Payments
Getting started as an independent ATM deployer? Here are a few tips to make it easier.
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June 24, 2025 by Bradley Cooper — Editor, ATM Marketplace & Food Truck Operator
Independent ATM Deployers are a cornerstone of the industry. The entrepreneurs provide cash access to everyone who needs it through ATMs installed in convenient spaces like retailers, convenience stores and other locations.
However, the industry is by no means simple or easy to get involved in. There are costs, cash usage trends, banking regulations and other issues to contend with.
But there are a few ways for IADs to navigate these difficult issues. Here are three tips to help.
IAD Tip No. 1: Find the right banks
Banks can be a challenge for IADS. Due to the fact this is a cash intensive business, IADs need to be aware of anti-money laundering regulations.
The FDIC states in a report that “Not all independent ATM owner or operator customers pose the same risk, and not all independent ATM owner or operator customers are automatically higher risk. The potential risk to a bank depends on the facts and circumstances specific to the customer relationship, such as transaction volume, locations of the ATMs, and the source of funds to replenish the ATMs.”
However, Todd McEwan, president of New England ATM LLC, states banks can still be difficult for IADS.
“The 800 pound duck in the room is a finding a bank to work with, even after the FFIEC changing their BSA/AML manual stating IAD’s are not to be considered higher risk, we still encounter considerable issues opening and maintaining bank accounts,” McEwan said in an email interview.
When asked why, McEwan identified concerns over banks not wanting to get out of handling cash and safety concerns over operators withdrawing large sums of money to refill an ATM.
“Oftentimes we see local bank branches eager to open accounts only to find when the account is reviewed by the bank’s BSA/AML departments, they are shut down,” he said.
So how do IADS navigate this? McEwan recommends “ATM operators to seek a copy of the bank’s ATM business policy, that can reduce future headaches.”
William Fuller-Senft, head of strategic partnerships at ATM Works Inc., said in an email interview this is particularly important when you start to withdraw more than $10,000 at a time as the bank will need to send a Currency Transaction Report to the Financial Crimes Enforcement Network, which may lead to, “getting the IAD’s account flagged.”
“This can be avoided by taking the time to preemptively reach out to the FI before the first such deposit and filling out the proper paperwork to notify the government and prevent such a roadblock from ever occurring. Little acts like this prove to the FI the IAD is actually taking AML regulations into consideration and will go a long way to creating a long-lasting partnership with that bank.”
IAD Tip No. 2. Find a good partner
Secondly, it is key to find a good partner to help out on the journey as an IAD. After all, as Fuller-Senft pointed out, it’s, “not a get rick-quick, passive-income business.”
He recommends finding either a local Independent Sales Organization or “an IAD affiliate large and old enough to have their own affiliate under them(commonly referred to as a Sub-ISO.”
“These people usually serve as an early mentor and coach and will help the entrepreneur navigate the initial steps, as well as facilitate their processing as they get started, such as registering their business and providing them with templates they can use for contracts and other paperwork.”
These partners are useful for a variety of information, such as finding the right bank to work with.
McEwan seconded this approach to choosing a local ISO as it is much easier to get in contact with them.
“Unlike the big guys, they don’t get caught in a 800# phone tree. Small business owners appreciate that and support other small local businesses,” he said.
IAD Tip No: 3: Finding the right business
In order to find the right location for your ATMs, it requires careful planning and knowing the right people.
Fuller-Senft said this requires you to, “treat their business like it was your business. The more you can understand their situation, their clientele, the better your interactions and negotiations will be.”
McEwan said this takes an extroverted attitude and a willingness to walk right in to talk to any merchant. However, this can bring some risk for inexperienced players.
Fuller-Senft said merchants can “take advantage of inexperience in a heartbeat.”
To avoid this issue, he recommends getting a contract in place with merchants and to “consult your industry investor/coach/processor for such advice before you approach.”
Once you have those locations in place, McEwan said it is key to carefully plan how much cash you load into and when. For example, aim for $2,000 to $2,500 per location and then utilize the right tools to plan out your route to keep those machines stocked.
Bottom line
The bottom line, as Fuller-Senft explained, is to get the right friends in the right places to help you navigate this business.
“Each local area has its own unique set of challenges, but there is almost always someone who has found a way to make it work and succeed.”
As you expand and consider hiring on employees, you should also ensure they are successful as well.
“Once you have employees, do not treat them as servants, treat them as equal members of a sports team. You succeed and fail with them and your work environment should reflect that reality,” said Fuller-Senft.
About Bradley Cooper
