New Solutions in Robotic Vending Automation: Generation Next Franchise Brands
BY GlobeNewswire
— 9:05 AM ET 07/10/2018
NEW YORK, July 10, 2018 (GLOBE NEWSWIRE) -- The Wall Street Analyzer recently conducted an interview with Generation Next Franchise Brands’ (OTC:VEND) Chairman Nick Yates, and their CEO Art Budman.
The company’s flagship subsidiary, Reis & Irvy’s, which is a robot staffed frozen yogurt and ice cream vending machine just signed a $21 million master franchise agreement in Atlanta with well known business leader Jennifer Scully’s new company, RoboTreats, LLC. On June 20, 2018, the company announced a business relationship with five-time Major Golf Champion Phil Mickelson and his career-long business manager and business partner Steve Loy as franchisees in San Diego.
Mr. Yates laid out the company’s franchising business model and the opportunity to grow the business, both domestically and internationally, as automation provides a more cost-effective option than traditional brick and mortar.
He also stated the company has about $50 million in deferred revenue, as of the fiscal year ended June 30, 2018, from units they have pre-sold and are now in position to have these units manufactured and installed to recognize the associated revenue.
Mr. Budman added that VEND also collects a 12% recurring revenue royalty once the units are installed, in addition to rebates and software fees.
He also discussed how his background and experience in finance and operations complements Mr. Yates’ sales and marketing background.
Mr. Yates concluded by saying, “We have about $150 million of contracted commitments in one form or another. We are also in the early stages of designing our next vending robot that our patents will protect, allowing us to replicate exactly what we've done here with our frozen yogurt and ice cream product - as far as franchising, licensing and complementing our own corporate operations. So, it's a great time to be a shareholder. The next year will be a lot different to the last and we couldn't be more excited about the fact that we are installing this incredible product.”
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