The method
For each location, take the monthly gross, then subtract prizes, card fees, repairs, licences, machine wear and driving. Divide what remains, after the commission, by the hours the stop takes. That is profit per route hour. Set it equal to the hourly you want and solve for the commission: that is the most you can pay.
Example assumptions: a target of $35 an hour, $0.60 per mile, prizes at 8% of takings, 40% of takings by card at 3.5%, $18 a month repairs and $120 a year licence per machine, machines costing $3,500 over 7 years.
A five-location route
| Location | Take / machine / week | Profit / hour | Highest commission |
|---|---|---|---|
| Corner bar (pool tables) | $140.00 | $103 | 66.9% |
| Bowling alley (arcade) | $85.00 | $125 | 60.3% |
| Laundromat (claw machine) | $210.00 | $158 | 72.1% |
| Truck stop (three games) | $60.00 | -$5 | 39.6% |
| Pizza parlour (kiddie rides) | $40.00 | -$13 | 38.5% |
The route averages $88 an hour, which hides the fact that 2 of the five locations lose money before paying you. The truck stop pays its owner 55 percent and sits 70 miles away; the pizza parlour's rides take too little to carry a visit. The route looks healthy only because the bowling alley and laundromat carry it.
Try your own numbers in the calculator. It also shows the weekly take each location needs.
Common questions
What is a fair commission split for amusement machines?
There is no single fair split. Splits of 40 to 60 percent are common, but the right one for a given location is the highest commission that still earns you your target hourly, which depends on take, visits and miles. The worked example below shows how far apart those ceilings can be.
Why do some locations lose money even when they pay?
Because a visit costs the same whether the machines took much or little: the drive, the time on site, and per-machine repairs and licences. A low take spread over those fixed costs can go negative once the commission comes off.
When should I pull machines from a location?
When even a zero commission cannot reach your target hourly at the current take, visits and miles. Otherwise the calculator gives the commission to ask for.