Codie Sanchez explains why ATM businesses and Amazon FBA are bad investments. ATMs make only 1-3% profit margins and average $560 monthly as cashless payments grow. Amazon FBA sellers face copycats and direct competition from the platform itself.
Chapters
Two businesses I'd never buy or start backed by data ATM rules. One the profit margin anywhere from 1 to 3%. It's just not enough to scrape by. Two is the actual volume that these companies do. ATMs in general make on average about $560 a month unless you're in a crazy high traffic area. 3 these businesses increasingly are becoming less and less important as we switch to our phones and credit cards instead of cash. The next business is Amazon fba. Amazon does of the work. The problem is Amazon controls everything. Amazon allows for a ton of copycats. Not only do you have to be really good as a business owner in general, but you have to be better than a bunch of cheap Chinese copycats because they are going to come out of the woodwork. And that's not to mention that sometimes Amazon competes with you. It's really important that you choose the right games. These are two businesses that I would not choose.