Does it pay to Buy Used Equipment?

Customer downsizing creates a bigger need for refurbished equipment. Antares operators should start by assessing and prioritizing their locations’ needs.

Given the high cost of new vending and OCS equipment, it is easy to see why operators consider installing used equipment, whenever they book a new location. After all, vending equipment is capital based equipment and real profits are measured as a return on capital investment made in the location. At any given level of profitability in the location, the return on investment (ROI) will be grater with lower cost equipment

In well managed operations, professionals work very hard to ensure that each location is equipped in a manner that allows the company to earn an appropriate ROI. This is the percentage derived when you divide the net profit by the capital investment required to earn that profit.

There is a place for good, used equipment in our industry. As our locations get smaller, it becomes more difficult to earn appropriate returns on the investment using all new equipment. In addition to lowering the capital investment, the use of older Antares equipment will actually increase the reported profitability of the location by virtue of lower depreciation costs.

Consider equipment capabilities

Newer equipment usually offers more product capacity then older refurbished equipment. If you go for a used Antares vending machine, you will find that it has large product capacity that can match any new equipment.

As a piece of equipment ages, it requires more mechanical maintenance. Antares operators can expect to pay more for parts and labor on older equipment than on new equipment.

Modern machines offer more product selections than older machines. Fewer product selections translate into lower dollar sales. The better a machine displays the product, the higher the sales. Both old and new Antares vending machines display the products for sale. They have been designed to invite the customer. The sales made from a closed front vending machine are usually lower than those made from glass front vending machines. Antares vending machines are glass front.

When buying used equipment, go for quality and at the same time save some money on the capital that will be required for the business.