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Vending Opportunities You may find newspaper advertisements like this appealing, especially if you're looking for part-time employment to supplement your income. But be cautious. Although some business opportunities servicing vending machines or display racks are legitimate, many are not. These are risky investments, for which there are no guarantees of making money. What is a vending machine or display rack business opportunity? A business opportunity may involve food vending machines, fax machines, amusement games, or racks with items for sale such as small toys, greeting cards, or cosmetics. The machines or racks may be in malls, airport terminals, bowling alleys, or other public facilities. Typically, your responsibilities involve cleaning and restocking the machines or racks, making sure they're in good repair, and collecting the money from the machines. You may earn a portion of the proceeds from the products or services. Some promoters may tell you that you'll earn a specific level of income or guarantee a minimum revenue. Others may claim their income projections are averages based on incomes of current distributors. What problems may come up? Some consumers have had problems related to misrepresentation of earnings and support services. Consider the following complaints received by the FTC about some vending machine and display rack business opportunities: After investing thousands of dollars in vending machines, display racks, and products for resale, some investors discovered that the promoters did not deliver the equipment they promised. Some promoters did not provide support services as represented in their sales pitches. For example, some promoters did not make good on their promised locations for vending machines routes; others relocated machines to different -- but not more profitable -- locations. Some promoters would not hire a repair service to fix broken machines or were not willing to replace damaged racks. In these instances, investors paid for repairs or bought new display racks with their own money. Some investors did not earn the promised level of income. Some promoters refused to honor requests for promised refunds. Related Topics: Business Opportunities, Display Racks |
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