Start with records, not a national average
If you’re considering an existing machine or route, ask to see its sales records. Check the dates, operating days, and product prices. An average for offices or gyms won’t tell you what this particular location earns.
For an existing route, reconcile reader reports, cash collection records, refunds and stock movement. Check whether a seller's total covers one machine, several machines or a whole location. A deposit is not always the same thing as sales in that period.
Follow a worked monthly example
Here’s a sample month in USD to show how the calculation works. These are illustrative numbers, not actual earnings or a forecast. The example excludes financing, depreciation, and tax. Include your labor, travel, and repair costs or reserves when working out your own figures.
| Line | Amount | Meaning |
|---|---|---|
| Gross sales | $600 | Sales before the costs listed below |
| Product cost | −$270 | Cost of products sold, not all inventory purchased |
| Host commission | −$60 | 10% of the example sales |
| Payment fees | −$25 | Example processing and recurring reader charges |
| Service cost | −$90 | Example allocated labor, travel and upkeep |
| Remainder | $155 | Before financing, depreciation and tax |
Compare earnings alongside the time you spend
In this example, $155 divided by $600 gives 25.8% after the listed costs. That is not a full net-profit margin. Leave the exclusions visible whenever you share the calculation.
Evaluate a lower-sales case as well. Some fees and service trips may remain even when sales fall. Do not reduce every cost in proportion to revenue unless the contract and actual workload support it.
- Use one reporting period and one definition of sales.
- Separate product purchases from the cost of products sold.
- Include spoilage, refunds and repair costs somewhere explicit.
- Track service hours alongside money; unpaid owner time still uses capacity.
- Do not annualize an unusually strong week without checking seasonality.
Update your estimates with actual sales and costs
For a new location, label each input as a quote, observation or assumption. After launch, replace the assumptions with dated records. Keep earlier versions so you can see why your estimate changed.
The homepage calculator lets you change the example inputs. It is a quick cost check, not an accounting system, valuation or investment recommendation.
Sources & scope
Use this guide to help plan your next steps. Examples explain the calculations; they aren’t earnings forecasts. Check local requirements, get supplier terms in writing, and use your own records when making business decisions. This is educational guidance, not professional advice or original market research.
- SBA: Plan your business
General background on researching a business and separating startup and recurring costs; not vending earnings data.
- FTC: Vetting a business opportunity
Consumer guidance on checking sellers and earnings claims; not an assessment of any machine or location.
Source background checked September 6, 2026. The links provide background, not validation of a particular location or product.
Put your own numbers to work.
Use the Operator System to organize startup costs and machine records, alongside inventory and route planning files.
Find the right file in the $79 toolkit
Open the free location checklist, try the free sales-and-cost calculator, or explore the $79 Operator System for spreadsheets and templates to track costs, assess locations, and organize your business.