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It's risky. I say that because I own my own gourmet beverage business. You have to be able to take and cover losses you may get. I have been approached by a company out of Florida that does this. You buy the coffee makers and you can sell the pods (or capsules). It's too big of an investment (and risk) for me to take. Many of the businesses I furnish coffee to either use big commercial makers or Keurig K cups. It's hard to get a business to switch. Then there is the risk. What do you do if a company you *give* the machine too doesn't buy the capsules from you and they buy them direct for cheaper? What if the company goes under and takes your machine with them? That's $700 you just lost. You have to be able to cover those kinds of losses. Are you going to have to service these machines? If so, what kind of insurance do you need to carry to do that? If they aren't buying the machines, you probably are going to need to service them I would imagine (they don't always tell you this...you have to ask the right questions). Unless you already have clients who are in need of this product, I would pass. It would take a lot of capsules sold to recoup the $700 per machine you are loaning them (plus servicing and whatever else is involved). Do you have $21K plus shipping costs to BUY the machines? What if you can't get them placed? What is the return policy (or is there one)?
__________________ Proud to say I haven't shopped at a Wal-Mart since Sept 2003 |
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If the company from which you buy the machine has a list of interested businesses, why wouldn't they just supply those businesses with the machines themselves? Screams scam to me. Is their headquarters in Nigeria?
__________________ If this is going to be a Christian nation that doesn't help the poor, either we have to pretend that Jesus was just as selfish as we are, or we've got to acknowledge that He commanded us to love the poor and serve the needy without condition, and then admit that we just don't want to do it. - Stephen Colbert. |
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Personally I'd be asking why those businesses didn't just buy one of the commercial Keurig coffee machines that use the K-cups and then buy their K-cups from Amazon.com, some other web-vendor or even Keurig themselves. If the company wanted to buy a machine and use a single-serve coffee system thats the easiest way.
__________________ Meddle ye not in the affairs of Dragons, for you are crispy, and taste good with Ketchup! |
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So where do you make your profit? Off the capsules you will sell to them? How much profit do you make of each capsule sold? How much coffee does each capsule make? How many capsules would you have to sell to recoup what you put in to buy the coffee machines which will cost you $21,000 initially? Do they have to agree to only buy capsules from you? What if you can't find places to put the coffee machines? Someone else had a good point, why would they need you? Why wouldn't they just go directly to the companies and place the coffee makers themselves and cut out the "middle man"? It does sound like a possible scam.
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