Vending Machine Ramping Financial Model

You may have never thought of it, or you might be a titan in the industry. Whatever the case is, this Excel template is a great way to build a financial forecast centered around the purchase, deployment, operations, and potential exit of the vending machine business. The assumptions are all bottom-up for maximum investor clarity and more logical revenue / expense forecasting. You simply have to enter the inputs. The focus is on ramping up machines over time and everything is dynamic based on that.



Pricing

After purchase, the financial model will be sent to your PayPal/Purchasing e-mail. This is included in the industry-specific financial model bundle.

The model is designed with best practices in mind in regards to displaying how you would logically ramp up this kind of business. The user will only fill out designated cells (light yellow with blue text) and all formulas populate form that. The assumptions are configured in a module way to make it harder to miss anything. Final reports include an Executive Summary that has key financial line items on an annual basis as well as IRR, ROI, equity multiple, and two visualizations.

There is a separate tab for DCF Analysis of the project / investor / owner and that is configured based on the funding source inputs. 

Finally, a monthly and annual pro forma detail display all the assumptions on the same timeline over 5 years and drive down to EBITDA, EBT, Net Income, and cash flow. Extra metrics include average EBITDEA per vending machine.

Revenue Drivers:

  • Up to three vending machine types
  • Define the count deployed per type in month 0 to 60
  • Define the cost per unit and the cost per deployment therein
  • Define the height/width/depth of each type (for maximum filled unit capacity)
  • Define the max refills per month
  • Define the average waste percentage / weighted average price per unit / weighted average cost of goods sold
  • Seasonality (percentage of max capacity achieved in each month per vending machine type per year)
The revenue flow is as follows: The model has assumptions to define absolute maximum sales per month per machine and then that is reduced potentially by seasonality inputs to get the actual sales per month. The sales per month is then reduced by waste (if things get spoiled/etc...) The final number is net sales after waste and the revenue therein. Note, the cost of goods sold is defined by the total sales after accounting for seasonality but before waste (because all items had to be purchased even if they were not all sold and may have had to be thrown out or what have you).

Variable Expenses:
  • Cost per vending machine unit by type
  • Cost to refill per unit by type
  • Vendor revenue share if applicable (paying a fee to whatever locations let you put your vending machines up if you don't own the property where they are going)
Fixed Expenses:
  • 30+ slots for three expense categories
  • Define description of expense, start month, and monthly cost in year 1 to 5
  • Zero out anything not applicable
Also, there are separate schedules to account for any one-time startup costs not already accounted for in the other assumptions and future capex.

Funding sources include:
  • Traditional loan
  • Investor Equity (per a given share of distributions)
  • Owner Equity
You can define an exit month and the model will stop on that month. The exit value will display at that month based on a defined multiple of 12-month trailing revenue. Any debt will automatically be repaid on this month and this is reflected in the cash flow.

Screenshots of Excel Template:
vending machine funding startup

vending machine deployment schedule

vending machine revenue assumptions

vending machine seasonality

vending machine operating expenses

vending machine executive summary

vending machine DCF Analysis

Excel financial visuals

visualizations financial model

slide deck financial visuals

vending machine pro forma 1

vending machine pro forma 2

vending machine pro forma 3

vending machine pro forma 4

vending machine pro forma 5

depreciation schedule vending machines