How to Use LAER for Handling Objections

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LAER is most widely known as a marketing technique used by salespeople. However, you will find that it’s actually a great active listening technique for handling objections in any scenario. That’s why we’ll explain in this article how to listen, acknowledge, explore, and respond to objections you might face when approaching location owners with a proposal to place your ATM.

What is LAER?

LAER is a communication strategy that stands for Listen, Acknowledge, Explore, and Respond. While you might think these four steps go without saying, it’s actually a method that needs to be practiced and perfected. Too often we want to jump in with our solution, especially when we are so confident and sure of it. But doing so will almost certainly cost you the deal.

You know you have a good idea. You wouldn’t be approaching business owners with an ATM opportunity if you weren’t sure the location would benefit from it. And, you know there is little to no risk on the part of the location owner. But how do you get someone to trust you and to hear you out (especially for your first placement)? 

If you’ve struggled to negotiate locations in the past, it probably isn’t the idea that isn’t working; it might be the presentation. These are the four steps of the LAER method explained:

Listen

This is the first step, but it will be a vital one throughout the entire conversation. You don’t want to just listen to the owners’ initial objections, you’ll want to also listen to their answers to your questions. 

Listening doesn’t just mean not interrupting. It means really trying to understand the perspective of the speaker. As the location owner says he or she isn’t interested, try to understand why. When you ask probing questions to get to the root of the pain that’s causing the objection (step 3, explore), listen closely to the answers. 

This way, when you respond (step 4), your response is personalized, genuine, and helpful. Responding in this way rather than from a generic script will show the owner that you are a professional who actually listens.

Acknowledge

During and after actively listening to the owner’s objections and answers to your questions, acknowledge that you understand what is being said. Acknowledgement can be a verbal, “I understand,” or a non-verbal head nod. Whether or not you agree with what is being said, acknowledgement encourages the speaker to keep talking. 

When he or she is finished, begin your response with a summary of what was said. If you get it right, great! If you get it wrong, the speaker will be happy to clarify and probably grateful for the opportunity because it shows that the conversation is two-way.

No longer are you simply trying to “sell” a machine, an idea, or a proposal. You are engaging in a professional conversation that works to please both parties. Again, acknowledgement doesn’t necessarily mean agreement. It just means that you are trying to meet the owner at his or her point(s) of concern 

Explore

Exploring allows you to dig deeper into the root of the objection. What exactly is causing the concern? Where is the objection coming from? You might find that a location owner is objecting due to past experiences, misinformation, or different goals or agenda. 

Ask questions that allow you to better understand why people are objecting. Don’t assume you know why they don’t agree. If you do, your response isn’t going to cut it; you will only scratch the surface of the problem. Don’t try to align what you hear with your beliefs. Instead, try to really understand them so that you can provide a realistic response.

Respond

Don’t tell someone why their way of thinking is wrong. This is aggressive, salesy, and off-putting, and it’s a surefire way to convince someone not to work with you. If you simply respond with facts, you can let someone determine on his or her own what makes the most sense. 

Your response should be factual and helpful. Recommend a solution, a next step, and/or compromise. Keep reading to see some common objections you can use to prepare yourself.  

What Objections Do ATM Owners Face?

New ideas can be scary. Change can be scary. Why try to fix what isn’t broken, right? Location owners might be particularly hesitant to enter into a partnership with you if they really don’t know much about ATM machines or the business. The less they already know, the scarier the change will be.

Location owners are also busy. Don’t be surprised if they aren’t quick to jump at an opportunity that they think will create more work for them. They also might not see that the potential rewards outweigh the perceived risk.

Here are some objections you might come across (or maybe already have) when approaching location owners:

  • I’m afraid an ATM machine will attract crime.
  • I don’t have room for a machine in my store.
  • I don’t have time to handle an ATM machine.
  • I think I’d rather purchase my own machine.
  • I don’t feel comfortable working with someone new to the business.

What kinds of questions can you ask to dig deeper into the root of the objection? Next, we’ll provide an example.

What Happens without the LAER Method?

Let’s take a look at two conversations, one that uses LAER and one that does not. Which one sounds more effective to you?

Without LAER:

ATM Owner: Thank you so much for your time. I wanted to talk to you about placing an ATM machine in your store. Is this something you might be interested in?

Location Owner: No, not really. I don’t want people breaking into my store.

ATM Owner: Well you see, adding an ATM to your store will increase traffic to your store and get you more sales. 

In this scenario, the ATM owner provides the location owner with the potential value and benefits of adding an ATM machine to the location. However, this response completely ignores the root of the objection. So it isn’t going to be a strong enough response to convince the location owner to work with you.

This response also sounds rehearsed. It’s totally acceptable to use a script to guide you, especially when you are just starting out. But in this case, the script is obvious because it sounds as though the ATM owner wasn’t really listening to the location owner. Instead, the ATM owner responds as though it didn’t actually matter what the location owner said; the response was going to be the same. 

It sounds almost as if the ATM owner was just waiting for the opportunity to recite the list of benefits. And while they might be true (there really is a list of benefits of ATM machines for location owners), they don’t address the concern the location owner has. This response does not provide a solution or compromise.

With LAER:

ATM Owner: Thank you so much for your time. I wanted to talk to you about placing an ATM machine in your store. Is this something you might be interested in?

Location Owner: No, not really. I don’t want people breaking into my store.

ATM Owner: I understand. Break-ins can be expensive! Have you experienced a break-in here before?

Location Owner: No, but I’ve heard stories of other robberies in this area.

ATM Owner: Oh. There have been robberies in this area? Were they ATM robberies?

Location Owner: No, they robbed cash registers. OR I don’t know.

ATM Owner: Are you worried about theft during store hours or after store hours?

Location Owner: Well, both, but the robberies here happened (during/after) store hours.

ATM Owner: Uh huh. I see. Well robbery is definitely a concern, but ATM machines aren’t really a big target for armed robbery. It takes a long time to breach an ATM machine, and that increases the risk for average robbers. What if we put the ATM machine outside of the store?

Do you see how this scenario sounds more like a two-way conversation with both parties sharing new information with the other? The ATM owner listens to the location owner by repeating or summarizing what the location owner says, acknowledges the location owner by verbally affirming that he or she understands, explores the root of the problem by asking probing follow-up questions, and responds with facts specifically about ATM crime and even proposes a compromise.

So if you were questioning the effectiveness of active listening strategies before, hopefully now you see the benefit! Are there other methods you can use? Absolutely! The point is that you practice active listening in order to provide more effective responses and close those deals!

How to Use LAER for Handling Objections

In summary, listen to what the owner says, acknowledge that you understand the objections, explore in depth the pain that is driving the objection, and respond to the pain only when you fully understand it.

The concept is simple, but execution can be tricky. You might not get it perfect right away. Practice using it and listening for it in your day to day conversations. You may find that it even improves your conversations with your loved ones!

For scripts you can use to get location owners to talk to you to negotiate deals, check out the Member’s Area at ATMDepot.com!

What is the Cost of Downtime for Your ATM Business?

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The cost of downtime varies from business to business. It really depends on how much you make and how much it costs you to operate your business. Because those bills are coming, whether your machine is up and running or not. And if you can’t service your customers, then you can’t make money.

Some downtime is inevitable. In this article, we explain what exactly downtime is and how to minimize it. That way, you ensure maximum revenue.

What is Downtime?

There are two different types of downtime: the good kind and the bad kind. The good kind of downtime is the time you have to yourself in between periods of work. With a finely tuned ATM business, you should be able to experience more and/or longer periods of downtime than you would have working a typical 9-5 job.

This is because an ATM business essentially runs itself. You make passive income, meaning your machine makes you money while you sit back, relax, and enjoy your downtime. However, this only happens if your machine is fully functional. Which brings us to the bad kind of downtime….

In the ATM industry, downtime refers to the amount of time that you aren’t able to provide your service to your customers. Downtime could refer to the time during which the equipment or machine isn’t functioning properly or any time during which service is interrupted or stopped. 

That means that set-up time, repair time, and other unexpected obstacles create downtime—time that you aren’t able to generate revenue when you normally would be. 

The cost of downtime, then, refers to the amount of money and resources you lose when your business is not functioning properly. Keep reading to find out how this applies to an ATM business specifically.

Causes of Downtime

We don’t need to tell you all of the things that can go wrong when operating an ATM business. You knew it would come with some risks, just like any business, when you started. But we will list some causes of downtime here and then explain how you can minimize your risk.

Initial Set-Up

First of all, you experience downtime during the period of time between purchasing the machine and getting it up and running. Now, this downtime isn’t the result of any particular error, circumstance, or malfunction, but once you purchase that machine, it is your job to make your return on investment (ROI) so that you can start making a profit as soon as possible.

If downtime refers to the period of time that you aren’t able to provide service and make money, then this applies to the amount of time it takes for you to install, program, and test your machine. That’s why it’s important to make sure you have everything else in place before you actually receive that machine. The quicker you get it up and running, the less downtime you experience and the sooner you start making money.

Hardware and Software Issues

Once your machine is up and running, you could experience hardware or software issues. If something mechanical malfunctions or stops working, you have to stop service until the parts are fixed or replaced. If there is a software breach, your customer data is compromised, and you have to stop service until you improve your security.

Connection Issues

Power outages, poor internet connection, and server instability can also disrupt service. Your ATM machine relies on these resources 100% of the time that it’s available to customers. It can’t do its job without them. So if anything happens to the connection, you will experience downtime until it is restored.

Human Error

Downtime could also be the result of human error. You, your vaulter, or the location owner could load the machine incorrectly causing the wrong denominations to be dispensed. Or, someone could fail to load the machine at all. Without cash or receipt paper, your ATM cannot properly service your customers, and you will lose out on transactions until the issue is addressed. 

Location Issues

Unfortunately, you will be at the mercy of the location’s availability if you don’t operate your machine out of your own space. That means that if the location has to close during hours when you normally operate your machine, you will lose out on transactions during that time. There could be flood, fire, construction, holidays, vacations, etc. that could cause the location to close and cut your machine off from usual customers.

How to Prevent Downtime Costs

Although there is a long list of things that can go wrong and cause you to experience the cost of downtime in your ATM business, there are ways to mitigate your risk of downtime and minimize the duration. 

Make an Action Plan

The first thing you can do is be prepared. That is where the list of causes becomes helpful. While we hate to think of everything that can go wrong, doing so prepares us to handle anything that comes our way. So take a look at the list, and make a plan for handling the issue as quickly as possible.

Communicate

Then, prioritize communication. Share your plan with the location owner, vaulter, and anyone else who helps you with your operation. Make sure that everyone involved knows what to do if something goes wrong. 

You also want to communicate with your customers. Let them know what the problem is, when you expect to have it fixed, and maybe even provide contact information. This can help preserve your reputation by providing excellent customer service even when your machine isn’t available.

Minimize and Eliminate Potential Causes

This might go without saying, but you want to try to eliminate the potential causes of downtime costs as much as possible. For example, rather than use the location’s internet service provider for your connection, you can prevent unreliable internet connection by investing in your own ATM wireless device.

Increased security measures can prevent vandalism, theft, robbery, fraud, and other potential threats to your machine. Keeping your software up-to-date also improves security, customer service, and uptime (the time your business is fully operational). These are other proactive measures you can take to eliminate causes of downtime costs.

Utilize Your Resources

Don’t be afraid to ask for help. If something goes wrong, you might need to reach out to the location owner to fix it if you are unavailable. Or, if you need help diagnosing a problem or need technical service or advice, contact your ATM provider. (Hopefully you work with someone like ATMDepot who offers 24/7 customer service.)

You also want to make sure you utilize remote online monitoring. Your ATM company should provide you with access to a portal where you can set up alerts and track activity. Keeping tabs on your machine while you are away and getting real-time data and notifications allows you to jump on a problem as soon as it occurs, therefore minimizing your downtime costs.

Improve Mistakes

Finally, reflect on and improve mistakes. There is a first time for everything. If and when something goes wrong, take notes and think about what you could have done better. That way, if it ever happens again, you are better prepared and can resume operations even quicker.

What is the Cost of Downtime for Your ATM Business?

A business’s risk of downtime is determined by the industry, size, and business model.

Downtime can cost large companies thousands of dollars every minute! Companies like Amazon, Apple, and Facebook are so profitable, though, that they can recover easily from mistakes and system outages. Smaller businesses, however, could be completely ruined from just one mistake.

This is due in part to the fact that the cost of downtime isn’t solely financial. There are other, intangible costs like a damaged reputation, stress, lower confidence, and decreased momentum. The smaller the business, the more impactful these intangible factors can be.

Categories of Downtime Costs

The cost of downtime factors in more than just monetary loss. Of course you aren’t making money when your machine is down, but what other costs do you have to consider?

In addition to lost revenue, you have to consider the cost of repairs. Do you have to pay a technician to come service your machine? Do you have to replace a cassette? Should you purchase a more secure lock?

And there are productivity costs. What will it cost you in time and money to have to stop what you are doing to address issues with your business? Will you incur extra travel costs? Extra stress? Will you have to sacrifice time spent at another job, on an additional project, or with family?

Then there are other intangible costs which have long-term effects. For example, if someone comes to use your machine, but it’s out of order, they might never return. So you lose transactions during downtime, you lose regular customers, and your reputation suffers. 

You also want to consider your relationship with the location owner. If you share your transaction revenue with the location owner, he or she loses out on income and customers during downtime as well. If you experience too much downtime, you could compromise the agreement you have with the location. The owner could terminate your agreement or decide not to renew. That could be a potential long-term cost of downtime, too.

How to Calculate the Cost of Downtime

There are a few formulas businesses use to try to predict just how much they could lose every hour that systems are down. For example, they might add the amount of lost revenue to the amount of lost productivity and add the amount of recovery and intangible costs.

Lost revenue can be calculated by multiplying the amount of revenue made per hour by the number of downtime hours and multiplying that by the percent of time systems are relied on. Lost production equals the employee salary per hour times the percent of time they are utilized times the number of employees.

However, an ATM business is a little simpler. Since you are probably your only employee, and you rely on system operations for 100% of the time you are in business (your entire business relies on your machine functioning fully), you really just have to add the amount of lost revenue, the amount of recovery, and intangible costs to get a rough estimate of the cost of downtime for your ATM business.

Conclusion

It can be difficult to come up with an exact number for the cost of downtime for an ATM business. There are many factors to consider, and it’s hard to put a price on intangible costs. So to simplify, in most cases, the cost of downtime essentially equals the average amount of revenue generated in an hour multiplied by the number of hours your ATM is out of service. 

There is a long list of things that can go wrong, and every business experiences periods of downtime. But if you are prepared, you can minimize your costs of downtime and continue to provide excellent customer service—your business depends on it!

3 Ways ATM Monitoring Increases ATM Revenue

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ATM monitoring can help you increase your ATM revenue. If you own an ATM, you know how important it is to make sure it’s always in operation. You can’t make money if your ATM doesn’t work. If your machine isn’t reliable, you will lose customers. 

ATM monitoring not only helps you from losing revenue, but it can help you increase it as well. Not to mention putting more in your pocket by avoiding preventable disasters. 

What is ATM Monitoring?

ATM monitoring is often named with descriptors like online, remote, and real time. All this means is that it is a system that provides ATM owners with updates and alerts regarding ATM functions 24/7. 

ATMs have advanced technologically to provide more services and features. So there is much more to monitor than simply availability status. 

Earlier ATM monitoring systems simply provided an availability status, leaving ATM operators in the dark about fixing problems. Can you imagine calling a service tech every time your machine has an issue? Especially since a majority of ATM errors are easy for you to address yourself without any technical support. 

Now, ATM monitoring not only alerts you when there’s a problem, but it also provides insights into what the issue is. This way, you can save time and money fixing problems. You have complete control over your ATM operation.

Real time ATM monitoring allows you to analyze transactions, understand issues, troubleshoot errors, and keep your machine running. ATM monitoring provides many benefits to an ATM business, especially businesses that have more than one ATM machine to maintain.

First, it alerts you when there are issues whether mechanical or security. Second, it provides insight into failed customer interactions. Finally, it allows you to create predictive solutions to prevent future problems. 

More complex issues can arise than just cash or paper jams. Your machine could experience connection issues, screen or display malfunctions, card reader malfunctions, and more. But with real time ATM monitoring, you can enhance security, improve the customer experience, and increase revenue.

How Does ATM Monitoring Work?

We won’t get into all of the technical details behind ATM monitoring, but we can provide you with a couple of examples. 

There is a lot of variation in configuration responsibilities, workflows, geography, devices, vendors, etc. Rather than spend unnecessary time and money waiting for service specific to you and your needs from one particular institution, ATM monitoring offers a more flexible, operator-driven solution. 

With a system configured precisely for you, you are always prepared even as the system needs change. You can generate your own reports, customize user access and abilities, and create dashboards without having to get the vendor involved at every stage. The result is an entire life cycle of your machine stored in a single database that you can access 24/7. 

For example, if your ATM machine experiences a cassette issue, a ticket can be automatically created and routed to the appropriate vendor. This vendor sees the ticket (again, in real time via their own online portal), and can apply already established parameters to address the issue and close the ticket all from within one monitoring tool.

The process is similar for addressing failed customer interactions. If the system registers three consecutive failed transactions, you want to know what is causing it. Are the attempted transactions potentially fraudulent? Is there a connection issue? Is there a problem with the card reader? No matter the problem, a situation like this can trigger an automatic alert routed immediately to customer service. 

Therefore, ATM monitoring systems help you run your ATM business more smoothly. The more aware you are of your machines, the better customer service you will be able to provide to your users. And the happier your users are, the more money you make.

3 Ways ATM Monitoring Increases ATM Revenue

1. Minimizes Downtime

You can’t make money if your ATM isn’t functioning. And you lose money when customers can’t rely on your machine. ATM monitoring alerts you when your ATM machine experiences issues. 

For example, it can let you know when your machine is running low on cash. That way, you can refill it before it runs out and make sure there are no periods when your machine is empty. 

With real time monitoring, you also know when your machine experiences problems like connection issues, cash and paper jams, and other technical malfunctions. When these occur, you can address them immediately and minimize the amount of downtime your machine experiences. 

The less downtime, the more money you make. And the more reliable your machine is, the more customers you will attract.

2. Improves Customer Service

You need your machine to be functioning in order to make money from transactions. But if your machine is slower or less reliable than others, you could lose customers to your competition. So you want to make sure you stay on top of ATM network connection, jams, and dispenser malfunctions.

ATM monitoring can also provide you with analytic data you can use to improve and streamline your business. For example, find out what days your machine is busiest so that you can make sure it’s filled before it runs low. This way, you don’t even have to worry about a low bin alert.

You can also see what causes failed customer transactions. Tracking this data can help you resolve issues quickly and even help you prevent issues from arising at all. Taking the time to analyze your data provides your customers with the best service and translates into more revenue for you. 

3. Increases Security

Finally, real time ATM monitoring allows you to keep eyes on your machine at all times, even when you aren’t on-site. ATM monitoring helps you detect and prevent fraud. With real time ATM monitoring, you know which transactions occur when, which are successful and which aren’t, and what activity is unusual. 

Want to know what goes on when you aren’t around? ATM monitoring makes that possible.  

How to Get ATM Monitoring

Now you’re convinced that you need ATM monitoring to help run your ATM business more smoothly. So how do you get it set up? 

Real time online monitoring is a service offered by your ATM processing company. So when looking for an ATM company to work with, you might want to make sure they offer online monitoring. Then, the company will host a portal where you can login and search for your machine(s). You should also be able to view this information from your phone, allowing you to monitor your ATM machines remotely 24/7. 

Conclusion

ATMDepot is one ATM processing company that provides online access to your ATM terminals. By logging in from a desktop or mobile device, you can check on your ATM transactions in real time. You can also print statements, view deposit reports, and perform many other functions. Furthermore, you can set up low balance alerts via text message to let you know when one of your ATMs is running low on cash. This way, you can better manage cash replenishment. ATM monitoring allows you to better serve your customers and make more money. Try it today!

ATM Insurance—Do You Need It?

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ATM insurance is not legally required. However, it is an inexpensive way to protect yourself against expensive accidents and other mishaps. Since your ATM machine is not run or owned by an FDIC-insured institution, you are not subject to FDIC protection. While you can get ATM business-specific insurance, you don’t have to. A general liability policy might be enough, depending on your needs. 

Most location owners will expect you to have this coverage at the very least before they agree to work with you. So, getting a policy ahead of time will help you navigate this potential objection to a location agreement.

In this article, we’ll cover different types of insurance so that you know what you’re looking for!

ATM Business Insurance—Specialty Insurance

ATM business insurance is also known as specialty insurance. It is designed to protect you against loss of your ATM machine and the cash inside. However, not every policy will cover all scenarios. It’s important to decide which events you want covered and for how many machines. That way, you know exactly what is covered by your policy and what isn’t. 

There are some basic events that ATM insurance policies could cover. Your policy could include the following coverage types:

Commercial General Liability

All businesses face risks. An ATM business is no different. Business insurance, then, is designed to protect your assets. The most common and most crucial policy business owners purchase is commercial general liability. 

General liability insurance covers bodily injury, property damage, medical payments, and legal defense. For example, if you accidentally damage the location owner’s property while moving or installing your machine, insurance would cover the cost of repairs. Or, on the rare occasion a customer gets injured while using your machine, insurance would cover the cost of treating the injuries. And if a disgruntled customer takes legal action against you or your company, insurance could cover the costs of defending yourself.

You can expect to spend about $400-$700 a year for $1 million in general liability coverage. But general liability insurance won’t cover your machine or the cash inside. So if you want more than general liability coverage, you will need to look for a more specialized insurance policy.

Commercial Property Insurance

Commercial property insurance covers your ATM business’s physical property and any business-related contents if they are damaged by an insured peril. This might include fire, theft, water damage, vandalism, etc.

Commercial property insurance covers any tools you use to maintain your ATM machine. This coverage also applies to any facility where you store your ATM machine(s). In the event of a fire, for example, your tools, machine(s), and other affected property would be covered.

Equipment Breakdown Insurance

Equipment breakdown insurance can protect your equipment against internal or mechanical failures. This means that if one of your ATMs breaks down due to an insured loss, your insurer might cover the cost of repairs or replacement.

Crime Insurance

Crime insurance coverage can help mitigate the financial losses due to burglary and robbery, whether by an unknown perpetrator or by someone who works for you. Either way, crime coverage protects you against theft of the machine and/or the cash inside.

Crime insurance could protect you in the event of the following situations:

Employee Dishonesty: If you hire someone to vault your machine or perform any kind of service or maintenance, and that employee steals from your machine, crime coverage would protect you.

Robbery: If someone steals cash from you or an employee while, say, vaulting the machine, your loss would be covered.

Burglary: Burglary refers to theft of cash from the ATM machine itself.

Property: This applies to damage to or loss of the ATM machine (also referred to as mysterious disappearance).

Liability: Similar to a general liability policy, liability coverage safeguards you against the costs of legal defense, bodily injury, and property damage resulting from the operation of your machine.

Business Interruption Insurance 

Business interruption insurance can protect your ATM business from lost income if it is forced to close due to an insured peril. These may include theft, fire, vandalism, water damage, etc.

When inquiring about events that are covered, request details about property damage, theft, liability, and business interruption. The extent of coverage may vary depending on the specific event and risks involved.

Commercial Auto Insurance

You can get commercial auto insurance to cover your or your employees’ vehicles while on the road to and from your ATM locations. Any vehicle that you use for business purposes can be covered under commercial auto insurance.

Workers’ Compensation

If you hire employees to help you operate your ATM business, you might be required by law to carry workers’ compensation insurance. It depends on your state. Workers’ compensation helps you pay for any medical bills employees incur while on the job. If an employee gets injured while servicing or operating your ATM machine, this insurance prevents you from having to pay out of pocket.

Cash In Transit

Some specialty insurance providers will offer coverage for cash in transit. But if you hire an armored car service, these companies often carry their own insurance. This coverage is typically reserved for companies that need to insure fleets of armored vehicles. However, you can ask about contingency coverage that kicks in if the other company’s insurance fails to pay.

Jackpotting

Another threat, although rare, is “jackpotting”. Jackpotting happens when a hacker creates a malfunction, causing an ATM to dispense all of its cash. Typically logged as a valid transaction, this could create a loophole for insurance companies to not recognize it as a theft claim and deny coverage. 

If you are concerned about this, inquire with each company to see if this and other events would qualify when looking for coverage. Previous jackpotting loopholes have been fixed by the processors, but if some new technology arises in the future that may concern you, then look into this.

ATM Specialty Insurance Providers

It’s important to verify with each ATM insurance provider you inquire with the coverage they offer, specifically relating to ATMs. When purchasing ATM insurance, make sure your policy limits cover loss for each machine you own, whether that be one or 50.

Here is an overview of what some specialty insurance providers offer:

Marshall+Sterling has over 50 years of experience in the money handling industry and offers specialized programs for ATM businesses, including crime, property, and liability coverage. However, they don’t offer event insurance or coverage for just one ATM. Contact them for specific needs, as their requirements and rates change.

American Special Risk (ASR) has nearly two decades of experience providing insurance solutions tailored to the needs of the ATM and vault cash industries. They offer coverage for property, crime, and liability exposures specific to ATM operations, including protection against physical attacks, natural catastrophes, and lawsuits arising from ATM use.

Other Possible ATM Insurance Providers

Eventsured is a provider recommended for high-risk events potentially suitable for those affecting ATMs.

Thimble offers special event insurance and provides quick online quotes.

Several venues highly recommend RVNA. They are potentially suitable for machines needing ATM coverage at events.

The Hartford is a well-established company that provides special event insurance suitable for various events, including those affecting ATMs.

Travelers offers event coverage that might apply to events affecting ATMs.

American Team Managers Insurance Services primarily focuses on wholesale insurance for independent agents. They offer tailored solutions and exclusive programs, which can include ATM-related coverage in some states. You can inquire about their offerings for your specific needs.

Many general business insurers may offer coverage that can be tailored to include ATM-related risks as part of a broader business insurance policy. 

Not every policy will cover all scenarios. So you will want to be clear about the specifics of your policy to make sure you know exactly what is covered and what isn’t. Consider contacting reputable insurers to discuss your specific needs and see if a provider can create a customized solution. 

Just like any other type of insurance policy you might have, you purchase enough to cover each machine you own. Your premium is based on how much coverage you need. You can sometimes add on whatever risks aren’t covered under the main policy. So you just have to decide what risks you specifically want to mitigate and see if your insurance company offers coverage for those scenarios. 

More Ways to Mitigate Risk

In addition to purchasing insurance, to help set your mind at ease, there are some other security tips you can implement to mitigate risk. First and foremost, you want to place your ATM machine strategically.

Make sure the machine is well-lit and within eyesight of on-site employees. Try to keep the machine away from glass doors or windows that are easy to breach. Bolt the machine down to prevent its removal and limit access to the case. 

Ensure the machine is within the range of nearby security cameras or consider purchasing your own. Cameras not only deter vandalism and theft, but they can also help catch criminals. Some insurance companies will require you to have the machine bolted down and have cameras and possibly an alarm system if the location is not open 24/7 as a condition of coverage.

There are also business practices you can implement to mitigate specific risks. For example, use remote online monitoring to check on your machine when you’re off-site. Only provide keys to people you trust. Regularly update software to prevent logical attacks (attacks that involve breaching software and hardware). And consider keeping an irregular vaulting schedule to avoid robbery.

You don’t necessarily need to set up an LLC or corporation for your business, but you will need a business bank account, so a sole proprietor is the minimum; however, an LLC is recommended so you benefit from having protection for your personal assets. If you go this route, you can look into LLC insurance. Staying up-to-date with business licensing can also be beneficial.

Finally, add any necessary clauses to your contracts and other documents. This can help you establish what risks you will assume and which you want the location owner to accept. 

Conclusion

So, do you need insurance for your ATM business? Not legally. But it is definitely a good idea to purchase general liability insurance. Many location owners may want you to be covered before they enter into a partnership with you, so it’s best to be prepared with quotes so you can budget as needed.

If you decide you’d like alternative or additional coverage, you can shop around and speak to an agent about the best policy for your needs. Your specific needs might depend on how many machines you have to insure, how many people (if any) you employ, and where your machine(s) are located.

In the end, you know what’s best for your business. But if you’d like to speak to someone with years of industry experience about which scenarios are more common than others, contact us today!

9 Motivating Factors for ATM Business Entrepreneurs

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Motivating factors are those reasons why we do, well, anything. Specifically, though, motivating factors are important to consider when it comes to motivating yourself (or your team) to keep working hard!

Remember when you eagerly quit your day job to pursue your career as an IAD? Now, if only you could operate your ATM business with the same drive and vigor you had that day you said Goodbye 9-5. Hello passive income!

If you’re feeling bored, bogged down, or bummed out, consider these 9 motivating factors to see if you can identify the root of the problem. We’ll also provide you with tips and next steps to help you get that motivation back!

What are Motivating Factors?

Motivating factors are important when it comes to running a business. Whether you operate your ATM business alone or employ a team, you must make sure that everyone involved in the business is motivated to work hard, reach goals, and achieve success. Otherwise, the business doesn’t reach its full potential—and neither do you. 

There are two main categories of motivating factors: extrinsic and intrinsic. Extrinsic factors are external. These are the physical, verbal, material things that motivate us. These are the rewards we receive from others. Extrinsic motivators can include praise and recognition from others, monetary rewards, and deals and discounts. 

For example, the owner of your ATM location says that you are the best IAD he or she has ever worked with. This praise feels good and encourages you to maintain that relationship. This praise motivates you to continue to work hard to please your location owner. Extrinsic motivation is based on conditioning: the rewards you receive from others motivates you to continue your behavior.

Intrinsic motivation is internal. Rather than receive rewards from someone else, intrinsic motivation involves you rewarding yourself. Pride, accomplishment, and enjoyment are examples of intrinsic rewards. If you are intrinsically motivated, you are motivated to behave a certain way because of how it makes you feel rather than because of what you get.

9 Motivating Factors

There are strategies and incentives we use every day to keep us motivated. The smell of coffee motivates us to wake up. Direct deposits motivate us to go to work. Buying a new pair of tennis shoes motivates us to walk more. It’s important to note that not everyone is motivated by the same elements. So what motivates you?

1. Financial Benefits

We’ll start with the obvious: money. Would any of us really do our jobs if we didn’t get paid? Maybe if we were intrinsically motivated to do so! But usually that isn’t the case. We work because it puts money in our pockets, food on the table, and gas in our vehicles. 

Yes, money pays the bills, but it also allows us to treat ourselves. Rather than think of money as a necessity, think of it as a reward. Save up for a new vehicle, vacation, or retirement. Once you see that travel fund start to grow, you’ll be motivated to put in the work it takes to purchase that plane ticket!

2. Job/Career Advancement

You might have your heart set on a career goal. Maybe you want to add more ATM machines to your route, manage other IADs, or change careers altogether when the time is right. You can’t get to any of these places without first giving your current position your all. Progressing toward the next stage of your career can motivate you to keep working hard. 

3. Work Schedule

Work schedule plays a large role in motivation. If you’ve been feeling unmotivated lately, re-evaluate your work schedule. One of the best perks of the ATM business is a flexible schedule. 

Is your cash pick-up time too early? If you have trouble motivating yourself to get out of bed in the mornings, adjust your schedule so that it isn’t such a burden. Are your vaulting hours too late? See if you can make an adjustment to better accommodate your other obligations (including sleep!). 

After getting a good feel for your ATM business, you can start to make adjustments. For example, maybe you decide that a greater revenue share is worth it to have the location owner load the machine for you. If you are unhappy with your work schedule, you aren’t going to be motivated to do the work. So make changes as necessary.

4. Peer Pressure

Contrary to popular opinion, we actually want you to compare yourself to others on social media! Join a community of other ATM business professionals and see what they’re doing. You might discover an opportunity you hadn’t considered, find a solution to a problem you’ve been having, and gain encouragement from others’ excitement and success.

Peer pressure can be a great motivating factor when used constructively. Sharing in the joy and success of others can motivate us to try to achieve our own goals. Sometimes, when we feel unmotivated, it helps to know that we aren’t alone, that others share our experiences, and that if our peers are making it happen, then so can we!

5. Recognition and Appreciation

It’s great to celebrate the success of others, but don’t forget to congratulate yourself! What have you accomplished lately? Reflecting on how far you’ve come, all of the hard work you’ve invested, and all of the goals you’ve reached can motivate you to keep going!

Receiving praise from others is a wonderful feeling, but you don’t have to rely on it. Remember to recognize and appreciate yourself even if no one else does. 

6. Fear

Fear is a legitimate motivating factor. Not only are we motivated by things we hope to achieve and receive, but we are also motivated by things we try to avoid. What are you afraid of? What are you working to avoid?

Fear has a way of protecting us. For example, if you’re afraid of losing money, then you make sure you are careful when handling business processes and procedures to minimize your risk. If you’re afraid of choosing a location that isn’t profitable, you will do more extensive research and testing. 

While fear can be a powerful motivator, don’t fixate on it. There are many positive motivating factors to consider.

7. Meaning and Purpose

Many of us are motivated by doing meaningful work and fulfilling our destined purpose. How is your ATM business meaningful and purposeful for you? As an IAD, you provide a service to your community. Your ATM machine provides your customers with convenient access to their bank accounts. 

In underbanked communities, this service is felt even deeper. For some people, your operational ATM machine is a valuable lifeline. This knowledge might motivate you to keep your machine up and running as much as possible in order to provide your community with this reliable service.

8. Pride

Pride extends into multiple areas of our work. We can be proud of our work in general (meaning and purpose), or we can be proud of specific goals and milestones we reach. We can also be proud of our ability to overcome obstacles. If you have ever failed and tried again, you should be proud of yourself. Let that pride and your passion for your business motivate you to keep trying!

9. Fun

Do you enjoy your work? If not, you need to make a change. When we enjoy our work, we are motivated to keep doing it! It’s not work any more if you genuinely have fun. If your business lacks this, and you’re motivated by fun, what are some ways you can make your work more enjoyable?

Ways to Stay Motivated

Now that you know what factors motivate you the most, you can take some steps to create more of these opportunities. 

Be honest with yourself.

Motivation ebbs and flows. You might not be motivated 100% of the time. But when you really start to struggle, just return to these lists to remind yourself why you do what you do and how you can get energized again.

Network.

Join a community of like-minded individuals and ATM business professionals. Make new friends who have been where you are. Exchange ideas, tell stories, ask questions, and offer your own expertise. 

Most importantly, share in others’ successes. Enthusiasm is contagious. When you’re feeling down, jump onto social media and read some success stories to motivate yourself to get back out there!

You might also seek professional development opportunities. Are you motivated by learning more about your industry? Becoming better and more knowledgeable?  

Focus on your goals.

Write them down. Display them. Share them with a close friend or family member, someone who can monitor your progress with you and hold you accountable. Your goal is your light at the end of the tunnel. A goal becomes your “why”, your reason. To increase your chance for success, turn your goal into a SMART goal so that you have a plan for achieving it.

Reflect on successes and failures.

Take some time to celebrate your successes. Display positive reviews. Reward yourself. Identify the things you are doing well, and keep doing them. And don’t let failure discourage you. Don’t be afraid to fail; learn from it. 

Take a break!

Don’t overwork yourself. It’s important to slow down, take a break, get some rest, and get some perspective. Make sure you take a break within your day most days. Schedule some time off throughout the year. Plan a vacation. Whatever your preference, don’t forget to refresh and restart. 

Stay focused on the customer.

Remember that you are providing a service to your community. People are counting on you. Knowing that you made someone’s day just a little bit easier can help get you through the day.

Conclusion

What motivates you? What motivates you today might not motivate you tomorrow. And some motivating factors might never apply to you. That’s okay. As long as you can identify motivating factors that work for you, you can keep building your business without the threat of getting bored, bogged down, or bummed out. 

If you’d like to join the ATM industry’s only business development membership, you could be one of many successful IADs, distributors, business people, and independent investors who enjoy special equipment pricing; first alerts to specials, sales, and timely discounts; a comprehensive array of ADA and network compliant ATM solutions; and special proprietary forms, sales tactics, and mentoring.

Join ATM Depot’s Member’s Area today and get the support you need to stay motivated!