How Many Frozen Yogurt Machines Do You Really Need?: A Cost/Benefit Analysis

When opening your frozen yogurt shop finding the perfect equilibrium of how many machines and flavors your shop should supply is an important factor in keeping your costs at the most optimal.

What to take into account when determining the number of machines your frozen yogurt shop needs

1. Size of location: Self serve frozen yogurt machines are large and need an ample amount of space between them, around 12 to 18 inches. After measuring for topping counters, point of sale space, back room, dining area, coolers, sinks, etc. you’ll know how much room you have for the self serve machines.

2. Start-up money: Spending all of your start up money on that “magic number” of machines,  isn’t going to be the element that makes your shop an instant success. Rather the opposite, it could drive you to a loss due to the over supply in relation to how much start-up costs you have. Stick with what you can afford now, 3-6 machines and expand in the future.

3. Competition: What does your competition look like? How many machines do they have? Just because they have eight machines doesn’t necessarily mean you need to match/ beat them in machinery right away.

Making the Decision

Our friend, Neil Williams at Turn Key Parlor, an industry expert, asks the question “Will more machines really make you more profitable?” and offers this important point to factor in “I would rather be the guy with the manageable debt load and lower overhead than the guy that lets his fruit toppings go bad because he’s so worried about losing a nickel to pay his bills.”

When deciding how many machines to start out with really boils down to a cost benefit analysis between what spending extra on the machine cost versus additional machine benefit.

It’s important to NOT forget about the associated costs that come with maintenance and purchase; how much energy they use, the production capacity, heat required, and price.

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