just got this email about buying atm machine,they offer 25% return/pa fixed for 8 years. anyone has use their service before?
http://www.ownyourownatm.com.au/thank-you-for-your-enquiry-2…
Own Your Own ATM - Anyone has involve on this business before?
joannatan on 11/06/2012 - 01:12
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No, just ATM.
i just been trick, it said 25% his ass***.
example $8000 machine with 8 years agreement, at the end agreement they will buy back 10% the value of the machine
so you will be loosing $7200 at the end of the agreement.25%return/pa = $2000
$2000 * 8 = $16000
$16000-$7200 = $8800$8800/8 = $1100/pa
$1100/$8000 = 13.75%paI still want to know the risk on this investment.
I still want to know the risk on this investment.
The ATMs will be located in Greece….
If you were in business as I have been in retailing for +20 years, responses to your thread (gut feeling included) .. Don't do it !
I'm not sure how much due diligence you've carried out etc… but from experience, it's a lot more than meet the eye.
I still want to know the risk on this investment.
One being it gets stolen with all the cash in it…..
The other being that it doesnt seem to include the location costs - unless you have your own shopfront. Putting it in your flat/home wouldnt be a great location.
nah as one of the requirements you have to have the cash insured.
it was better 15 years ago when there were less atms. now that all the banks have atms absolutely everywhere, I doubt its worth it anymore. Mainly good if you own a pub I guess?
edit: personal feeling. no real data to back it up :)
Check with your accountants, as there are depreciation and tax breaks , as well as usage charges that you can also receive income from them.
Only hidden charges would be repair and service costs for regular fixes, or repairs.
This business model has repeatedly failed, taking investors money with it. It has several names,iRC one was MyATM. The projected earnings potential is vastly overstated and i think they were done by the ACCC for making false claims. Google it.
I still would not go near it. http://www.smh.com.au/business/my-atms-demise-no-bar-for-eze…
http://www.ecommercereport.com.au/my-atm-float-still-alive-d…this is different company, but i have suspicious about 25% return, and no other cost associate with this. he said no other cost involved just monthly return. weird
Potential MLM/Ponzi scheme?
Hmm…if it doesn't sound right or seems too good to be true then chances are it's probably a dud?
All these earnings are based on some sort of assumption - well what if those assumptions were pulled from the land of honey and milk?
i wouldn't touch it either. you need to just look at the way you use money yourself. a lot more people now use eftpos, credit cards etc, instead of withdrawing money from an atm. i think it's a dying form of money transactions.
And it looks like smartphones is another way. This from today's SMH:
http://www.smh.com.au/it-pro/business-it/disappearing-cash-g…
Already I see many people waving their plastic in front of a near field reader to buy a coffee, or buying a train ticket with EFTPOS. I think this trend will continue.
It will most likely increase the insurance costs for your premises. Just be wary of that
There's an easy way to assess an investment - return generally rises along with the risk of the investment.
With a 25% return, you're looking at an awful lot of risk. So:
- Can you afford what needs to be put in up front?
- Can you afford the on-costs?
- What proportion of your savings would this investment be swallowing? You don't want all of your money in high risk investments. Think of people who've lost their life savings - they invested poorly.
- Is the quoted return "reasonable"? Sit down with a spreadsheet, put in all the costs, and figure out what needs to be done to give you that return. Does it work?
- As people elsewhere have said, costs will include leasing the area you locate the machine, insurance, repairs and servicing, and getting someone to restock it on a regular basis. As well as the cost of that stock (how much cash do ATMs normally hold? You're going to need to include that, or the cost of servicing it, in your figures)
- What are the alternative investments for your money and time?
- With that kind of return, why does someone want you to invest in this business, rather than throwing all of their own money at it?
This is one I glanced at a couple of years ago:
http://www.customersatm.com.au/products-and-services/frequen…
From memory you basically split the surcharge 50/50 and they provide the ATM but it was a while ago nowDont forget about 'click' fees to whoever your going to get to switch (process) your transactions.. And then you need someone to do your settlement…
Not anyone can just enter this market and own an ATM and make profit… The best model for a business would be Travelex..
One thing I've seen is these companies offer a 25% return but don't account for the return on the cash in the machine. For example, you purchase a machine for $10,000 and the return is $2,500 a year (25%). But you have to put $40,000 of cash in the machine, so your total outlay is $50,000. A return on $2,500 on $50,0000 is only 5%.
read again mate, no more cost, but read my other comment as well
There are no costs as i own 5 of them,the way they make there money is from the $2 fee people pay to use the machine, most of mine are in pubs, shopping centers,I depreciate the machines and claim my air fares every time I go interstate easy money for me.
So out if the 2 dollars I make some,thp oub makes some,own your own atm makes some etchow long have you been on this business?
Did you end up fixing your ADSL joannatan…
still under investigation, can't believe it but the speed fluctuated between 4200 - 4800 now.
it is weird all the sudden my speed back to 5500 now
Gee, fluctuations over a 50 year old piece of copper wire. Couldn't be happening could it! It clearly must be those nasty TPG board members specifically requesting that your account be throttled, how dare they!
my area just build 10 years ago not 50 years ago mate :)
Ozbargain is amazing - just fantastic responses from everyone above - thankyou! :-) Interesting reading :-)
ATM machine???!!! You are a keen Ozbargainer! :)