How much does a Water & Ice Vending cost to buy?

A typical Water & Ice Vending sells for 2x to 3.5x seller's discretionary earnings. With estimated SDE of $47K, expect to pay roughly $94K to $164K before adjustments for assets, debt, growth, and local market quality.

How much does it cost to start a Water & Ice Vending?

Startup costs range from $35K to $120K depending on location, equipment, and scale.

Route

Water & Ice Vending

Sell water for quarters — margins that flow

Bottom line

Strong cash-flow candidate with manageable operations.

Water and ice vending businesses operate self-service machines that purify and dispense drinking water and bag ice. Machines are placed outside grocery stores, gas stations, and laundromats. The model is extremely passive — machines run 24/7 with only periodic filter changes and maintenance visits.

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Acquisition score

Margin · multiple · SBA data

74Excellent

Avg revenue

$72K/yr

$25K–$180K range

Profit margin

65%

~$47K SDE

Multiple

2–3.5×

of SDE

Est. buy price

$94K–$164K

startup: $35K–$120K

How It Works

Install water/ice vending machines at high-traffic retail locations. Machines connect to a water source, filter and purify the water, and dispense it into customer-provided containers or vend bagged ice. Revenue is coin and card operated, running 24/7. You visit periodically to change filters, perform maintenance, and collect cash.

BizBite verdict

Watch / verify

Water & Ice Vending has enough high-level data for a first look, but BizBite has not assigned a category-specific operating model yet. Treat the score as preliminary.

74Excellent

low data confidence · 40/100medium financing fit

Why it may work

+Attractive 65% estimated margin profile

Be careful

!Source link status has not been verified yet
!No last-checked date yet
!No SBA category enrichment yet
!No category operating model yet
!Low data confidence

Deal Calculator

Priced off $47K SDE — can this deal service its own debt?

2.47×

DSCR · Lender-comfortable

Purchase multiple — 2.8× SDE ($130K)

Category range: 2×–3.5× SDE

Down payment — 10% ($13K)

SBA minimum equity injection is 10% for change-of-ownership

Interest rate — 10.50%

Typical SBA 7(a) range: 9.5–12% (prime-based)

Loan term — 10 years

Standard SBA 7(a): 10 years for business acquisition

Purchase price

$130K

2.8× of $47K SDE

Cash to close

$17K

$13K down + ~3% closing

Debt service

$2K/mo

$19K/yr on $117K loan

Cash-on-cash

165%

cash back in ~8 mo

Debt service coverage · what the lender sees

2.47×+$2K/mo after debt

Most SBA lenders want ≥1.25× coverage; 1.5×+ is a strong file.

SDE = revenue × margin estimate for this niche; it includes owner compensation, so budget your salary out of cash flow. Excludes working-capital injection, capex reserves, and taxes. Actual SBA terms vary by lender and borrower.

Pros

+Very high margins — water is essentially free raw material
+Machines run 24/7 with minimal intervention
+Low COGS — filters and electricity are the main costs
+Growing health-conscious demand for purified water

Cons

-Machine purchase costs are significant ($15K-$40K each)
-Location quality is critical for sufficient foot traffic
-Health department regulations vary by jurisdiction

Best For

Passive income seekers who want a set-it-and-forget-it vending model

Operating Costs

2026-08-11 recheck: Ice House America notes bag prices around $1.50-$3.00 against roughly $0.25-$0.35 of raw material and low one-person maintenance, while 2026 vending commentary points to $1.5K-$4.5K/month per well-placed ice unit. The old revenue range was directionally fine but margin improves when rent/commission and repair reserves are disciplined. Main costs are site rent or commission, bags, water/electricity, filters, card fees, cleaning, and periodic compressor/bin repairs.