7 Tips for Maximizing ATM Revenue in 2022

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We’ve talked about maximizing ATM revenue before, but we think it bears repeating. Plus, some things have changed in the economy and the industry in recent years. So, here is a modified, modernized, fresh list of things you can do to maximize your ATM revenue this year.

What is ATM Revenue?

Your ATM revenue is the money your machine brings in. So, how many people use your ATM in a day? A month? A year? The number of transactions made multiplied by your surcharge equals your revenue. The more revenue you make, the more profit you make because that means there is more left over after you cover business expenses. Maximum revenue is good for your business, and it’s good for you!

How to Make ATM Revenue Projections

There are a couple of ways you can predict your revenue and set revenue goals. First, if your ATM machine is in a store, restaurant, or other business, you might expect an average of 200 customers to visit the establishment every day. Now, the ATM industry estimates that about 1-5% of people who see an ATM actually use it, so you can count on about 6 or so people using your machine each day.

Another way to figure revenue projections is to determine how many adult patrons the establishment sees in a day. This should equal (plus or minus 10%) the same number of ATM transactions your machine will have in a month. This number might be a little lower if the establishment accepts credit cards or offers cash back at the point of sale (POS). 

For estimation’s sake, then, say the establishment where your machine is located sees 200 patrons a day. At the higher end of the spectrum, you could expect 200 ATM transactions in a month. At the lower end of the spectrum, you might expect 20-40% less (120-160). Multiplied by an average surcharge of about $3.00, you’re looking at a range of about $360-$480 in revenue each month.

Now, these figures won’t be exact. As you can see from the following list, there are a number of factors to take into consideration when it comes to maximizing your ATM revenue. So if you are experiencing numbers lower than the projections you get from the formulas, try implementing one or more of these 7 tips.

How to Maximize ATM Revenue

1. Adjust Surcharge

One of the most obvious ways to bring in more money is to adjust the surcharge. This is, after all, where your revenue comes from. However, while raising your surcharge could bring in more revenue, it could also deter customers if it’s too high.

If you already have a relatively high surcharge (the average is about $3.00), lowering it might bring in more users. Eight transactions at $2.50 is more than 6 transactions at $3.00. So you’ll want to experiment to find the sweet spot. 

Your surcharge fee will also depend on your competition. Consider the rates of nearby ATM machines. If you can offer a lower surcharge, you might be able to corner the market. If you don’t have any competition, you might be able to increase your surcharge without compromising the number of transactions you see.

And don’t forget, if your ATM is located in an establishment with a liquor license, your surcharge could be upwards of $4.00. So the establishment where your machine is located is a factor as well.

2. Diversify Denominations

Believe it or not, not all denominations perform the same in every location. In areas where there are more high dollar withdrawal amounts, higher denominations like 20s are standard and convenient for users. However, ATMs in areas where people prefer to withdraw smaller amounts of cash at a time perform better with smaller denominations like 5s or 10s.

To change the denomination(s) your machine dispenses, speak with your ATM processor. They will need to set you up with the right cassette and programming to make it happen.

3. Advertise

People cannot use your machine if they don’t know it exists. Therefore, advertising is key. There are a number of simple things you can do that won’t cost you a thing.

First of all, make passersby aware that your ATM is nearby even before they enter the establishment. Consider putting up a sign in the window for some cheap, easy advertising. Make your own sign for free, or purchase one depending on your needs and the preference of the location owner.

Second, advertise your ATM on the establishment’s website or on Google Maps. Make sure that people who are researching the establishment online or are looking specifically for an ATM machine know that there is one at that location.

Third, make sure the machine can be seen by patrons of the establishment. Is it in plain sight with no shelves or corners hiding it? Are there zero obstructions, making it easy to get to? Is the area well-lit? These are all factors to consider when it comes to drawing in more users, and the best part is that they can easily be adjusted without spending any extra money.

Now, if you do find that you need to do a little more, you might want to put some money into your advertising. You can purchase a topper for your ATM machine that helps make it more visible. You can even get one that can display messages and graphics to add to its appeal. Use LED signs and lights with bright colors to catch customers’ attention.

4. Offer Incentives

Your ATM might have the ability to print coupons on the ATM receipt paper. This is a great way to encourage repeat business. Gas discount coupons work well for gas stations. Car wash coupons, BOGO offers, and free drink with purchase are other good ideas. Customers are more likely to use an ATM if they get a bonus or extra benefit.

5. Update and Upgrade

Customers might not feel comfortable using your machine if it looks old, run-down, and out-of-order or likely to malfunction. If you are looking for ways to maximize your ATM revenue, we’re sure this isn’t the state of your machine. But customers might not know that just by looking at it. 

Make sure the area around the machine is clean, the machine itself is clean, the decals are new and not peeling, and your machine is fully stocked and functioning during all hours of operation. The less downtime your machine experiences, the more opportunities you open to transactions.

Your machine might look great! But certain upgrades can make your machine stand out from the competition. Earlier we mentioned using LED lights, topper, and graphics to help advertise your machine, but these features can also make your machine look more inviting if it’s already in a conspicuous area.

As long as you ensure your software is updated, then you minimize the downtime of your ATM and speed up transactions. This keeps users coming back. Upgrades are a nice touch if you find that you need them. 

6. Change Locations

You might want to experiment with the placement of your machine as well. Place the machine near the door where patrons have two opportunities to pass by it (coming and going). Or near the cash register where almost every patron is sure to stop and probably need cash. You might also consider placing it near a particularly popular aisle where more people are likely to spot it. Be strategic.

If your machine can be hooked up outside, you might want to consider this as well. This opens business up to passersby who never intended to enter the establishment in the first place. It’s also quite obviously visible this way, and if the establishment isn’t open 24/7, you open your machine up to more transaction opportunities by extending its hours of operation.

Finally, if all else fails and you aren’t seeing the numbers you want to, it might be a matter of slow business or foot traffic to the location. If you aren’t seeing at least 200 patrons in a day/transactions in a month, you might consider looking for a busier, more profitable location.

7. Scale Your Business

Now, if your machine is doing as well as you could hope, but you still want to bring in more revenue, it might be time to scale. This could mean adding another ATM machine or two (or ten!) to your route, or it could mean branching out into the Bitcoin ATM business. 

Cryptocurrency is rising in popularity. If you live in an area with a heavy population of crypto users, it might be worth it to give it a shot. Bitcoin ATMs (BTMs) allow users to purchase bitcoin with cash or debit card, and they can sell bitcoin for cash as well. Adding a BTM to your route would provide an additional source of revenue.

Maximize ATM Revenue in 2022

There is no shortage of opportunities when it comes to the ATM business. If one strategy doesn’t work, it doesn’t take much effort to try another! That’s the beauty of passive income. 

Unfortunately, we don’t have the perfect recipe for your success. It will require some trial and error. That’s because no two ATM businesses look the same. There are so many factors to consider, but that also means that there are many possibilities to explore. Find what works for you and your personal revenue goals this year.

Do Businesses Have to Accept Cash? The Payment Choice Act and Other Arguments in Favor of Cash

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Do businesses have to accept cash? Yes and no. While there is no federal law prohibiting businesses from going cashless, state mandates might. So, it depends on where you do business and what the situation is.

More and more businesses have been encouraging cashless payments since the onset of Covid-19 for health and safety reasons, speedier transaction times during the labor shortage, and combating the national coin shortage. However, the Payment Choice Act addresses the downside of businesses going cashless.

Although digital payments have their benefits, cash is still not going away any time soon. Businesses and consumers alike still have a number of reasons to prefer cash payments, or at least to want the option.

Why Cash is Good for Businesses

While it’s true that contactless and digital payments simplify the transaction process for businesses, there is no need to worry that they will take the place of cash exclusively. Not all businesses will transition to cashless. This is because cash still offers a number of benefits.

No Fees

First of all, there are no fees associated with cash transactions. Businesses are charged a percentage of all transactions they process via credit card networks. So you will frequently see businesses that are cash-only or that have an ATM on-site or nearby. These businesses want to encourage cash transactions because they save money on credit card processing fees that way. Not to mention the money they make from ATM surcharges.

Additionally, the more cash transactions businesses conduct, the fewer chargebacks they’ll have to deal with. Businesses face chargeback fees when consumers file a claim with their banks or credit card companies for services and products they purchase with their cards. In some cases, these transactions get reversed and those businesses lose the value of those sales and incur fees.

Cash allows businesses to pay their bills faster, especially small businesses. Cash payments are immediate. Long processing times associated with other payment forms could cause avoidable late fees.

Flexibility

Secondly, cash allows more flexibility when it comes to growth and expansion. If a company wants to acquire another, it might not be able to without the necessary cash. Furthermore, if a business has cash available, it is better able to take advantage of expansion opportunities that otherwise would not be possible without taking out loans. 

Emergencies

Cash is also important for emergency situations and unexpected expenses that aren’t already accounted for in a company’s budget. One of these emergency situations could be an economic downturn. The availability of cash improves a business’s flexibility and therefore its ability to survive.

Cash Flow

Finally, businesses need cash flow. For a company to survive, cash flow is the number one financial factor. High revenue and income do not guarantee cash flow. Without efficient financial operations, companies can experience negative cash flow.

Why Cash is Good for Consumers

Not only do consumers benefit from cash, but for some Americans, that is the only payment option available to them. Cash is universal. It is steady, stable, and secure. Fortunately, it’s here to stay.

Eighty-eight percent of consumers use cash at least sometimes. “There is this surprising resiliency of cash. It keeps hanging around,” says Shelle Santana, assistant professor at Harvard Business School. While contactless and electronic payment methods have their place, they can’t compete with the benefits of cash.

Universal

Cash is a universal payment form available to everyone regardless of income level or age. About 6% of Americans are unbanked and another 16% are underbanked. Ten percent of consumers reported using cash for all of their purchases. Businesses that are cashless exclude these populations. This is a concern the Payment Choice Act aims to solve. 

Convenient

Cash is convenient (especially when electronic processing systems fail). It’s quicker and easier to use cash for low-ticket items. Some businesses impose credit card minimums and/or pass their credit card processing fees onto their customers. This makes paying with cash cheaper as well.

According to a survey by a division of WSFS Bank, 39% of U.S. businesses have a cash-only policy for purchases under $20. Two in every five U.S. consumers (40%) prefer to use cash especially for tipping, ordering fast food, purchasing candy and snacks, buying coffee, and paying for gas. 

Cash allows people to exchange funds immediately. People can pay friends and family for favors and services using cash without having to wait for processing times or transfer issues. According to the 2018 Health of Cash Study sponsored by Cardtronics, 70% of people surveyed prefer using cash to pay money owed to family and friends while 65% prefer receiving cash when owed money.

Cash is also often used as monetary gifts for birthdays, special occasions, and especially children too young for bank accounts.

Safe

Cash is safe. Consumers who carry small amounts of cash aren’t at risk of losing much. Cards that access larger sums of money can get lost, stolen, or hacked.

Cash can be used at an early age to teach financial responsibility. It also helps over 61% of Americans stay within their budgets. Like businesses, consumers experience emergencies and unplanned events. Having a cash savings can be a lifesaver for those situations that are difficult to predict and budget for.

The Power of Choice

Obviously, card transactions, bank transfers, and other money transfer services take time to process and are often accompanied by fees. Debit card transactions can overdraw a bank account, credit cards charge interest and rack up debt, and both banks and credit card companies have their lists of various annual, setup, and/or service fees. This is part of the reason why a percentage of the population literally cannot afford to have a debit or credit card. 

But what’s more important than the value of each individual payment method is the freedom of choice. About 92% of consumers like having a variety of payment methods. More than 90% of households reported using more than one payment method, and the average consumer uses 3.6 payment methods each month.

The Payment Choice Act

The goal of the Payment Choice Act is to provide equality among Americans, allowing everyone to purchase goods and services without discrimination.

The bill stipulates that businesses not eliminate cash as a payment option. The bill would require that businesses accept cash payments for goods and services. The proposed bill prohibits businesses from posting signs that state that they don’t accept cash and from charging cash-paying customers more. 

Do Businesses Have to Accept Cash in Your Opinion?

In your opinion, do businesses have to accept cash? There is debate between the right of businesses to choose what payment methods to accept and the right of consumers to choose the payment method that best suits them. 

No matter which side you take, cash is here to stay. And so are ATMs. Although ATM withdrawals are declining in number, they are increasing in value. So the need for cash hasn’t changed; the demand is the same regardless. What has changed is consumers’ willingness to travel to an ATM. If you are in the ATM business or are interested in getting started, this is good news. This means that with more ATMs placed around the country, accessing cash becomes less of a hassle. And for a majority of the population, cash is still very relevant.

Why Cash is Still King - 2022 via ATMDepot.com

How to Set SMART Goals for Your ATM Business

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Have you heard of SMART goals? It’s no secret that goal-setting is a tried and true method of making sure stuff gets done. But if you’ve set goals before without success, you might have missed some key steps.

Setting goals for your ATM business is a good way to make sure you are successful. You might need to set goals to help get your business started to begin with. Or maybe you need to set some goals to increase profits. Or maybe you want to set some goals to help you balance your ATM business better among your other jobs and your personal life.

Whatever the case may be, SMART goals are a good place to start. We’ll show you how.

What Are SMART Goals?

SMART goals are specifically designed to help you actually achieve what you set out to do. Rather than just jotting down some items on a to-do list without any accountability, SMART goals allow you to monitor your progress toward a big-picture goal. 

SMART stands for Specific, Measurable, Achievable, Relevant, and Timely. By making sure your business goals fit these categories, you set yourself up for success by ensuring that you have a plan to actually accomplish them. Let’s take a look at some examples of SMART goals you can set for your ATM business.

How to Set SMART Goals

How to set SMART goals is already outlined in the acronym. Think of a goal and make sure it fits all five categories. If it doesn’t, then tweak it until it does. We’ll start with a basic example—increase profit—and see how it can be turned into a SMART goal.

Specific

First, your goal needs to be specific. “Increase profit” is a good start, but it would be even better to assign a number to it. If you make just one penny more, technically you will meet this goal. But is that really what you mean when you say you want to increase profit?

Take a look at how much you have already been making. Then, decide how much more you’d like to make. Give yourself a specific number to reach. Track it along the way to make sure you are on track to meeting this milestone.

Measurable

Once you make your goal more specific—increase profit by X% or increase profit to $X—you need to make sure it is measurable. Because, like we mentioned before, you want to be able to track your progress toward reaching your goal. And you want it to be clear at the end whether or not you succeeded.

Assigning a dollar amount or percent to the “increase profit” example not only makes the goal more specific, but it also ensures that your goal is measurable. Percents and dollars can be calculated. You can do some accounting at the end of the quarter or the end of the year to see if you have increased profit from last quarter.

By setting a measurable goal, you are able to keep it on the forefront of your mind. You can create a chart or graph to visibly display your progress toward your goal. Don’t blindly wait around until accounting time to see if you magically made more money. 

Measuring and tracking progress makes working to achieve your goal a constant activity and therefore increases the chances that you will actually succeed. If you are actively measuring and tracking your progress toward your goal, you can make adjustments along the way if the numbers start going the wrong direction or plateau.

Achievable

This one is tricky because you have to find a balance between shooting for the stars and grounding yourself in reality. You don’t want to set yourself up for failure by setting a goal that is completely out of reach, unrealistic, or unachievable. On the other hand, we want to encourage you to set high goals for yourself and to believe that you can and will achieve them.

So let’s look at our example. Increasing your profit by 10% or by $1,000 are examples of achievable goals. These numbers are realistic, and reaching them will have an obvious effect on your business, your income, your lifestyle, etc. 

Earning a million dollars, for example, is not realistic. If you’re in the ATM business, you know you aren’t doing it to get rich. So you aren’t selling yourself short by lowering your goal from a million dollars because this business isn’t designed to earn you that much. It has nothing to do with your abilities, passion, drive. Just keep that balance in mind as you set your SMART goals.

Relevant

Next, you want to make sure your goal is relevant. This means that whatever goals you set for your business should align with the goals you set for yourself, your family, and your personal life. If your goal is to increase profit by $1,000, but to do so means placing an additional ATM machine, then you have to consider whether the time it will take you to maintain that ATM machine will cut into other important obligations.

Say you want to increase profits. So you place an additional ATM machine. But now you have to add a few hours a week to your route. Normally you would be spending that time at home with your family. Is that business goal still relevant? 

If not, adjust it! Maybe lower the profit goal to a number that could be reached by adjusting the surcharge or advertising the machine. That way you can still reach your goal, make more profit, and stay on track with the other areas of your life.

Timely

Finally, you want to set a time frame. Without it, you could be working blindly day in and day out without ever knowing for sure if you were making good progress toward your goal. 

A time frame holds you accountable. And if you’re measuring or tracking your progress, you can see how what you are doing in your business now is affecting the trajectory of your business toward reaching your goal. 

This also plays a part in making sure your goal is achievable. Increasing your profit by next year is an example of an achievable time frame. Increasing your profit by 10% by next week is a little unreasonable. It doesn’t give you enough time to measure the actions you are taking and the changes you are making to ensure that your efforts continue to move you forward.

But the bottom line is to make sure you set a goal that can realistically be achieved in the amount of time you determine. 

Why SMART Goals?

You can make a list of goals all day long. And if you’re really focused and motivated, you can accomplish them. But the best way to make sure you are productive is to set SMART goals. 

SMART goals are ideal because they are designed to be achieved. They clearly state what it is you’d like to do and force you to create a plan to get it done. For example, your goals should be measurable, but then you have to assume the task of measuring your progress. Your goals should be timely, so you need to pick a timeframe and stick to it. If you are ready to step up your ATM game, try setting SMART goals to see just how successful you can be. Need help? Contact us today to see how ATMDepot can help you reach your goals!

The Future of Cash: Is the ATM Business Dying?

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Is the ATM business dying? The short answer: No. As long as there is cash, there will be ATM machines. 

Not only is cash not going away anytime soon, cash is the most widely accessible payment form. ATMs are needed to keep it that way. Digital payment systems have their place, but so does cash. People love to have options. And they don’t react positively when their choices are taken away.

Cash has been around for about 3,000 years. It won’t disappear overnight. There is actually more currency in circulation now than ever before because of the uncertainty caused by Covid-19 the past year.

Although cash payments may be declining, ATM machines can adapt (and already have been) to an increasingly digital society. So as the needs of the consumer evolve, so too will ATM machines. And you’ll want to be there when they do. 

Digital Payment Systems

There are many alternatives to cash payments. Obviously there is the option to pay with a debit or credit card. You have Automatic Clearing House (ACH) payments directly from a bank account. Your employer likely pays you via direct deposit. 

There are services like PayPal that allow you to make purchases online without even having to enter your payment information each time. Many apps like CashApp, Venmo, and Zelle have been developed to transfer small amounts of money between friends and family when cash isn’t readily accessible. And of course you’ve surely heard the buzz about cryptocurrency.

With all of these payment options, where does cash fit in? It’s enough to make you wonder, Is the ATM business dying?

But cash, like digital payment systems, has its benefits and disadvantages. That’s why we need them both: to keep our options open. 

Drawbacks of Digital Payment Systems

Digital payment systems definitely have their place. They’re efficient and flexible. It’s the only way ecommerce works. You can pay for goods and services with the click of a button. However, there are some drawbacks.

First, it’s risky. Card numbers can be compromised, crypto wallets can be hacked. Digital transactions aren’t tangible, so it’s not easy to keep track of. However, your digital transactions aren’t untraceable.

There is proof of your purchases on receipts, in your email, on your bank statement. Your bank accounts and crypto wallets have your name on them and other personal information attached. This increases the risk of identity theft.

Second, cryptocurrency is extremely volatile right now. There is a lot to learn, and although it isn’t going anywhere, no one is sure what its future looks like. Furthermore, most cryptocurrencies aren’t federally backed, which adds to its risk.

Third, digital payment systems contribute to the digital divide. The digital divide refers to the inaccessibility of the Internet for a certain portion of the population. Not everyone has access to reliable Internet, and not everyone who does have access has the literacy necessary to manage finances digitally. This is a huge disadvantage for those in rural areas, low-income households, and the elderly.

Additionally, mobile payments require the use of a smartphone. Only 85% of Americans own a smartphone. While that may seem like a lot, and it is, 15% is also a lot when you think about the thousands of people for whom mobile payments, online banking apps, and constant access to the Internet aren’t an option. 

So while there are some benefits to digital payment systems, they aren’t perfect, and they exclude certain demographics.

Benefits of Cash

It’s anonymous, it’s stable, and it’s accepted pretty much anywhere (and by anyone).

Quick

There are many obvious benefits to cash. First of all, it’s immediate. When you pay with cash, the recipient doesn’t have to wait for a transaction to process, they don’t have to bother with insufficient funds, and you don’t have to worry about overdrawing your account or accruing interest on a credit card transaction. The money is paid. That’s it. It’s done.

Physical

Second, cash is physical. It hurts just a little bit more when you pay for something with cash because you can see and feel the money leaving your side. This can help you be more conscious of your spending habits. It also makes it easier for you to keep track of. You don’t have to worry about hackers getting access to your stash remotely.

Accessible

Third, it’s accessible. Everyone—rich or poor, young or old—has access to cash. You don’t have to be tech savvy or connected to the Internet to manage your cash. According to a Pew Research Center survey conducted earlier this year, that’s good news for the 7% of U.S. adults who don’t use the Internet.

As long as there are unbanked and underbanked people, there will be cash. About 6% of Americans are unbanked while 16% are underbanked. Unbanked people do not have a banking relationship. They either don’t have enough money to bother with an account, can’t keep up with the fees, or just don’t trust banks.

Without a bank account, these people must rely on alternative financial products and services (payday loans, check cashing services, prepaid cards, etc.). They are able to purchase prepaid cards and use them at ATMs without the fear of incurring an overdraft fee if the funds aren’t available.

Underbanked Americans might have a checking and/or savings account but might also rely on alternative financial services. The FDIC’s 2019 How America Banks survey found that 95% (124 million) of U.S. households have at least one bank account. 

That is both the highest number and percent since the survey was first conducted in 2009. That’s good news for cash and ATMs. 

Private

Finally, there is a certain degree of privacy with cash payments. Average cash transactions can’t be tracked, and aside from a paper receipt that can easily be discarded, there is no paper or digital trail. We won’t go into all of the hypothetical scenarios where this might be useful, but many people still value their privacy especially since there is so little of it online.

It is better, easier, and safer to use cash for purchases under $20 to minimize the risk of identity theft.

The Payment Choice Act of 2021

There are some businesses that have chosen to go cashless. However, to keep this from becoming a trend and excluding those who only have access to cash, Congress passed the Payment Choice Act of 2021.

This Act prohibits retail businesses that accept in-person payments from refusing cash. This protects the consumer’s right to use cash at retail businesses.

On the other hand, there are many businesses that encourage cash payments because they are charged fees for every credit card transaction they process. Cash payments also decrease their rate of chargeback fees which saves businesses money as well.

The Future of ATM Machines

Although cash payments are decreasing, it isn’t because cash isn’t valuable. It’s just because there are so many more options. There is more currency in circulation than ever before.

The current environment in light of Covid-19 has made ATM machines more necessary than ever. Banks are limiting traffic in their lobbies to keep up with social distancing protocols and for the overall health of their customers. ATMs allow customers to access their accounts with limited personal interaction, which is appreciated by more and more people these days.

ATMs serve other purposes, too. They not only allow users to make deposits and withdrawals, they also provide business owners with other marketing opportunities. Offering ATM access in their stores increases foot traffic, impulse purchases, and overall business.

ATMs can be fitted with toppers to run ads, screens are getting bigger to accommodate advertising, and coupons can be printed on receipts to encourage future purchases.

ATMs are also starting to feature Bitcoin capabilities. So if you get into the ATM business now, there’s no telling what opportunities lie ahead. Your business will be able to grow with the times if cryptocurrency is something you are interested in.

Is the ATM Business Dying?

Although there are many digital payment options available, cash is still a winning option for a number of reasons. Cash payments are decreasing, but that’s just because more and more transactions are happening online. It doesn’t mean those are the only transactions happening. 

In order for cash to be completely eliminated, it would have to be by government decree. Since the government easily collects taxes on currency, it isn’t likely that a decree like this will happen anytime soon.

So to answer the burning question, “Is the ATM business dying,” we can confidently say, “No.” Cash still plays a very important role in our society. Therefore, there is still a need for ATMs. There might even be more need now as people shift from in-person bank business due to Covid-19 precautions.

Even IF cash is phased out completely, it won’t happen in our lifetime. Therefore, you are safe to invest in ATM machines and start making passive income!

What Makes a Good Entrepreneur?

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What makes a good entrepreneur? Are desirable qualities the same for every industry? Well, yes and no. Some qualities will help you no matter what your entrepreneurial endeavor is. Others might vary depending on the requirements of your specific business.

For example, leadership and team-building are generally considered good skills to have if you plan to run a business. But most independent ATM deployers (IADs) work alone. So while those are good qualities to have, you don’t have to spend as much time developing those skills as you do some others that you will need immediately.

Due to the nature of the ATM business and the tasks you’ll have to perform, there are some skills you need to have. To make sure you have what it takes to run an ATM business, strengthen these 9 qualities.

1. Professional

Whether you own your own ATM, place ATMs for others, or sell ATM machines to other business owners, you are a businessperson. So you have to act like one. This is how you will continue to get people to work with you and can continue to run a successful business. 

Presentation

First, you have to be professional in the way you present yourself. How do you approach location owners to negotiate a space for an ATM machine? Do you show up prepared with ATM business flyers? Do you have ATM business cards to leave behind? 

Professional moves like these show that you are serious, can be trusted, and are worth working with. Professionalism is also how you will get referrals. Word-of-mouth marketing is the best kind because your credibility is established by the referrer, and it doesn’t cost you anything to market yourself this way!

You might also want to think carefully about your business name. When you start your business, you can register as a sole proprietor under a “doing business as” (DBA) business name. Or, to gain instant credibility, you can see if your ATM processor will license you the rights to their name. Associating yourself with a well-known name in the ATM business that your leads can research will boost your reputation.

Behavior

Second, you want to act professionally toward your prospects and partners. When making negotiations, make sure you respect the needs and wants of all parties involved. And when you promise to assume certain responsibilities, make sure you follow through.

If you promise to refill your ATMs with cash and receipt paper, make sure you do so. If you promise to take care of technical issues should the machine malfunction, make sure you do that too. And do it in a timely manner. You aren’t the only one relying on the machines to operate. Your customers and the location owners rely on them too. So don’t let them down.

2. Decisive

Although you are probably a one-man/woman-band as an IAD, there are still a lot of decisions you need to make for your business. 

First, you have to decide where you’re going to place your machines. Where is there a market gap (or need) for ATM access? Where will a machine do really well? How long will your lease agreement be for?

Then, you have to decide what equipment to purchase. Will you order a new or refurbished machine? Do you want a free-standing or through-the-wall (TTW) machine? Will you purchase insurance? What extra features and upgrades do you want? 

You might realize that some decisions need to be made immediately while others can wait. You might want to run your machine for a while before determining what extra features will optimize your machine. How much are you going to charge customers to use the machine? You want the surcharge to be high enough that you make a worthwhile profit, but not so high that you drive away customers. Where is that sweet spot?

Will you start with a higher surcharge and then lower it once you make your return on investment (ROI)? Or will you start low to draw a lot of customers and then raise it gradually?

And who is going to take care of each responsibility associated with running the machine? Who will load the cash? Who will make service calls? How often will you visit the machine? When will it be cleaned and who will clean it? You have to decide which responsibilities you are willing to shoulder, which responsibilities you want to delegate, and which services you want to pay for.

If things don’t go according to the original plan, you also have to decide what changes to make along the way.

3. Creative Thinker

Despite all of the best and most careful planning, there are likely to be curveballs, and you will have to get creative and make changes as necessary. 

Your ATM may not perform as well as you anticipated, for example. This might be due to the location not being as busy as you expected, or maybe the surcharge is too high. Maybe there is another ATM close by that is competing with yours. If this is the case, you will have to consider moving to a new location, adjusting the surcharge, or both.  

The site location owner might make some decisions or pose some requests that you will want to consider to maintain the relationship. He or she might want to use an ATM topper for ad space. Or the store might be moving to a new location. Will you follow or look for a new location sooner than you expected?

No matter what your plan is, remember that you have to remain flexible with it in order to be successful. When a challenge arises, use creative thinking to figure out the best solution.

4. Risk-Taker

To start a business, you have to be a risk-taker. Because you don’t know what’s going to happen. You can’t predict everything, and your plans can change at a moment’s notice. 

That can be scary when you invest your hard-earned money into a new business venture. But people do it every day. Starting an ATM business requires minimal start-up costs when compared to other business models. And you can make money immediately after set-up. So don’t let fear keep you from taking the next step in starting your ATM business.

5. Perseverant 

You are going to need perseverance when the going gets tough. To be successful, you can’t give up when challenges and obstacles arise. 

The first obstacle to overcome when starting an ATM business is the paperwork! It is relatively simple, but the number of documents that need to be completed can be overwhelming. Just prepare yourself early and take it one step at a time. Once it’s over, you can order and place your equipment and start making money.

You also need to exercise perseverance when negotiating a location for your ATM machines. It might take multiple visits, phone calls, emails, business cards, etc. to get in touch with local business owners and coordinate meetings to discuss your proposal.

And of course, don’t give up if your machine doesn’t do as well as you expected. You can always try another location or adjust the surcharge. You might also try to get creative with your marketing to boost traffic.

6. Knowledgeable 

Of course, you need to know about the service you offer. However, you don’t have to be an expert. At least not at the beginning. At the beginning, you need to be open to learning. That is how you eventually become an expert. 

You might need to rely on your ATM processor and technicians for support when you’re getting started. But once you get your questions answered, you can begin to take over some of those duties yourself as you learn more and more.

You might need to do some research to determine what equipment is right for you. And that’s okay. The more research you do, the more you learn, and the closer you come to being an expert. You can also watch videos to learn strategies and tips along the way.

7. Ethical

You want to make sure you are an ethical business owner. This will keep people wanting to work with you. 

When you negotiate a location for your ATM and develop the site location agreement (SLA), keep your partner’s interests in mind. Come up with a proposal that is fair and meets the needs of all parties involved.

Keep your surcharge fair, too. It’s okay to set a competitive surcharge; you are, after all, running a business. But don’t set it so high that your customers get a bad deal. That’s not the kind of business you want to run.

Finally, you want to maintain a strong work ethic. The ATM business isn’t extremely demanding, but it does require a bit of work. Don’t get lazy. Stick to a schedule, keep your promises, and be consistent, and your business is sure to succeed. 

8. Goal-Oriented

Your goals will drive any endeavor. Without goals, you risk losing momentum, and it’s easy to give up. Once you get comfortable operating one machine, you might find that you’re ready to deploy more. Six to ten machines later, you might find that you’re getting closer and closer to reaching your income goals.

Do you want to quit your day job and enjoy the flexibility of running ATM machines exclusively? Then you might need to scale your business and plan to add more ATMs to your route. Just want a little extra cash to supplement your current income? Then focus on that!

No matter what your goals are, make sure you’ve identified them and keep them in focus. This will drive you. Along with your passion for the business.

9. Passionate

The more passionate you are about what you do, the more enjoyable it will be, and the more successful you will become. Location owners will turn you down. Friends and family will shake their heads at your ideas. But if you are passionate, you will be able to move past all of that and keep going until you reach your goals.

Your competitors will be passionate. They will be networking, scaling, and providing good service, and if you plan to keep up, you have to meet that passion with your own. 

Your passion will bleed into your work, others will see it, and success will follow.

What Makes a Good Entrepreneur?

So what makes a good entrepreneur? The list goes on and on. Of course, there are more than 9 qualities that successful business people possess. But we’ve singled out some of the most important qualities that you will need to run a successful ATM business. Before you dive in, ask yourself, “Do I have what makes a good entrepreneur?” If the answer is yes, then head over to ATMDepot.com and find out how to get started in the ATM business!