Startup ATM Machine Business: Ramp for Up to 27 Purchase Tranches

Video Tutorial:

To start, there is a deployment schedule that involves defining the timing (up to 27 different deployment tranches) of each ATM machine. For each of the 27 slots, the user can defining the following:

• Month of Purchase

• Avg. fee per transaction

• Average transactions per day

• Merchant profit share

• Count of ATM machines purchased

• Cost per Machine (this will be depreciated over time automatically within the pro forma)

• Total Cost Requirement (auto populates)

• Total machines (auto populates)

• Sales Tax if applicable

Usually the merchant location where each machine is setup will request some sort of percentage of all revenues.

Since depreciation is a significant line item for this type of business, all the logic to figure out the depreciation expense per month based on the roll-out of machine purchases is built in automatically. This gives the user an easier time figuring out what taxable income is.

Operating expenses will depend on the size and scale, but the user has a schedule to define up to 22 fixed cost items. Each item has a start month and fixed cost per month that can be adjusted in each of the 10 years.

Other expenses that are more complex and are calculated based on scaling include:

• Repair/maintenance cost per machine per year

• ATM processing fee (this is defined as a $ cost per transaction

• Income tax

• Useful Life for the ATM machines (for depreciation)