Looking for a beverage machine rental business plan? You're in the right place.
A fleet of margarita, slush and drink machines raises questions that a lender or a co-owner will ask before anything else. How many machines can you afford to buy up front? How many bookings does each one take in a year, and in which months? Do you need a license to rent out a machine that someone else fills with spirits? A blank template won't show you what a sensible answer to any of them looks like.
In this article we'll walk through a complete sample plan for a beverage machine rental company in Atlanta, Georgia, section by section, so you can see how the fleet, the vans and the event calendar fit together and write your own. We'll cover the executive summary, the SWOT analysis and, above all, the financials.
Here's what you'll take away:
- The executive summary: see how to set a fleet, a funding stack and a first-year loss on one page, so a reader knows what you are asking for
- The alcohol question: learn how to describe what your business sells and does not sell, and where the state's permit rules begin
- Utilization by season: work out how many bookings a machine really takes in January, May and October, and how many machines a peak weekend uses
- Delivery capacity: find out how many van-days a busy month needs, so you know when the second and third van have to arrive
- Fleet payback: see how quickly one machine repays its cost, and how long the whole fleet, the vans and the warehouse take to pay back
- The five-year profit, cash flow and balance sheet: understand how each machine wave, hire and loan shows up in the numbers
- The downside case: have an answer ready for "what if bookings run 20% short?", with the steps the owners take in response
If you're pricing out a rental fleet, read this before you write your own. BevCo Rental is fictional, so take what fits your market and change the rest.
In this plan
Looking for a beverage machine rental business plan template? The Toolkit builds yours with your own numbers.
The Business at a Glance
BevCo Rental is an Atlanta, Georgia company that rents frozen-drink machines and chilled dispensers to hosts, planners and venues, and sells the non-alcoholic mixes that go in them. It opens on 1 January 2027 from a 3,200 square foot warehouse. Lucy Graham and Justin Thomson run it, with a minority investor holding 35% of the shares.
The company needs $725,000 over its first 39 months. Equity is $400,000: $160,000 from Lucy, $100,000 from Justin and $140,000 from the investor. The other $325,000 is seven equipment and van loans, each drawn when the purchase it pays for is made. Only two of them, $117,000 together, are committed at launch. The other five, $208,000, are expected from the same lender but not yet promised. The $517,000 that arrives in month 1 pays $190,500 of launch purchases and costs and leaves about $326,500 in the bank, which carries the business through a loss-making first year.
| Year 1 | Year 2 | Year 3 | |
|---|---|---|---|
| Revenue | $326,406 | $607,200 | $888,300 |
| Net income after start-up costs | ($171,943) | ($28,567) | $23,271 |
| Closing cash | $149,129 | $105,030 | $116,766 |
The fleet grows from 30 machines to 40 by March, 64 in Year 2, 86 in Year 3 and 98 in Year 4. Each machine takes about 23 bookings in Year 1 and 28 a year from Year 3. Year 1 books 886 machine rentals across 611 events. Year 1 is a loss, because the crew, two founders' salaries and a warehouse are in place before the booking calendar fills. Operating profit is positive in only three months of Year 1: May, June and October. Year 3 is the first profitable year, and debt service cover is 1.0x in Year 2, which leaves no margin for a bad season.
The plan tests itself. If bookings run 20% short, the owners cut the fleet waves to 70%, drop a van and a driver, hold back a hire, and take pay and marketing cuts for two years. The business still ends every year with cash in the bank, and the lowest year-end balance is $37,598.
BevCo's offer is narrow. Every rental includes delivery, set-up and collection, the mix is sold with the machine, and a damage waiver is priced in. BevCo does not sell, pour or deliver alcohol.
Who BevCo Is and What It Rents
Legal name: BevCo Rental, LLC, a Georgia limited liability company. Owners: Lucy Graham 40%, Justin Thomson 25%, minority investor 35%. Premises: 3,200 square feet of flex warehouse in Atlanta, with a wash bay and racking. Start date: 1 January 2027, ahead of the spring wedding and party season. Stage: pre-launch. The warehouse lease is in draft, the website is in build, and the opening machines are on order.
What the company is for
Give Atlanta hosts a working, clean drink machine at the door of their event, with the mix and a person to explain it, for a price that is fixed before the day.
Targets for the first three years
- 40 machines in service by March 2027 and 886 machine rentals in the first year.
- 64 machines and $607,200 of revenue in 2028, with EBITDA positive for the first time.
- 86 machines in 2029, a profit after tax and interest, and a booking coordinator so the founders stop answering every call.
The four revenue lines
| Line | How it is priced | Year 1 share of revenue |
|---|---|---|
| Machine rental fees | $195 (two-bowl), $255 (three-bowl) or $110 (dispenser) per booking | 51% |
| Mix and consumables | $38 to $92 a booking, depending on the machine | 17% |
| Delivery and set-up | $140 per event | 26% |
| Damage waiver | 12% of the machine fee | 6% |
The fleet
| Class | Cost each | Opening | End of Year 1 | End of Year 4 |
|---|---|---|---|---|
| Two-bowl frozen drink machine | $3,400 | 14 | 19 | 45 |
| Three-bowl frozen drink machine | $4,900 | 7 | 10 | 25 |
| Chilled cocktail, soda and lemonade dispenser | $1,900 | 9 | 11 | 28 |
The chilled dispensers carry lemonade, iced tea and non-alcoholic cocktail bases. The frozen machines carry slush, frozen lemonade and margarita-style mixes without alcohol in them.
What is in hand before opening
Eleven letters of intent, from seven venues and four planners, for 2027 events. They are not contracts. Rate cards from four local rental stores, collected to set the fee levels. Written quotes for the opening machines and the first van are still to come, and the numbers in this plan would change if they differ.
The Atlanta Event Market
Who plans the events
The Bureau of Labor Statistics counted about 172,100 jobs for meeting, convention and event planners in 2025, with a median wage of $61,160, and projects 6% growth from 2025 to 2035. The national count includes corporate and association planners who book very little drink equipment. For BevCo the useful group is the smaller one in Atlanta that hires equipment for weddings, social events and company parties and returns to the same suppliers. No Atlanta count of that group has been sourced, so the plan sizes the business from its own fleet and calendar instead of from a market total.
What drives the calendar
Weddings cluster in spring and fall, football and tailgate season runs from September to November, and holiday parties fill December. Georgia's heat makes frozen drinks a summer product for backyard and children's parties. January and February are quiet. The plan's booking calendar uses these rhythms, and they are its own figures, not published Atlanta data.
What a customer could use instead
| Alternative | What it offers | Why a host picks it | What BevCo offers |
|---|---|---|---|
| National party-rental chains | Tables, tents and sometimes a machine in one catalog | One supplier for the whole event | Drink machines only, with delivery, set-up, mix and a waiver on one quote |
| Independent party-rental stores | A few machines at a pickup counter | Low price and a nearby counter | Delivery, a ten-minute briefing and collection included in the price |
| Caterers and bartending companies with machines | A machine bundled with staff | Staff pour and clean up | A machine without staff, priced per booking |
| Buying a machine | Ownership for repeat use | A host who throws parties often | Rent for one event with no purchase, storage or cleaning |
| Borrowing from a friend | Free, with no contract | Cost | A machine that BevCo has washed and test-run before each booking |
The table describes categories, not a ranking, and says nothing about how any competitor runs its service. Prices change often and are not quoted here, and BevCo names no competitor because it has no sourced fact about any of them.
SWOT
| Strengths | Weaknesses |
|---|---|
| Founders with Atlanta events and bar experience | No brand yet; every customer starts from zero |
| Machines, mix, delivery and a waiver sold as one price | Bookings pile into a few weekends and leave long gaps |
| Eleven letters of intent before opening | Year 1 loses money and draws on the cash held at launch |
| Opportunities | Threats |
|---|---|
| Venue and planner accounts that rebook every season | A larger rental company adding frozen-drink machines |
| Corporate and school events that need alcohol-free drinks | A wet spring or a sharp cut in event spending |
| Dispensers that suit more events than frozen machines | A change in how Georgia treats alcohol at events |
Who Books a Machine
Private hosts
Backyard and children's parties, adult birthdays, graduations and tailgates. A host books once or twice a year, wants one machine and one price, and decides in a few days. The plan counts 496 private events in Year 1, 81% of the total: 350 from first-time hosts and 146 from hosts who rebook or are referred by an earlier customer.
Planners, venues and caterers
A trade account books throughout the year and rebooks the same supplier. The plan counts 22 trade accounts in Year 1, producing 115 events, about five each. That is 19% of events. The count is modest for a new company: 9 of the 22 are signed by May, and the eleven letters of intent are the starting base.
Companies, schools and community groups
Office events, school fairs, church fundraisers. The machines run alcohol-free, which suits hosts whose venues or policies rule alcohol out. Orders are larger and payment is by invoice.
What a host asks of the company
The machine arrives on time and works. Someone shows how to use it. The price is the price. Cleaning is included and nobody has to wash it.
What triggers a booking
A date is fixed and a guest list is known. For weddings the date is months ahead, and for private parties it is usually weeks. BevCo's terms ask for a 50% deposit at booking and the balance before delivery, with a cancellation term that holds the deposit inside a set window.
How Bookings Are Won
From inquiry to confirmed date
The website shows a live availability calendar for each class of machine. A host picks a date, a machine and a delivery address, and receives a written quote in the same sitting. A deposit confirms the date. A reminder goes out the week before, and a delivery window the day before.
The price list
| Machine | Rental fee | Mix sold with it | Delivery and set-up |
|---|---|---|---|
| Two-bowl frozen drink machine | $195 | $62 | $140 per event |
| Three-bowl frozen drink machine | $255 | $92 | $140 per event |
| Chilled dispenser | $110 | $38 | $140 per event |
These are Year 1 prices. They rise 3% a year from Year 2. The damage waiver adds 12% of the machine fee. A customer taking two machines pays one delivery charge. An event averages 1.45 machines and $534 of revenue in Year 1.
The Year 1 pipeline
BevCo expects 611 events in Year 1, 886 machine bookings, from the following sources.
| Source of event | Events in Year 1 | Share |
|---|---|---|
| First-time hosts found through search | 160 | 26% |
| First-time hosts from event marketplaces and directories | 70 | 11% |
| First-time hosts from paid social | 60 | 10% |
| First-time hosts from content and video | 40 | 7% |
| First-time hosts by word of mouth | 20 | 3% |
| Hosts who rebook or are referred by an earlier customer | 146 | 24% |
| Trade accounts (22 accounts) | 115 | 19% |
Repeat business
Year 1 has few repeat hosts, because the business opens with none. The 146 rebooked or referred events come mostly from the second half of the year. By Year 3 the plan relies on trade accounts and on past customers rebooking and referring, and revenue per event rises from $534 to $567 as prices climb 3% a year.
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Events | 611 | 1,106 | 1,567 | 1,862 | 1,898 |
| Machine bookings | 886 | 1,603 | 2,272 | 2,700 | 2,752 |
Growth slows after Year 3 because the fleet stops growing after month 39. Bookings per owned machine rise from 23 in Year 1 to 28 in Years 3 to 5.
Marketing Plan
What the budget buys
Year 1 marketing is $44,000: $14,000 of launch spending from start-up capital and $30,000 of running costs. That is 13% of Year 1 revenue, falling to 4% by Year 3 and 3.5% by Year 5. The plan expects 372 new customers in Year 1, 350 first-time hosts and 22 trade accounts, or about $118 for each.
| Channel | Year 1 spend | What it is expected to do | Cost per result |
|---|---|---|---|
| Website with live availability (launch) | $9,000 | A calendar, a quote form and a page for each machine | – |
| Photography and video (launch) | $2,500 | Machines running at real events, shown in use | – |
| Trade demo days (launch) | $2,500 | A machine loaned to venues and planners for a test event | – |
| Search ads and map listing | $10,000 | Searches such as "margarita machine rental Atlanta"; about 160 first-time hosts | $63 a host |
| Paid social | $6,000 | Short videos aimed at party and wedding planners; about 60 hosts | $100 a host |
| Event marketplaces and directories | $5,500 | Listings where hosts compare suppliers; about 70 hosts | $79 a host |
| Trade account program | $4,500 | Visits, demo loans and a seasonal rate sheet; 22 accounts | $205 an account |
| Content and video | $2,000 | Set-up guides that answer common questions; about 40 hosts | $50 a host |
| Email to past customers | $2,000 | A reminder before each season; about 146 rebooked or referred events | $14 an event |
Marketing milestones
- January 2027: website live, the eleven letters of intent in hand and the first 12 bookings.
- March 2027: 40 machines in service and 47 bookings.
- May 2027: 103 bookings and 9 trade accounts signed.
- October 2027: 132 bookings, the busiest month of the year.
- December 2027: 90 bookings and 22 trade accounts.
Running the Fleet
The warehouse
3,200 square feet of flex warehouse at $13.50 a square foot a year all-in ($43,200 in Year 1). It holds racking for about 64 machines, a wash bay with a three-compartment sink and sanitizing station, a charging and test bench, mix storage and a loading area for the vans. The business moves to 4,200 square feet at about $14.40 ($60,500) at the start of Year 3, ahead of the month-27 wave that takes the fleet to 86. A broker's quote would replace both figures.
One booking, from rack to rack
A machine is pulled from the rack and run on a test cycle. It is loaded with the booked mix, sealed and strapped for the van. The driver delivers, places it, runs a first batch with the host, and leaves a printed card. After the event the driver collects it. Back at the warehouse it is stripped, washed, sanitized and test-run before it returns to the rack. The wash and test take about 25 minutes of labor. Damage, a failed test or a missing part is logged before the machine goes back out.
Utilization by season
Bookings per owned machine, as an average month in each season.
| Season | Months | Year 1 | Year 3 | What drives it |
|---|---|---|---|---|
| Winter | December to February | 1.1 | 1.4 | Holiday parties in December, then a quiet January and February |
| Spring | March to May | 1.9 | 2.7 | Weddings, graduations and the first warm weekends |
| Summer | June to August | 2.0 | 2.3 | Backyard and children's parties, with a dip when families travel |
| Fall | September to November | 2.5 | 2.6 | Weddings, football and tailgates, with October the busiest month |
A machine averages 23 bookings a year in Year 1, 27 in Year 2 and 28 from Year 3. October of Year 3 is the busiest month, at 3.4 bookings per owned machine, or 3.7 per machine in service. A machine can take about 5.2 in a month, which is about four Saturdays plus a Friday and Sunday turnaround, so the busiest month runs at 71% of that ceiling. About 8% of owned machines are in repair or held as spares on any weekend. On the busiest Saturday of Year 3 about 32 events go out, which is roughly 46 of the 86 machines.
Delivery capacity
Capacity is set by the busiest weekend, not the monthly average. On the busiest weekend of a month, 55% of events fall on Saturday and about 35% of the weekend's events are delivered on the binding day, Friday with early Saturday. A van and driver complete about 9 delivery stops that day. Each van goes out with a driver and a helper, because the machines are too heavy for one person.
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Events on the busiest weekend | 26 | 41 | 58 | 68 | 69 |
| Of which on Saturday | 15 | 23 | 32 | 38 | 38 |
| Deliveries on the binding day | 9 | 14 | 20 | 24 | 24 |
| Vans needed | 2 | 2 | 3 | 3 | 3 |
| Vans owned | 1 | 2 | 3 | 3 | 3 |
| Wash-down hours after the busiest weekend | 16 | 25 | 35 | 41 | 42 |
| Weekend helpers (March to November) | 2 | 2 | 3 | 3 | 3 |
Year 1 has one owned van, and a rented van covers the one busy weekend that needs a second, at a cost of $600. Van 2 arrives in month 13 and van 3 in month 25. Wash-down after the busiest weekend takes 35 labor hours in Year 3, shared over Monday and Tuesday between the wash technician, the weekend helpers and Justin.
What one booking earns
Year 3 figures per machine booking.
| Per booking | |
|---|---|
| Machine fee | $198 |
| Mix and consumables | $67 |
| Delivery and set-up | $102 |
| Damage waiver | $24 |
| Revenue | $391 |
| Mix cost and card fees | ($40) |
| Van fuel, servicing and wear | ($9) |
| Machine repairs | ($11) |
| Cleaning supplies | ($7) |
| Damage, loss and write-offs | ($14) |
| Bad debt | ($2) |
| Contribution before staff and overhead | $309 |
| Payroll including pay raises | ($186) |
| Rent and utilities | ($30) |
| Marketing | ($16) |
| Insurance | ($12) |
| Software, professional fees, licenses and phones | ($8) |
| EBITDA | $58 |
Lines are rounded to the dollar and the subtotals come from unrounded figures, so the lines may not add exactly. EBITDA is $130,776 over 2,272 bookings.
Fleet payback
Payback for one machine of each class at Year 3 prices, at 28 bookings a year. Contribution is after delivery and wash labor, about $94 a booking, but before the warehouse, insurance, marketing and the founders.
| Class | Cost | Contribution per booking | Contribution per year | Months to repay |
|---|---|---|---|---|
| Two-bowl frozen machine | $3,400 | $224 | $6,200 | 6.6 |
| Three-bowl frozen machine | $4,900 | $307 | $8,500 | 6.9 |
| Chilled dispenser | $1,900 | $117 | $3,200 | 7.1 |
A fairer test charges each machine its share of overhead. On the Year 3 figures EBITDA is $58 a booking, or about $1,590 a machine a year, and an average machine costing about $3,400 repays in roughly 26 months. The whole business is a third test: the plan spends $489,700 on machines, vans and fit-out across five years, and cumulative EBITDA passes that figure about eight months into Year 5. The model gives every class the same number of bookings, but a dispenser probably books out less often than a three-bowl margarita machine in peak weeks, so its payback is the least certain.
Damage, loss, failure and spares
Damage, loss and unrecovered cleaning are budgeted at 3.5% of revenue: $11,400 in Year 1 and $31,100 in Year 3. The damage waiver brings in $19,836 in Year 1, which covers that cost. A host is charged the full replacement cost for a lost machine, and a $75 charge for a machine returned unwashed; both appear in the rental agreement. Repairs and parts are $300 per machine per year. About 8% of the fleet is out of service or held as spares at any time, and the spares are what the driver swaps in if a machine fails on delivery.
Alcohol and Georgia's permit rules
BevCo does not sell, pour, serve or deliver alcohol. It rents equipment and sells non-alcoholic mixes. The rental agreement requires the host to be of legal age, to buy any spirits from a Georgia-licensed retailer, and to add them to the machine themselves. BevCo staff do not touch alcohol at an event. Machine fees are charged per booking, not per drink.
The Georgia Department of Revenue issues special event permits for the sale of alcoholic beverages at events that would usually require a retail license. Its for-profit permit page lists fees of $50 for malt beverages, $50 for wine and $100 for distilled spirits, and asks for the request 10 days before the event. The permit covers the sale of alcohol, and BevCo does not sell it, so the plan holds no alcohol license and budgets no permit fee.
The plan does not settle every question. Whether renting a machine into an event where the host adds spirits calls for anything more is a matter for the Department's Alcohol and Tobacco Division and for counsel. The $6,500 legal line in the start-up budget pays for the rental agreement, the waiver and a written view on this point before the first booking. If BevCo later sold pre-mixed alcoholic cocktails, or charged by the drink, the plan would need rewriting around the licensing that follows.
Liquor liability is a separate exposure. The host controls who drinks, but a claim after an event can name the equipment supplier, so the insurance line includes a liquor liability endorsement, and the written view above covers whether it is enough. Cover is a condition of opening.
Products risk and slush mixes
Frozen drinks reach children. Some slush mixes use ingredients such as glycerol, and some health bodies advise limits for young children, so BevCo's supplier labels and age guidance go to the host on the delivery card, and the products liability cover is confirmed with the insurer before the first rental. The plan does not quote any health guidance because none was sourced.
Licenses and insurance
- A City of Atlanta business license and Georgia sales tax registration, budgeted at $2,000 with other launch permits.
- A check with the local health department on whether selling sealed mix to hosts calls for any food registration.
- Vans chosen below the weight at which commercial driving rules begin, to be confirmed with the dealer and the insurer.
- Insurance of $17,000 in Year 1: general and products liability, commercial auto for one van, an equipment floater for machines in storage and in transit, a liquor liability endorsement and key-person cover on both founders. A broker would confirm each line and its price.
- Workers' compensation, carried through the on-costs on every driver and technician.
- A written rental agreement with the waiver, the cleaning charge, the age and alcohol terms, and a deposit and cancellation schedule.
Software and suppliers
Booking and route software and accounting for two users cost $4,000 in Year 1, rising to $7,000. Machines come from commercial foodservice-equipment distributors, with quotes for the opening wave to be confirmed. Mix comes from a beverage-concentrate wholesaler, on 30-day terms, and none of the suppliers is hard to replace.
The Owners and the Crew
Lucy Graham, general manager
Lucy has seven years running private events at Atlanta restaurants, the last four as events manager for a restaurant group, where she took bookings, quoted menus and handled the bar budget. She holds 40% of BevCo and invests $160,000. She runs sales, bookings and the customer calendar.
Justin Thomson, operations lead
Justin has eight years behind Atlanta bars, three of them as a bar manager. He holds 25% and invests $100,000. He services the machines, sets up the first deliveries and drives until the first technician arrives in month 3.
Where the team is thin
Neither founder has run a vehicle fleet, hired drivers or kept machines in service across a peak weekend. The plan covers these gaps with an experienced driver-technician in month 3, a written preventive-maintenance schedule for every machine, and a mechanic on retainer for the vans.
If a founder is out
Lucy takes all bookings and Justin all deliveries, so either absence stalls part of the business. The booking coordinator in month 25 and a second trained driver in month 13 remove most of that risk, and the company carries key-person cover on both founders, included in the insurance line.
The investor and the lenders
The investor owns an Atlanta restaurant group and does not work in the business. Her $140,000 buys 35% of the shares, in line with the share of cash she puts in. The group is a possible trade customer, and any bookings from it are priced from the same rate card as any other account's and reported to the lender. The lenders take a lien on the machines and vans and a personal guarantee from each founder, with quarterly accounts as a covenant.
Fleet Funding and Five-Year Financials
One five-year model sits behind every table in this section, with Year 1 split by month. The operating figures come before the results so each number can be traced to its source. Machines and vans are bought in stages, most of them with borrowed money, and the fleet sets how fast revenue can grow. Only $117,000 of the $325,000 of debt is committed at launch. The rest depends on later approvals, and the funding note says what happens without them.
Machines, vans and start-up funding
| Use of funds | Amount |
|---|---|
| Opening fleet: 30 machines (14 two-bowl, 7 three-bowl, 9 chilled dispensers) | $99,000 |
| Spring top-up: 10 machines (5 two-bowl, 3 three-bowl, 2 chilled dispensers) | $35,500 |
| Fleet wave, month 15: 24 machines (11 two-bowl, 6 three-bowl, 7 chilled dispensers) | $80,100 |
| Fleet wave, month 27: 22 machines (10 two-bowl, 6 three-bowl, 6 chilled dispensers) | $74,800 |
| Fleet wave, month 39: 12 machines (5 two-bowl, 3 three-bowl, 4 chilled dispensers) | $39,300 |
| Delivery van 1: cargo van with shelving and tie-downs | $46,000 |
| Delivery van 2 (month 13) | $46,000 |
| Delivery van 3 (month 25) | $46,000 |
| Hand trucks, lift gates, crates, straps, cords and spare parts | $9,000 |
| Warehouse fit-out: racking, wash station, sanitizing sink, charging bay | $14,000 |
| Atlanta business license, sales tax registration, permits | $2,000 |
| Legal: entity, rental agreement, waivers, alcohol-handling terms | $6,500 |
| Launch: website with live availability, photography, venue and planner outreach | $14,000 |
| Cash held beyond purchases, for operating losses and purchase deposits | $212,800 |
| Total uses | $725,000 |
| Source of funds | Amount |
|---|---|
| Lucy Graham's savings | $160,000 |
| Justin Thomson's savings | $100,000 |
| Minority investor: owner of an Atlanta restaurant group | $140,000 |
| Equipment loan, opening fleet (60 months, committed at launch) | $80,000 |
| Vehicle loan, van 1 (60 months, committed at launch) | $37,000 |
| Vehicle loan, van 2 (60 months, month 13) | $37,000 |
| Equipment loan, month 15 fleet wave (60 months) | $56,000 |
| Equipment loan, month 27 fleet wave (60 months) | $50,000 |
| Vehicle loan, van 3 (60 months, month 25) | $37,000 |
| Equipment loan, month 39 fleet wave (60 months) | $28,000 |
| Total sources | $725,000 |
Lucy puts in $160,000, Justin $100,000 and a minority investor who owns an Atlanta restaurant group $140,000. That is $400,000 of equity, 55% of the $725,000 total, held 40%, 25% and 35%, in line with the cash each puts in. Debt is $325,000 in seven 60-month loans, each covering about 80% of what it buys, at 10.75% on machines and 9.75% on vans. The rates illustrate this example and are not quoted lending rates. Two loans, $80,000 on the opening fleet and $37,000 on van 1, close at launch with a personal guarantee from each founder and a lien on the equipment. The other five, $208,000 in all, are expected from the same lender on the same terms when each purchase falls due: $37,000 in month 13, $56,000 in month 15, $37,000 in month 25, $50,000 in month 27 and $28,000 in month 39. No lender has committed to them, and base-case cash relies on them. If the month-13 and month-15 loans ($93,000) were declined, Year 2 cash would run out on the base case, and the owners would defer van 2 and the fleet wave until cash or a new lender allowed them. Launch costs and purchases take $190,500 of the $517,000 that arrives in month 1, which leaves about $326,500 in the bank. The rest of that cash pays for the month-3 top-up of $35,500, Year 1 operating losses of $145,564, and the 20% deposits on later purchases. The $212,800 line in the table is the part of total cash that is not tied to a named purchase.
Operating figures behind the forecast
- The fleet has three classes. A two-bowl frozen machine costs $3,400 and rents for $195 a booking, with $62 of mix sold alongside. A three-bowl machine costs $4,900 and rents for $255, with $92 of mix. A chilled dispenser for lemonade, soda or a non-alcoholic cocktail base costs $1,900 and rents for $110, with $38 of mix. These are Year 1 prices, and all of them rise 3% a year from Year 2. Distributor quotes would replace the purchase prices, and the rental fees are the plan's own figures: rate cards from four local rental stores are collected, but their prices are not quoted here.
- The fleet starts at 30 machines, grows to 40 in month 3 ahead of the spring season, then to 64 in month 15, 86 in month 27 and 98 in month 39. By class, that is 19 two-bowl, 10 three-bowl and 11 dispensers at the end of Year 1, and 45, 25 and 28 at the end of Year 4. About 8% of owned machines are in repair or held as spares on any weekend, so bookings are drawn from 92% of the fleet.
- A booking is one machine out for one event, usually a weekend day or a Friday-to-Sunday weekend. An event takes 1.45 machines on average. Year 1 has 886 bookings across 611 events, rising to 2,272 bookings across 1,567 events in Year 3 and 2,752 bookings across 1,898 events in Year 5. One delivery and set-up charge of $140 applies to each event and covers delivery, set-up, a ten-minute briefing for the host and collection. The damage waiver is 12% of the machine fee.
- Demand sets how many bookings an in-service machine takes in each month. At full demand a machine takes 1.0 booking in January, 4.0 in May and October and 2.1 in August, about 32 a year. Year 1 fills 45% of that potential in January and 94% in December, because the business has no repeat accounts yet. Years 2 to 5 fill 88%, 92%, 95% and 96%. Counting every owned machine, that is 23 bookings per machine in Year 1, 27 in Year 2, 28 in Years 3 to 5. A machine can take at most about 5.2 bookings in a month, which is about four Saturdays plus a Friday and Sunday turnaround. The busiest month, October, runs at 3.4 bookings per owned machine in Year 3, or 71% of that ceiling on the machines in service.
- Revenue per booking is $368 in Year 1, $391 in Year 3 and $414 in Year 5. Per event it is $534, $567 and $600. Machine fees are 51% of Year 1 revenue, mix 17%, delivery 26% and the damage waiver 6%, and the shares barely move over the five years.
- Mix costs 42% of its selling price and card fees add 3% on every line, so direct costs are about 10% of revenue and gross margin shows 89.8%. That margin leaves out drivers and vans, which sit in payroll and operating costs. Any sales tax collected on rentals is passed to the state, so every revenue figure is net of it. How the Georgia Department of Revenue treats equipment rentals should be confirmed with an accountant before launch.
- Delivery capacity is set by the busiest weekend, not by the monthly average. The busiest weekend in a month carries 1.25 times the average weekend, 55% of events fall on Saturday, and about 35% of the weekend's events are delivered on the busiest delivery day. A van and driver complete about 9 delivery stops on that day. That needs 2 vans in Year 1, 2 in Year 2 and 3 from Year 3. The one Year 1 shortfall, October, is covered by a rented van at $140 a day. Every van goes out with a driver and a helper from Year 2, and Year 1 runs two crews of two on peak days.
- Washing is 25 minutes of labor per machine returned: strip, wash, sanitize and test. At the busiest weekend that is 16 hours in Year 1, 35 in Year 3 and 42 in Years 4 and 5. A part-time wash technician works year round, a second joins in month 37, and the weekend helpers and Justin cover Monday peaks.
- Upkeep is $300 per machine per year in pumps, augers, seals and compressors, and cleaning supplies cost $7 per booking. Damage, loss and unrecovered cleaning are set at 3.5% of revenue, $11,400 in Year 1 and $31,100 in Year 3. Waiver fees of $19,836 in Year 1 cover that cost, which is what they are priced to do.
- Machines are depreciated straight-line over five years and vans over six, with no residual value. Depreciation is $39,167 in Year 1, $85,480 in Year 3 and $93,340 in Years 4 and 5. The opening fleet reaches the end of its five-year life in month 60, so the model carries no replacement spending for it, and that falls just after the period shown.
- The first delivery driver earns $44,000, close to the $43,950 median for delivery truck drivers in the Bureau of Labor Statistics data for May 2025. The second and third drivers work 30 hours a week at $30,000. Weekend helpers work March to November at a $16,000 annual rate, paid for nine months. Drivers and the operations lead carry 30% on-costs for payroll taxes, health cover and the workers' compensation cost of lifting and driving, the general manager 27% and part-time staff 20%. Annual pay raises of 3% enter as their own cost line from Year 2.
- Rent is set for a 3,200 square foot flex warehouse at $13.50 a square foot a year all-in, which racks about 64 machines, then 4,200 square feet at about $14.40 from Year 3, before the month-27 wave. A broker's quote would replace both figures. Insurance is $17,000 in Year 1: general and products liability, commercial auto for one van, an equipment floater, a liquor liability endorsement and key-person cover on both founders. It rises to $23,000 with two vans and $30,000 by Year 5, and a broker would confirm cover and price. Software is $4,000 in Year 1 for booking and route software and accounting for two users.
- Customers pay 50% at booking and the balance before delivery, and corporate accounts pay within 15 days, so receivables average 7 days of sales. Mix and consumables stock is held at 2% of annual sales.
- Tax is charged at the federal corporate rate of 21% and a Georgia rate of 4.99%, which the Department of Revenue gives for individuals in 2026 and which BDO reports for corporations. The Department's corporate page still showed 5.19% when checked, so the rate should be confirmed. Losses carry forward, so tax is first paid in Year 5. An LLC would normally pass profit through to its owners, and corporate rates are a cautious placeholder. No distributions are paid in the five years.
Revenue by line
| Revenue stream | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| Machine rental fees | $165,296 | $307,300 | $449,800 | $548,900 | $576,300 |
| Mix and consumables | $55,709 | $103,600 | $151,800 | $185,300 | $194,500 |
| Delivery and set-up fees | $85,565 | $159,400 | $232,700 | $284,800 | $299,100 |
| Damage waiver fees | $19,836 | $36,900 | $54,000 | $65,900 | $69,200 |
| Total revenue | $326,406 | $607,200 | $888,300 | $1,084,900 | $1,139,100 |
| Growth on prior year | – | 86% | 46% | 22% | 5% |
The machine fee is half of revenue in Year 1 and Year 5. Delivery charges are a quarter, because every event pays one, and mix and the waiver ride on each booking. No line depends on one customer type: weddings, backyard parties, corporate events and tailgates use the same machines. Growth runs at 86% in Year 2 and 46% in Year 3, then slows to 22% and 5% once the fleet stops growing after month 39.
The first twelve months, booking by booking
| Month | Machine rental fees | Mix and consumables | Delivery and set-up fees | Damage waiver fees | Total revenue | EBITDA |
|---|---|---|---|---|---|---|
| Jan 2027 | $2,279 | $768 | $1,199 | $273 | $4,519 | ($28,621) |
| Feb 2027 | $3,292 | $1,109 | $1,732 | $395 | $6,528 | ($26,816) |
| Mar 2027 | $8,688 | $2,928 | $4,495 | $1,043 | $17,154 | ($17,271) |
| Apr 2027 | $13,626 | $4,592 | $7,049 | $1,635 | $26,902 | ($8,514) |
| May 2027 | $19,230 | $6,481 | $9,949 | $2,308 | $37,968 | $1,427 |
| Jun 2027 | $18,790 | $6,333 | $9,721 | $2,255 | $37,099 | $646 |
| Jul 2027 | $13,736 | $4,629 | $7,106 | $1,648 | $27,119 | ($8,319) |
| Aug 2027 | $12,115 | $4,083 | $6,268 | $1,454 | $23,920 | ($11,193) |
| Sep 2027 | $18,131 | $6,111 | $9,380 | $2,176 | $35,798 | ($523) |
| Oct 2027 | $24,724 | $8,333 | $12,791 | $2,967 | $48,815 | $11,171 |
| Nov 2027 | $13,900 | $4,685 | $7,191 | $1,668 | $27,444 | ($8,027) |
| Dec 2027 | $16,785 | $5,657 | $8,684 | $2,014 | $33,140 | ($2,910) |
January is the weakest month, with 12 bookings and $4,519 of revenue. Bookings build through the spring to 103 in May, dip in July and August, and peak in October at 132, with $48,815 of revenue. EBITDA is positive only in May, June and October, at $1,427, $646 and $11,171. Month-end cash falls from $295,368 in January to $161,917 in December on the monthly series, which excludes receivables, stock and year-end items; the year-end balance sheet figure is $149,129.
Crew plan
| Role | Annual wage | Starts | Year 1 end | Year 2 end | Year 3 end | Year 4 end | Year 5 end |
|---|---|---|---|---|---|---|---|
| Co-founder and general manager (sales and bookings) | $60,000 | Month 1 | 1 | 1 | 1 | 1 | 1 |
| Co-founder and operations lead (drives, services machines) | $52,000 | Month 1 | 1 | 1 | 1 | 1 | 1 |
| Delivery driver and technician 1 | $44,000 | Month 3 | 1 | 1 | 1 | 1 | 1 |
| Warehouse and wash technician (part time, year round) | $24,000 | Month 3 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Weekend delivery helpers (part time, March to November) | $16,000 | Month 3 | – | – | – | – | – |
| Delivery driver and technician 2 (part time, 30 hours a week) | $30,000 | Month 13 | – | 0.5 | 0.5 | 0.5 | 0.5 |
| Booking and dispatch coordinator | $42,000 | Month 25 | – | – | 1 | 1 | 1 |
| Delivery driver and technician 3 (part time, 30 hours a week) | $30,000 | Month 25 | – | – | 0.5 | 0.5 | 0.5 |
| Total payroll incl. on-costs | $244,267 | $294,600 | $398,340 | $427,140 | $427,140 |
Lucy runs sales and bookings and Justin runs operations, drives and services machines, both from month 1. A full-time driver and technician joins in month 3 ahead of the spring season, with a part-time wash technician and two part-time weekend helpers from March to November. Year 1 runs two delivery crews of two on peak days, one in an owned van and one in a rented van. A second driver joins with van 2 in month 13, and a booking and dispatch coordinator, a third driver and a third helper join in month 25 with van 3, ahead of a Year 3 whose peak months pass 290 bookings. A second wash technician joins in month 37. The table shows part-time roles as 0.5 whatever their headcount, and the seasonal helpers as a dash because December falls outside their season. Both founders' salaries start in month 1 and every profit figure is struck after them. Wages are shown at launch rates, with 3% pay raises charged as a separate line.
Profit and loss by year
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Revenue | $326,406 | $607,200 | $888,300 | $1,084,900 | $1,139,100 |
| Direct costs (card fees and mix cost) | ($33,190) | ($61,742) | ($90,325) | ($110,316) | ($115,827) |
| Gross profit | $293,216 | $545,458 | $797,975 | $974,584 | $1,023,273 |
| Payroll incl. on-costs | ($244,267) | ($294,600) | ($398,340) | ($427,140) | ($427,140) |
| Rent | ($43,200) | ($44,500) | ($60,500) | ($62,300) | ($64,200) |
| Utilities | ($6,000) | ($6,200) | ($7,400) | ($7,600) | ($7,800) |
| Marketing | ($30,000) | ($34,000) | ($36,000) | ($38,000) | ($40,000) |
| Insurance | ($17,000) | ($23,000) | ($27,000) | ($28,500) | ($30,000) |
| Professional fees | ($4,500) | ($5,000) | ($5,500) | ($5,500) | ($6,000) |
| Software subscriptions | ($4,000) | ($5,000) | ($6,000) | ($6,500) | ($7,000) |
| Van fuel, tolls and running wear | ($4,600) | ($8,400) | ($11,900) | ($14,100) | ($14,400) |
| Van servicing, tires and registration | ($2,600) | ($5,200) | ($7,800) | ($7,800) | ($7,800) |
| Rented vans for peak weekends | ($600) | $0 | $0 | $0 | $0 |
| Machine repairs and parts | ($11,500) | ($18,000) | ($24,700) | ($28,800) | ($29,400) |
| Cleaning and sanitizing supplies | ($6,200) | ($11,200) | ($15,900) | ($18,900) | ($19,300) |
| Damage, loss and write-offs | ($11,400) | ($21,300) | ($31,100) | ($38,000) | ($39,900) |
| Licenses, permits and sales tax compliance | ($1,800) | ($2,000) | ($2,200) | ($2,400) | ($2,600) |
| Phones, uniforms and office supplies | ($3,200) | ($4,200) | ($5,000) | ($5,400) | ($5,800) |
| Bad debt allowance | ($1,300) | ($2,400) | ($3,600) | ($4,300) | ($4,600) |
| Annual pay raises (3% a year) | $0 | ($8,838) | ($24,259) | ($39,607) | ($53,610) |
| EBITDA | ($98,951) | $51,620 | $130,776 | $239,737 | $263,723 |
| Depreciation | ($39,167) | ($62,853) | ($85,480) | ($93,340) | ($93,340) |
| Interest | ($11,325) | ($17,334) | ($22,025) | ($19,481) | ($13,044) |
| Income tax | $0 | $0 | $0 | $0 | ($32,304) |
| Net income before start-up costs | ($149,443) | ($28,567) | $23,271 | $126,916 | $125,035 |
| Start-up costs expensed at opening (legal, licensing, launch marketing) | ($22,500) | $0 | $0 | $0 | $0 |
| Net income after start-up costs | ($171,943) | ($28,567) | $23,271 | $126,916 | $125,035 |
Year 1 loses $149,443 before start-up costs and $171,943 after the $22,500 of legal, license and launch costs. EBITDA is negative at $98,951, or 30.3% of revenue, because the crew, two founders and a warehouse are in place before the booking calendar fills. In Year 2 EBITDA turns positive at $51,620, but depreciation of $62,853 and interest of $17,334 still leave a loss of $28,567. Year 3 is the first profitable year, with net income of $23,271 after the move to the larger warehouse, three vans and the coordinator. Margins then widen to 22% and 23% at EBITDA in Years 4 and 5 because the fleet and crew stop growing while prices rise. Income tax is zero until Year 5 because earlier losses carry forward, and is $32,304 in Year 5.
Where the cash goes
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Cash from operations | ($145,564) | $23,285 | $97,738 | $212,553 | $216,251 |
| Machines, vans and fit-out | ($203,500) | ($126,100) | ($120,800) | ($39,300) | $0 |
| Funding received | $517,000 | $93,000 | $87,000 | $28,000 | $0 |
| Loan principal repaid | ($18,807) | ($34,284) | ($52,202) | ($62,960) | ($70,608) |
| Owner distributions | $0 | $0 | $0 | $0 | $0 |
| Net change in cash | $149,129 | ($44,099) | $11,736 | $138,293 | $145,643 |
| Closing cash | $149,129 | $105,030 | $116,766 | $255,059 | $400,702 |
Closing cash is $149,129 after Year 1, $105,030 after Year 2, $116,766 after Year 3, then $255,059 and $400,702. Year 1 operations use $145,564 and $203,500 goes on machines, vans and fit-out, against $517,000 of funding. The lowest year-end balance is after Year 2, when van 2 and the month-15 wave take $126,100 and loans cover $93,000 of it. The engine spreads Years 2 to 5 evenly, so it cannot show the January to March low. An estimate outside the engine, which spreads Year 2 revenue by the seasonal bookings curve and deducts the deposits on van 2 and the month-15 wave, puts the lowest Year 2 month-end balance on the base case near $60,000 in March. The loan balance peaks at $191,707 at the end of Year 3 and falls to $86,138 by the end of Year 5. The plan spends $489,700 on machines, vans and fit-out over five years, and cumulative EBITDA passes that figure about eight months into Year 5.
What BevCo owns and owes
| At year end | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| Cash | $149,129 | $105,030 | $116,766 | $255,059 | $400,702 |
| Accounts receivable | $6,260 | $11,645 | $17,036 | $20,806 | $21,846 |
| Mix and consumables stock | $6,528 | $12,144 | $17,766 | $21,698 | $22,782 |
| Machines, vans and fit-out (net) | $164,333 | $227,580 | $262,900 | $208,860 | $115,520 |
| Total assets | $326,250 | $356,399 | $414,468 | $506,424 | $560,850 |
| Equipment and van loans | $98,193 | $156,909 | $191,707 | $156,747 | $86,138 |
| Paid-in capital | $400,000 | $400,000 | $400,000 | $400,000 | $400,000 |
| Retained earnings | ($171,943) | ($200,510) | ($177,239) | ($50,323) | $74,712 |
| Total liabilities and equity | $326,250 | $356,399 | $414,468 | $506,424 | $560,850 |
Margins, van load and break-even
| Measure | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| EBITDA margin | -30.3% | 8.5% | 14.7% | 22.1% | 23.2% |
| Net margin (before start-up costs) | -45.8% | -4.7% | 2.6% | 11.7% | 11.0% |
| Payroll incl. pay raises as share of revenue | 75% | 50% | 48% | 43% | 42% |
| Revenue per full-time equivalent at year end | $93,259 | $151,800 | $161,509 | $197,255 | $207,109 |
| Average monthly revenue | $27,201 | $50,600 | $74,025 | $90,408 | $94,925 |
| Monthly revenue needed to cover operating costs | $36,380 | $45,811 | $61,893 | $68,169 | $70,460 |
| Debt service cover (EBITDA / interest + principal) | -3.3x | 1.0x | 1.8x | 2.9x | 3.2x |
Year 1 averages $27,201 of revenue a month against $36,380 needed to cover operating costs, so it loses money. Year 2 averages $50,600 against $45,811, which clears operating costs but not depreciation and interest. Year 3 averages $74,025 against $61,893. Debt service cover is negative in Year 1 at -3.3x, 1.0x in Year 2, when loan payments take all of EBITDA and leave nothing for a bad month, then 1.8x in Year 3 and 2.9x and 3.2x after that. Payroll falls from 75% of revenue in Year 1 to 42% in Year 5. Gross margin shows 89.8%.
Bookings 20% short of plan
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Revenue | $261,125 | $485,760 | $710,640 | $867,920 | $911,280 |
| Net income before start-up costs | ($168,526) | ($86,312) | $1,735 | $48,494 | $70,595 |
| Net income after start-up costs | ($191,026) | ($86,312) | $1,735 | $48,494 | $70,595 |
| Closing cash | $132,603 | $37,598 | $40,426 | $99,550 | $187,201 |
This case cuts every revenue line by 20% in every year. The response: the booking coordinator starts six months later, van 3, the third driver and the third helper are dropped, and the fleet waves in months 15, 27 and 39 are cut to 70% of planned size, about 17, 15 and 8 machines. Both founders take a 20% pay cut and marketing is cut 20% for Years 1 and 2, then both are restored. The warehouse stays at 3,200 square feet, no distributions are paid, and fuel, cleaning, damage and bad debt fall with volume. The smaller fleet stays under the model's limits: bookings per owned machine are 27 in Year 5 against 28 in the base case, and the busiest month runs at about 72% of the monthly ceiling. On those terms the business loses money in Years 1 and 2, earns $1,735 in Year 3, and ends every year with cash in the bank at no less than $37,598, in Year 2. The estimate outside the engine puts the lowest Year 2 month-end balance near $48,000 in March, above the year-end figure, so the year-end balance is the low point. Equity ends Year 1 at $208,974. Year 5 profit is $70,595 against $125,035 in the base case.
Sources
- Bureau of Labor Statistics, Delivery Truck Drivers and Driver/Sales Workers, Occupational Outlook Handbook, May 2025 median pay of $43,950.
- Bureau of Labor Statistics, Meeting, Convention and Event Planners, Occupational Outlook Handbook, 2025 data: about 172,100 jobs, median pay of $61,160 and 6% projected growth for 2025 to 2035.
- Georgia Department of Revenue, Special Event For Profit permit: permit fees and the 10-day request period. The page does not say whether renting equipment into an event is covered, so that question is left to the Department and counsel.
- Georgia Department of Revenue, Important Tax Updates: the flat 4.99% income tax rate for 2026, stated for individuals. BDO, Georgia enacts income tax reduction bill, June 2026, reports the same rate for corporations under H.B. 463. The Department's corporate income tax page still showed 5.19% when checked, so the corporate rate should be confirmed on the 2026 return instructions.
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