How to start a business

How to start a vending machine business

How to start a vending machine business in the UK - machine costs, site agreements and commission, the footfall maths and what a route really earns.

Figures checked against official sources on

A vending machine business is capital first and modest per machine. You buy or lease the machines, place them in other people's buildings, keep them stocked, and take what is left after the stock cost and the site owner's commission. No licence is needed to own a vending machine, though food vending brings food business registration with it. One thing decides whether this works, and it is not the machine — it is the site.

At a glance

Feature Detail
The thing that decides everything Siting — footfall, and whether the people there are captive
Startup costs The machines, new or refurbished, bought or leased
What the site owner gets Commission, usually a percentage of sales
Income per machine Modest — a good site is a couple of hundred pounds a month, not thousands
The hidden work Restocking and travel, which grows with every machine you add
Registration Food vending requires registering as a food business

The whole business is siting

Two identical machines, the same stock, the same prices. One is in a 24-hour gym with 500 members. One is in the reception of a small office where forty people work and everybody brings a packed lunch. The first pays for itself and then some. The second barely covers the electricity.

A good site is footfall plus captivity — how many people pass the machine, and how easy it is to buy something else instead. A machine on a factory floor at 2am with no shop within a mile is a good machine. A machine forty feet from a supermarket is not.

Sites worth approaching: gyms and leisure centres, factories and warehouses with shift workers, hospitals and care homes, student accommodation, MOT waiting rooms, laundrettes, car washes, sports clubs, self-storage and offices big enough to have a break room. What they share is people who are stuck there. Get the site before you buy the machine — new operators do this the wrong way round, buy three machines, then spend six months trying to place them. (This page is part of our wider guide to starting a business.)

What the machines cost, and whether to buy or lease

Machines come in three broad shapes: snack machines with spirals, chilled drinks machines, and combination machines that do both. Fresh food and coffee machines cost more and need more looking after.

New means a warranty, current card payment hardware, better energy use and a machine that looks the part in a smart reception. Refurbished means a fraction of the price for a machine that has already worked for years, usually with a shorter warranty. Most people start refurbished, because the money saved on machine one is the deposit on site two.

Leasing or renting spreads the cost over monthly payments, which keeps your cash free and matches the payment to the income the machine produces. It costs more overall and you are committed for the term whether the site works out or not. Buying outright is cheaper in total and leaves you owning something you can move or sell. Budget for delivery too, because machines are heavy and doorways are not always kind.

The site agreement and the commission

The site owner is lending you their floor space and their electricity, and will normally want a share. The usual arrangement is commission as a percentage of sales, paid monthly. Some sites take a fixed rent instead. Some smaller offices take nothing, because the machine is a staff perk they did not have to pay for.

Put it in writing, however friendly the conversation was. A short agreement covers how long it runs and how either side ends it, the commission rate and when it is paid, who pays for the electricity, that the machine remains yours, access for restocking, and what happens if it is damaged. Without that, a change of manager can lose you a site and leave you arguing about who owns the machine in the corridor.

The footfall maths, one machine at a time

Take Aisha, who puts her first combination machine into a 24-hour gym in Luton.

The machine sells around 20 items a day at an average of £1.50 — drinks, protein bars, snacks. That is £30 a day, so about £900 of sales a month. The stock inside those items cost her roughly half of what she sold them for, so £450. The gym takes commission at 15% of sales, which is £135. Card processing fees take another £20 or so. The machine is on a lease payment, call it £80 a month.

Play that back: £900 of sales, about £215 left. And that £215 is before Aisha has driven to the machine, filled it, been to the cash and carry, or paid any tax. One good machine is a useful few hundred pounds a month. It is not a living, and anybody telling you otherwise is selling machines.

From one machine to a route

Scale brings its own cost: your time. Reckon on roughly 40 minutes per machine per visit once you include the drive, the restock, clearing faults and cashing up. Telemetry, where the machine reports what it has sold, cuts wasted journeys and is worth its subscription past a handful of machines.

Say Aisha builds to 25 machines. Sites vary — some beat the gym, several do worse — so an honest average is around £160 a machine after stock, commission, card fees and the lease. That is roughly £4,000 a month. Off it comes the van as a full category — finance payment, fuel, insurance, servicing, tyres, road tax and breakdown cover — plus telemetry, insurance for the machines, her phone, spare parts and an accountant, call it £1,400 a month. That leaves around £2,600 a month before tax, and near £2,250 once income tax and National Insurance have gone.

The restocking behind that is about three days a week. This is not passive income and it is not quite full-time either, so most operators keep building the route with the days they have left. Our pricing guide covers setting prices that carry all of this, not just the stock cost.

Cash, cards, and the things that go wrong

Coins are going. A meaningful share of people carry no cash at all, and a coin-only machine loses those sales silently — you never see the customer who walked away. Contactless readers are effectively standard, and they cost money to fit and a percentage of every sale to run.

Machines break. A jammed spiral, a failed chiller, a reader that goes offline. Every hour a machine is down is sales you cannot get back, so you need a service contract or the willingness to learn basic repairs.

Machines get vandalised, and outdoor or unsupervised sites are the worst. Check whether your insurance covers the machine and the stock inside it, and price that risk into which sites you accept.

Stock goes out of date. A slow line in a slow machine is money you throw away. Track what sells, cut what does not, and rotate stock every visit.

Food safety and the rules

If you sell food or drink from a machine you are running a food business, which means registering with the local council for the area you operate in — free, and required at least 28 days before trading. That brings the usual duties: safe handling and storage, allergen information available to the customer, temperature control on anything chilled, and records of what you do; the Food Standards Agency's guidance covers the temperature limits. There are product rules too — age-restricted lines, and restrictions on what can be sold in settings such as schools and hospitals.

Finding sites and winning them

This is a business-to-business sales job, done by asking. List every gym, factory, warehouse, storage yard, sports club and care home within a sensible drive, then go in and ask who looks after the vending. Most of the time the answer is nobody, or a supplier nobody is happy with.

What wins a site is not the machine. It is the promise that it will always be stocked, always working, and never their problem. Say that plainly, put your commission offer on one page, and follow up. A free Google Business Profile picks up "vending machine supplier near me" from site managers already looking, and a simple website with photos of your machines in real locations does more than any advert. Our guide to marketing a small business covers local search and getting found properly. Want help getting customers? Our sister agency The Fractions runs ads and builds websites for small UK businesses — the pages, the ads and the enquiries behind them.

The admin

Most people start as sole traders: register with HMRC, keep records of income and costs, file a Self Assessment return. Operators with a lot of machines on lease often move to a limited company — our structures guide covers when that makes sense.

Keep two sets of records properly: sales per machine and per product line, so you can see what is worth keeping, and commission owed to each site, so nobody has to chase you. Insurance matters more than in most small businesses, because your machines are unattended property in other people's buildings — public liability plus cover for the machines themselves is the sensible baseline. Our insurance guide explains the types.

Turning this into a plan

A vending plan starts with one machine and multiplies. Sales per machine per month, the stock cost inside those sales, the commission rate, card fees, the lease or purchase cost, then the van and your restocking time across the route. Get that straight for one machine and you can answer the only question that matters: how many machines you need, and how good the sites have to be, before this replaces an income.

Create a mini business plan in minutes with Plan.business. Put in your rate, your hours and your costs, and it works out the rest — what you will make, when you break even, and what you need to charge to hit your target.

Frequently asked questions

How much does a vending machine cost in the UK? It depends on the type and whether it is new or refurbished. Snack machines are cheapest, chilled drinks machines cost more, and fresh food and coffee machines more again. Refurbished machines cost a fraction of new and are how most operators start. Leasing spreads the cost monthly but costs more overall.

How much does a vending machine make a month? A good site might sell around £900 a month, of which roughly half is the stock cost, then commission, card fees and the machine payment come off. A couple of hundred pounds a month per machine is a realistic result. A living comes from a route of machines, not from one.

What commission does a site owner take? Usually a percentage of sales, paid monthly, varying with how good the site is. Busy sites negotiate harder. Some small offices take nothing because the machine is a free staff perk. Always put the rate and the payment terms in a written agreement.

Do I need a licence for a vending machine business? There is no vending licence, but if you sell food or drink you must register as a food business with the local council in advance of trading, and follow food safety and allergen rules. You also need the site owner's written agreement to place a machine on their premises.

Is a vending machine business passive income? No. Restocking, travel, cashing up, clearing jams and dealing with breakdowns are real work, and they scale with every machine. Reckon on around 40 minutes per machine per visit including the drive. Telemetry cuts wasted journeys but does not fill the machine for you.

Figures correct as of September 2026. Tax thresholds, fees and rates change; check the linked GOV.UK pages before acting. Prices and costs shown are indicative and vary by area and by what's included.

What is Plan?

Plan is a free business operating system for people starting or newly running a UK business. It walks you, one simple step at a time, from your elevator pitch through brand, product and pricing, to a complete business plan — then uses everything it now knows about the business to help with the basics: logo and brand, marketing, a website, a bank account, funding, insurance, company registration. You can use as much or as little as you want.

Two ways to do this

Do it yourself, free. Plan walks you through the numbers — sales per machine, stock cost, commission, the van, how many machines it takes — one short question at a time, in your browser. Do just this bit and stop there if that is all you need.

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Or sort the money for the machines. The machines are the capital in this business, and most operators do not buy a route out of savings. See your funding options with SMEmoney. SMEmoney, powered by Swoopfunding, lets you view, compare and apply for funding in one place — from startup loans and asset finance to invoice finance, credit lines and grants. Funding has to be repaid and it costs money, eligibility depends on your circumstances, and personal guarantees are common in small-business lending, so read the terms before you commit.

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