An ATM (automated teller machine) is an excellent addition to almost any company, particularly bars, dining establishments, and stores. Not just does an ATM increase your earnings, it offers your existing consumers with a practical service and aids to generate brand-new clients. When done effectively, ATMs bring a company nothing but advantages.
Factors to Consider When Renting an ATM
Firstly, you will have to know the distinction between leasing and renting. Typically, the terms are utilized interchangeably, however, they are not really the same. Renting permits you to utilize an ATM for a much shorter time (though that does not mean you can’t rent for an extended period), in some cases just a day, whereas leasing usually means a long-lasting contract. It is essential to understand the difference prior to deciding since both alternatives fit very different needs you might have.
When choosing whether to rent an ATM, think about the following:
- Expense: Renting an ATM has a lower expense in advance (in some cases none at all) in contrast to purchasing one. Low month-to-month payments for short-term use greatly exceed spending some thousands of dollars on a device that you might not want to keep for that long. Nevertheless, if you are aiming to make an ATM a long-term part of your company’s services, acquiring one is most likely the much better option. Low regular monthly payments might work for a while, however, over extended periods of time you might wind up having to spend a lot more on renting than to purchase.
Keep in mind: It is possible that your location requires you to report the positioning or use of an ATM in your company within 60 days. Make sure to learn if you are in a location that has these requirements and, if so, submit a notification for the appropriate institutions within the needed time frame.
- Repair work: The majority of rental contracts state that the rental business deals with any upkeep or service the ATM may require throughout the rental period. This absolutely minimizes expenses in contrast to owning, where any repair work will fall on your shoulders. Nevertheless, make sure to thoroughly read your rental arrangement so you understand precisely who you will have to call for any repair work and the timelines in which it must be repaired.
- Taxes: Rental payments are generally tax-deductible, although unlike renting arrangements, the whole charge is not always deductible. Talk with your accountant about the details to see if the tax reduction is another check in the pro column for renting, or if it would be much better on the long run to purchase.
- Tech: Renting an ATM provides you access to the most recent and best ATM technology on the planet. Purchasing a brand-new, high-grade system can be really costly, however, renting lets you utilize the very best of the very best at only a portion of the normal price.
Event Planning and ATM Rentals
Renting an ATM is also an excellent idea for more short-term occasions, such as celebrations and other events. An ATM provides visitors with a simple way to gain access to money if they do not want to (or can’t) utilize a credit or debit card for purchases. Whether you’re looking to hold a celebration at a rented location or set up some sort of market or fair, ATM rentals are a huge benefit to clients, visitors, and sellers alike. For instance, lots of bartenders at parties or sellers at craft fairs and flea markets can’t afford the additional expense that comes with card purchases or might simply see it as too much work. An ATM solves this issue for everyone at the same time.
Not only are ATM rentals ideal for short-term occasions, but most of the cash withdrawn from an ATM is invested at the actual event. Customers will have access to the convenience of fast money and suppliers will benefit from their spending.
Just How Much Does Renting an ATM Cost?
Offering a specific expense for renting an ATM is pretty hard, as the rental duration and the company you rent through directly impact the overall cost. Normally, rental costs are done by the month, though businesses that allow much shorter rentals might charge per day or week. That being said, here is a basic cost guide to get an idea of what you should be ready to pay when renting an ATM:
- ATMs have a typical rental expense somewhere between $50 and $120 monthly. Shorter rental periods are readily available from many businesses.
- Setup and training charges will be between $50 and $500. If your location has high foot traffic or you are renting for a brief amount of time, some suppliers waive these costs and take a part of the unit’s fees instead.
- Stocking the ATM, which normally means employing either an armored truck service for a typical expense between $100 and $500 each month, or a money filling service for a typical expense between $40 and $60 monthly.
- A phone line (which the ATM will need to operate) for a typical expense between $20 and $40 each month.
- Changing invoice paper, which has a typical expense between $10 and $50 monthly.
- Statement costs, which have a typical expense between $10 and $30 monthly.
Generating income from Your ATM
It may look like these expenses are high and that there isn’t much cash to be made over the expenses of an ATM, however, that’s where the additional charges or “convenience charges” come in. While the typical surcharge on an ATM is around $2.50, they vary from as low as $1 to as high as $9. Just how much you stand to make from that additional charge depends upon the portion of the additional charges that your rental service provider takes. When you purchase an ATM, you normally have more control over these charges and just how much you can make on them. However, when leasing or renting, all of it depends upon your service provider.
Make sure to check out your rental arrangement and see exactly what it has to say about your surcharges. Talk to your rental business and see what portion they take. For long-lasting leasings, you ought to be earning money off of the ATM within a year.