VendFynd

Questions to Ask a Vending Company Before You Sign

A checklist for any business offered a vending machine: cost, commission, contract length, service, product choice, insurance and how to end it.

By Mahdi DialdenUpdated 7 min readFiled under Hosts, Checklist, Contracts

Short answer: before agreeing, ask who pays for what, how any commission is calculated and reported, how long the agreement lasts and how it renews, how service requests are handled and how fast, what control you have over products and prices, who carries insurance, and how either side can end the agreement and get the machine removed. Get every answer in writing.

The questions matter because a machine is only as good as whoever services it. Much of what goes wrong with host vending (empty machines, lost money, an operator who stops answering) is a service problem, and the agreement is where you pin service down.

This checklist is for businesses that have been offered a vending machine, or are about to ask for one. It applies to any agreement in Canada or the US; a few items cite British Columbia rules as the example, so check your own province or state. You can print it and take it to the meeting.

The checklist

Costs

  1. Are there any fees to my business? In the standard model, the answer is no. Get it in writing.
  2. Who pays for the machine, delivery and installation?
  3. Who pays for electricity? Usually the host. Ask what the machine draws, especially for refrigerated units. A typical refrigerated machine uses about as much as a commercial fridge, roughly $15–20 a month at BC Hydro rates.
  4. Who pays if the machine has to move within the building?

Money

  1. Is there a commission or flat rent? If yes, how much?
  2. Is commission a share of gross sales or net sales? Net can mean after card fees, taxes or product cost.
  3. How often is it paid, and how?
  4. Will I get a sales statement or access to sales reports?
  5. Is there a sales minimum before commission starts?

For what's normal, see vending machine commission in Canada.

The contract

  1. How long is the term? Month-to-month, one year, several years?
  2. Does it renew automatically? If so, how much notice do I need to give to stop it?
  3. Is it exclusive? Does it stop me from having another machine, a micro-market or a coffee service?
  4. Can I ask for the machine to be removed, and how fast will it go?
  5. Is there a penalty for ending early?
  6. What happens if we move or the business is sold?

Service

  1. How often will you restock?
  2. How do we report a problem, and who is our contact?
  3. How quickly will you fix a broken or jammed machine? Ask for a number of business days, not "promptly".
  4. How do customers get refunds if the machine takes their money?
  5. Who cleans the machine and the area around it?

Products and prices

  1. Can we choose or veto products? Healthy, local, halal, nut-free or allergy-aware options if they matter to your people.
  2. Who sets prices, and can we see them before install?
  3. Does the machine take cards and phone pay?

Liability and insurance

  1. Do you carry commercial general liability insurance? Ask for a certificate if your landlord needs one.
  2. Who is responsible if the machine is damaged or vandalized?
  3. Who is responsible if the machine damages the floor, wall or anything else?

Local rules

  1. Which business licences do you hold for this city? Municipal licensing differs across Metro Vancouver. The operator should know what applies where you are, and your city's business licence office can confirm.
  2. Will the machine sell anything perishable? BC's Food Premises Regulation does not apply to premises that sell only whole fresh fruit and vegetables or "prepackaged, non-potentially hazardous food" (s.2(e)). Sealed, shelf-stable snacks and drinks generally fall in that category. Fresh sandwiches, salads or dairy are a different matter, so ask whether the operator has checked with the health authority. Fraser Health covers Burnaby; Vancouver Coastal Health covers Vancouver and Richmond.

Red flags

These don't prove anything on their own, but each one is worth a pause:

  • A fee to the host. Deposits, "placement fees" or charges for the machine are not part of the standard model.
  • Pressure to sign on the spot, or an offer that expires today.
  • No written agreement, or terms that differ from what was said in person.
  • Promises about how much your business will earn. Nobody can know that before the machine has sold anything.
  • A long, auto-renewing term with no removal clause.
  • Vague answers on service, such as "we come when it's needed".

Vending has a long history of business-opportunity schemes aimed at would-be operators, and the US Federal Trade Commission has brought many cases against them. Most of that targets operators, not hosts, but a little caution protects everyone.

How VendFynd answers these

VendFynd is your vending advocate: we find the right operator for your site and stay on your side after it's in. Our answers to the checklist are published in full in the host terms:

QuestionVendFynd's answer
Fees to my business?$0 to you. The operator covers the machine, install, stocking, service and removal. You provide the spot and an outlet, and the power (roughly $15–20 a month).
Commission?Usually, yes. It's set per location and agreed in writing before install.
Term and removal?Month to month. Give 30 days' notice at any time and the machine is removed at no cost to you.
Who do we call?VendFynd, for anything. We reply within 1 business day. If a problem isn't fixed promptly, we swap the operator or remove the machine at no cost.
Products?Your people choose, starting from a quick favourites survey.
Insurance?The operator carries liability insurance, with a certificate where your property requires one.
Signing?Nothing is placed without your signature on a placement sheet.

Where to start

If you haven't got an offer yet, begin with how free vending machines work for businesses. Property managers and strata councils have extra questions, covered in vending machines for apartment buildings and strata in BC.

Sources

Last updated: September 26, 2026. This is general information, not legal advice. For a specific agreement, speak to a lawyer.

Frequently asked questions

What should a vending machine agreement include?

At minimum: who owns and pays for the machine, any fees to the host (ideally none), commission or rent and how it is calculated, the term and renewal, service and repair commitments, product and price control, insurance and liability, and how either side can end the agreement and remove the machine.

Can a vending company charge my business fees?

In the standard placement model, no. The operator pays for the machine and earns from sales. A request for an upfront fee, a deposit or a charge for the machine is unusual and worth questioning before you sign anything.

Who is liable if the machine is damaged?

The agreement should say. Ask whether the operator carries commercial general liability insurance, whether it covers the machine and anything it damages, and what happens if the machine is vandalized. Ask for a certificate of insurance if your landlord requires one.

How do I end a vending contract?

Look for a termination clause that lets either side end the agreement with written notice, a clear notice period, and a commitment to remove the machine at the operator's cost within a set time. Watch for automatic renewal and early-termination penalties.

Does the operator need a City licence in Vancouver?

Municipal business licence rules differ across Metro Vancouver, and vending categories and fees change. Ask the operator which business licences it holds for your city, and check the city's current licence bylaw if you want to confirm. This is general information, not legal advice.