mobile ATMS

Mobile ATMS

Business owners and entrepreneurs want flexibility and convenience in their lives, which is a large part of the reason why they go into business in the first place. Although they may possibly own several businesses, they are able to stay successful and see growth if they can implement as many automated systems as possible into their stream of business. In the ATM business industry, one of most attracting factors of the industry is its ability to be as convenient and flexible for the owners. ATM machines can be installed almost anywhere and in any location so as to serve customers, whether that’s foot traffic or automobile traffic.

Drive-thru ATM machines are one component of the ATM machine business that has made it quite successful because of its convenience factor. Customers can simply drive through the financial institution’s window and make a transaction without ever getting out of their cars. The customer can make withdrawals, deposits or cash transfers with their banks, much like customers who go inside the bank and do the same thing. There are even ATM windows that also have automated voice response windows that interact with customers, answer questions or give directions, much like a live teller would. Although mobile ATM’s are flexible and convenient, there are also other kinds of ATM services that provide even more flexibility to its customers.

No doubt that customers do like the convenience and flexibility of ATM’s, mobile ATM’s are another type of business that’s also a big draw for customers. You’ll find mobile ATM machines in places or events where stationery machines are not conducive to the situation. Whether the situation involves a security risk or simply the logistics of bringing in a stationery machine, which may not be feasible, mobile ATM’s are more of a safety solution or a practical solution for a service that customers will need.

Events like outdoor concerts or events, fairs or circuses or temporary events are ideal places where mobile ATM’s are found. Mobile ATM machines are generally set-up in locations of the event that are going to see high traffic. This is usually at the entrance of the event where there is a lot of traffic, but also where there is going to be more of a secure area instead of tucked away somewhere at the event that’s far away from the bulk of people traffic.

To further ensure that the ATM machines are kept safe and secure, they may be drilled down to a foundation or bound to a stationery area or post that’s already at the event. ATM machines generally weight in the thousands of pounds, making theft a difficult possibility. However, by securing the ATM machine to a firm foundation, this further ensures that there won’t be any problems at the event.

Mobile ATM’s can be moved from one site to another generally easily enough to make it a business that many ATM business owners concentrate solely on doing. Instead of owners finding and renting a location to hold their ATM machines, they simply book events and locations where they can park their mobile ATM’s and do business.

Attracting mobile ATM customers is certainly not a problem either. Anywhere where there is a steady amount of diverse traffic at an event is an opportune time for ATM owners to serve customers looking for cash machines. Workshops, seminars, concerts and even corporate events that travel from one location to another are perfect for mobile cash operations. ATM business owners can work out contracts with the event planners to host cash machines at their events for each time the event occurs. This is an ideal flexible solution for both business owners and the customers.

A mobile automated teller machine (ATM) is a special type of ATM. Most ATMs are meant to be stationary, and they’re often found attached to the side of financial institutions, in stores, and in malls. A mobile ATM machine, on the other hand, is meant to be moved from location to location. This type of ATM is often found at special events for which ATM service is only needed temporarily. For example, they may be found at carnivals, fairs, and parades. They may also be used at seminars and workshops when there is no regular ATM nearby.

Mobile ATMs are usually self-contained units that don’t need a building or enclosure. Usually, a mobile ATM can be placed in just about any location and can transmit transaction information wirelessly, so there’s no need to have a phone line handy. Mobile ATMs may, however, require access to an electrical source, though there are some capable of running on alternative sources of power. Often, these units are constructed of weather-resistant materials, so they can be used in practically any type of weather conditions. Additionally, these machines typically have internal heating and air conditioning units that help keep them functional despite the temperature of the environment.

In many cases, mobile ATMs are equipped with safety features. This can be important for inspiring confidence in the people who want to use them. If a potential customer feels that using a mobile ATM places him at risk, he may be far less likely to withdraw money and spend it at an event. To help ATM users feel more secure, a mobile ATM often comes equipped with fluorescent lighting, and some come equipped with canopies as well. By placing a mobile ATM in a bright, well-exposed area of an event, an event planner can further help ensure user security.

While a business owner or event planner could depend on nearby ATMs to serve his customers, a mobile ATM can also provide financial benefits. For example, if an event attendee has to leave an event to get cash from another machine, he may be less likely to spend money at the event. A mobile ATM, however, makes it easy for people to make impulse purchases without searching for an ATM. This type of ATM may also make it easier for event vendors to make money, even if they do not have credit card terminals. If easy access to an ATM isn’t provided, on the other hand, event attendees may be less likely to spend money with vendors who cannot take credit cards.

Successfully Owning an ATM Business

ATM BusinessBeing your own small business owner affords you a lot of beneficial pluses. Being in a self-owned business with a profitable business model is also the best of all worlds. You get to control and manage your own business, reap handsome profits and you get to enjoy doing something that you like on a daily basis. Deciding on the right type of business is what determines just how successful you become.

Many different types of businesses can certainly be profitable, but the ATM machine business has proven to be immensely profitable because of all that it affords its owners and operators.  We make Successfully Owning an ATM Business easy. We help you get started and show you how ATM Machines work. It is fairly easy to manage the ATM business once it has been properly set up. It does require some dedicated initial time investment in order to get things ramped up, but once your system is in place, all the owner has to do is manage and monitor the machines as efficiently as possible for best results.

The ATM machine business offer owners a lot of benefits that include:

  • business flexibility that moves and changes according to customer needs
  • convenience, with hours they can control and manage
  • minimal time investment, both daily and weekly
  • ability to reap large profits with the right company and machine placements

What’s the Draw?

Convenience is key in today’s fast-paced climate, and customers always tend to gravitate towards businesses that offer them that convenience. Think fast-food drive thru’s, drive-thru car washes or self-pump gas stations; all of these businesses and other types like them allow customers to get in and out quickly, all while enjoying a service that they need. The same thing goes for ATM machine businesses and the customers that frequent them.

Whenever customers need cash fast, they look for the nearest ATM machine to withdraw money. They will not go out of their way to find an ATM machine (usually), and also they’re more inclined to withdraw cash from an available machine even at times when they don’t need it right away. Because of the habits of convenience-craved customers, it’s beneficial for ATM business owners to create opportunities to service customers as much as they can.

Also, since convenience is a crucial benefit for the ATM business owner to provide to his customer, there are also other important areas that should be incorporated into the owner’s business plan in order for it to work. The ATM owners can achieve this with their machines by:

Being Available

Make sure that his machines are in high-traffic areas where people look for, need and want the services of an ATM machine.

Being Accessible

Don’t place the machines in a hard-to-reach area or off the main traffic-ways, whether that’s by car or foot. It needs to be easy to fair to reach for customers in order to attract their business.

Being Convenient

Right along with accessibility, the machines need to also be convenient and a part of the environment in which they’re found. In other words, place ATM machines next to areas where people will actually need them. They will not go out of their way to find a machine, but certainly will use one if it’s available to them.

Competition

It’s okay if there are other ATMs in the area as long as your ATM doesn’t have the highest fee. If your ATM is the most convenient, it will still get used. Avoid placing ATM machines in slow retail stores (where traffic is less than 100 people per day). Try to avoid stores or locations where customers can easily get cash back at the register via a debit card.

Machines Working Properly

ATM business owners should always perform routine and consistent checks on their units to ensure that they’re working properly and in order.  An alert service where the ATM will send you a text message can help avoid down times. Keep them stocked with sufficient cash in ideal increments (we can help determine the best denomination for your location type) and using our online monitoring service you can always check to see if your ATM has enough funds. Routine checks should also include software updating and checking the machine’s hardware and external components for any signs of wear and tear.

Once an ATM machine has established itself as a steady, consistent and reliable machine in an area, people learn to trust it and will give their business to that machine whenever they’re in need of fast cash or banking transactions. In the end, this turns out to be a win-win situation for both the ATM owner and the customer.

There are very few business opportunities where you can invest just a few thousand dollars and ear a few hundred per month in return.  Let us show you how you can earn 10%, 20% or even 60% on your investment by successfully owning an ATM business.

Free Money: There Is Such A Thing

Free MoneyPeople don’t think there’s such a thing as “free money,” but as one ATM distributor in the UK found out, unfortunately, there is. When the ATM cash machine performed a faulty operation, the machine started giving out twice the amount of cash that customers were requesting.

The machine did this for a few hours before the police were summoned to come in and guard the machine from further theft (theft? really?) and to maintain secure premises and keep down any confusion. It seems that the crowd was starting to get a little boisterous and the shoving and pushing to get in the long line was getting out of control. After all, there was “free money” to be had, and everyone wanted a piece of it.

Just to be clear, this was definitely a fluke with the machine, and there is no ATM machine anywhere that purposefully gives out wads of money to its customers. Something faulty had gone wrong with the machine or someone forgot to change the default password to change the denomination settings, and customers were getting twice the amount of money that they were requesting. Word about the free cash quickly spread, and that’s when people started lining up to partake of what was, to some, their dreams coming true!

What’s a Business Owner To Do To Avoid Giving Away Free Money?

Avoid Giving Away Free MoneyThe owner of the cash machine of course had to work quickly to correct the mistake, but according to the bank, they could not and would not hold the customers liable for an error that their machine had made.

This leaves a lot of questions in the mind of any business owner, like:

  • shouldn’t the customers return the money?
  • how can the business owner recoup these “lost funds?”
  • what exactly happened with the machine to cause this error?
  • what can be done to ensure that it does NOT happen again?

There’s no way to be sure to tell what happened, how it could have been avoided and what can be done to avoid it in the future. But as an ATM cash machine owner, there are some things that a businessperson can and should do to lessen the chances of this happening with his cash machines.

1. Have the machines serviced regularly.

Don’t just plop down a cash machine in a spot and leave it there without periodic checks and maintenances. It’s important to do more than ensure the machine has adequate cash, but to also check to make sure that the software is up-to-date, that the hardware is working properly (slots, trays, etc.) and there are no visible signs of wear (rust, corrosion, etc.) that would hinder the machine in any way from working properly.

2. Check on the machines regularly.

Actually going to the machine site on a routine basis is important. Whether this is once weekly or three times a week, anything can happen so it’s imperative to stay ahead of any potential issues by keeping a close eye on things. This means more than just restocking it with cash and paper. Perform routine system checks in addition to visual checks, and make sure to physically handle the machine when you do.

3. Consult Professionals

If anything like what happened with the wayward cash machine were to ever happen to you as an ATM cash machine owner, you’d want to know what your recourses were (if any) and how you’d need to go about taking care of this issue. Consult your business attorney(s) to see if:

a. you have any recourse

b. you can ask for/insist that customers return the money

c. you should file an insurance claim to recover your losses

d. there really isn’t anything you can do, and you should just chalk it all up to unfortunate incidents.

3. Change Default Passwords and Admin Function Codes

When ATM Machines ship from the factory they are all shipped with the same administrative passwords and lock combinations. One of the first things that needs to be updated are the administrative and management passwords.  If you are installing the ATM yourself, be sure to change these passwords. If you have your ATM professionally installed, be sure to ask your installer to walk you through the change process and don’t give anyone your passwords.

A legal professional as well as the ATM distributor may be able to assist you on what actions you can and should take, and what you should reasonably expect from such a situation. Although in the UK case, the owners had to suffer a loss, but that may vary from one company and one situation to another. It’s best to know for sure before giving up.