Do you want to know how much it cost to open an ATM machine business? If YES, here are factors that influence the cost of starting an ATM business. Understanding how to start your own cutting edge ATM machine business can help you establish a nearly passive source of income over the long-term. This is the basic reason why automatic teller machines can be profitable in public locations.

However, the very first thing is to decide whether you want to get involved with a franchise or start your own company. Many ATM franchises are available that sell you a name brand and the machines that you need. This provides you with a proven business plan, but it can also be more expensive than simply buying some ATMs by yourself.

Estimated Cost of Opening an ATM Machine Business

While this type of business venture may not require an office space or a lot of supplies, you will need to purchase a few things. The total investment will be defined by how many machines you plan to start with. Note that each machine will cost between $3,000 and $10,000, depending upon the style you purchase.

According to experts, each machine should is expected to have at least $2,000 in cash on a rotating basis. The only other items you should need is an insurance policy, a bag for transporting cash, tools for routine machine maintenance, and a reliable vehicle. Each machine is expected to have access to a phone line or the internet and you will need a computer for checking the status of each machine.

A good number of banks will charge your business a surcharge and merchants charge a monthly rental fee or commission, depending upon the contract both parties have agreed upon. New business owners will have to conduct thorough research regarding your market so that margins are correctly set from the beginning. This will help ensure higher profit margins for your ATM business.

The ATM business model is simple and works on a split between the ATM owner, the processor, and the vendor location. The processor or bank charges a fee for each transaction. The fee varies significantly by the institution and a range of 20- to 50-cents is not uncommon. The vendor location also takes a cut in most cases. You will negotiate with location owners to place your ATM in their space for a percentage of the revenue.

However, remember that the fee is mainly dependent on your negotiating and the contractual agreement you put in place. Note that 50 cents per transaction rate works as a common starting point, but the amount can increase or decrease depending on foot traffic to the location and the machine’s overall revenue potential.

Note that the amount remaining after you pay the processing fee and the vendor is gross profit. Any operating costs will work against your margins and the remainder after subtracting that overhead determines the net profit.

6 Key Factors That Influence the Cost of Starting an ATM Business

Are you seeking a business investment that doesn’t require an immense amount of time or investment? Do you enjoy interacting with other business owners throughout the community? If so, opening an ATM business may be the perfect business opportunity. Here are the major factors that will influence the cost of starting an ATM business in the United States.

  1. Office Space

An ATM business is like many other service businesses. While this type of business venture does not require an office space, some owners prefer to have a place to work and somewhere to keep all the equipment that goes along with running the operation. Note that to keep costs down, many new owners of ATM businesses start out working from home, and when their business outgrows that setup, they look at renting a commercial office space and hiring additional employees.

  1. Necessary Equipment

Note that you will also have to buy the equipment that you need for your ATM business. You may want to start out with a single ATM and expand, or you could buy several rights from the start. A single ATM will usually cost somewhere between $3,000 and $10,000; however, prices can greatly vary depending on what style of machine you get. You may also need to buy some extra equipment, such as a clip that you can fill with money to refill the machines. In some cases, you may also need a truck to transport your cash.

  1. Business Structure

Every new an ATM business will have to choose the type of legal entity they want to do business as; usually a Limited Liability Corporation (LLC) or an incorporated business (S-Corp or C-Corp). Ideally, fees usually run around $150-$200 for the legal document creation, and registration fee’s with your state’s Attorney General’s office range from as low as $10 up to several hundred dollars. Note there are pro’s and con’s to each type of corporation including different tax implications. They also have different processes and cost of formation.

  1. Licenses and Permits

Have it in mind that every state in the US has specific licensing requirements that you are expected to follow before starting an ATM business. If you plan on doing business under a business name, you will need to register it with your county clerk.

You may also want to set up a business entity such as a limited liability company so that you can avoid any personal liability. This can be done by filing articles of organization with your state and then paying the appropriate filing fee. You will also need to buy a business license from your city government.

  1. Number of Employees

Most new ATM business owners start out managing the business alone. If your aim is to spread out over a large area, it may be imperative to hire additional team members. When considering hiring new team members, review their background and job history thoroughly, as they will be regularly handling a significant amount of cash. Additionally, each team member should have the knowledge and skills needed to perform routine maintenance on your machines.

  1. Marketing Strategy

Unlike most business ventures, an ATM business requires little to no marketing. While you will not be directly interacting with your customers, you will communicate regularly with your merchants. You will have to establish strong connections with them to ensure a long-term, mutually beneficial relationship.

Networking with business owners in the community is a wonderful way to ensure your name is recognized. When an entrepreneur opens a new business, your merchants will pass your name along, helping to solidify your business’ positive reputation.

It’s important to remember that each customer will come to you out of convenience. Do not earn a reputation for having machines that are low on cash or always broken. Strive to deliver what they need, when they need it, at all times. You will also need to create a website for your business.

While creating a website is an essential step, some may fear that it is out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that make the lives of small business owners much simpler.


Consumers love convenience, making an ATM business a worthy long-term investment. There is no formal training for owning an ATM business. Since this investment requires a significant amount of cash to be on hand at all times, entrepreneurs are expected to be skilled at handling cash and budgeting for future needs. A business degree or background is recommended. Strong interpersonal skills would also prove beneficial, as you will need to develop relationships with vendors, banks, and business owners throughout the community.

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