How To Rent Out Space For Atm In India And Timely Earn Handsome Amount Of Money

How to rent out space for ATM in India and timely earn handsome amount of money?



How to rent out space for ATM in India and timely earn a handsome amount of money?

Owning a commercial property on a busy street or market is always advantageous as it has a variety of scope for utilizing the property to earn a lucrative amount of money. The first idea which strikes on such a property owner’s mind is setting up a new business or expanding the existing one and the second idea could be the leasing of the precious space to some unreliable or untrustworthy tenant(s). However, most of those owners may not come across an alternate variant of leasing and that is renting out space to the bank or non-bank entities to set-up an ATM machine in that viable commercial space.

Renting out space to the bank or non-bank entities for setting up ATMs can prove to be an act of developing lucrative, steady and reliable sources of income. Although the final decision of establishing an ATM in your premises is not in your hand it is worth giving a shot. There are many ways of doing the same. Before glancing at the ways, the landlords should consider that the chances of ATM approval get skyrocketed if their property fulfills some basic requirements

[ Check out List of all Bank Branches in India ]

 

 

Pre-requisites or Criteria for a commercial-property to get equipped with an ATM machine.

 

  • The carpet area of the property space should be at least 10 x 10 sq.ft. along with additional space for the server room and other equipment.
  • There should be no loans running on the property and there should be no fault in the integrity and accuracy in the property documents. [ All bank list that gives Loan Against Properties ]
  • Anyone can apply for the establishment of ATM, but it is more advisable for those landlords who own the property on a busy street or market or where there exists few ATMs or somehow should able to show that the area requires more number of ATMs to fulfill people’s demand and need.

Concepts

The property can be utilized to establish ATM in mainly two ways

  1. Renting out to NBCFs (Non-Banking Financial companies like Muthoot finance, Indicash, etc ) who establishes white label ATMs or directly to Banking companies.
  2. Grabbing an ATM Franchise.

The first option provides a steady source of income but it requires an initial investment of Rs.2 lakh to 3 lakh in the form of the security deposit and then the tenants will pay the monthly rentals ranging from Rs.25k to Rs.30k up to the expiry of the agreement or lease.  The operation and the maintenance cost will be paid by the tenant entity.

The second option is a newly developed concept and in this, the landlord has to pay the operation and maintenance cost of say Rs.25000/- and the landlord will get return according to the number of transactions carried out both monitory and non-monitory together. The tenant pays Rs.5 for non-monetary transactions like mini-statement, balance check etc and for the monetary transaction, the tenant will pay Rs.15 for each. This concept is more beneficial for places where the footfall is the tremendously high or densely populated region where there is the possibility of 200 transactions per day and by taking franchise the landlord can earn up to Rs.75,000/- per month if daily transactions reach to 150 to 200 mark. ATM franchise can be bought from NBCFs.

 

 

Procedure to rent out the space for ATM :

Banks usually publish ads in public newspapers or leaflets when need in establishing ATMs, so it would be easy to respond to the advertisements or circulars as all the details for applying for the same would be mentioned in the ad.

Usually bank has certain criteria to select the place for ATM and for that bank requires all the information about the property like size, area, location, surroundings, security facilities, surrounding population, etc. and for this bank offers the landlord to fill up the application form either online or offline and then the rest is done by the bank.

  1. File an application for ATM installation
  2. The application provides all the details like locality, area, landmark, etc.
  3. The bank will then review the proposal and then if found suitable, officers will end up at inquiring and inspecting the proposed space.
  4. If the officers show a green flag then the bank will then ask for writing from the landlord in the prescribed format.
  5. After that, the rest will be done by the tenant NBCFs or banks.
[ Nearest Bank ATM ]

Also Read:
1. How to get a loan via Aadhaar Card? 
2. How to get approval for a personal loan?
3. How to update Aadhaar Card details online or Offline?







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