Quoted from Bud:
That's all good and well if you started out with a large capital or could continue to purchase machines or you had exceptional coin drop. I'm not a business degree holder, but I don't think any business can expect to purchase items and sell at 50% to turn around and buy new machines at higher prices and repeat the discounted sale. At some point you'd run out of money or your profit would be severely decreased if not wiped out.
The only way I can see this current situation working out as a sole income business venture is a good location that doesn't involve any sort of split. In other words, the operator also needs to be the location owner or have a location that is satisfied with the increased traffic of patrons due to the machines and is ok with not taking any money from the pins.
It's odd to me that flynnibus basically said the same thing that I was, and it seems you flipped your opinion of it. Or maybe I don't understand what you meant in the first response.
I was arguing that coin drop pays for your depreciation and then some, then when the earnings for out in a worst case scenario you sell the game for 50% of its original price. The game earns that entire time, thus your profits. When it drops earnings, you sell the game (or, as Flynn put it, the mule). If you do it right, this works just fine.
But again, and what it seems like people kiss, this is wholly dependant on your locations. Some locations you can put F14 into and make similar coin drop to putting in a new Dialed In. Others that Dialed In will make you gobs of money more than the old game.
Some locations want specific machines, or the latest and greatest, and are willing to divvy up the coin box far more in your favor if you can provide that.
Everyone wants a simple answer, but there are no simple answers in routing. If you aren't making money though at the current rates, and the ideas to make money you don't think will work for you for whatever reason you know your business best.