The best way to judge whether your location warrants a cash machine is by measuring foot traffic. You should be in a location where hundreds of people will either see the cash machine or a sign for it every day. With this much traffic, you should be able to generate enough ATM card transactions to make the multi-thousand dollar investment worthwhile.

Even if you do not have overwhelming foot traffic, you may want to get a cash machine anyway. Retail locations that rely on cash may need an ATM to ensure that prospective customers do not walk away because their wallets are empty. And stores that rely on small-dollar credit card transactions may find that the reduction in credit card processing fees offsets the costs of a cash machine.

Not every business should get an ATM. If you fail to meet the basic criteria and are not interested in having an ATM as an ongoing expense, take a pass. And if there are already other ATMs nearby or if most of your purchases are less than $5, installing an ATM cash machine is not likely to make sense.

Choose the right cash machine for your location
ATMs come in three basic types. The model you should choose depends on your space constraints. Freestanding models are the most popular design, since they provide the most flexibility in placement, but they require a two-foot by two-foot footprint, plus space for a person to stand. For locations short on floor space, countertop ATM models can be the right solution. Finally, through-the-wall cash machines take up no floor space but require significant construction work during installation.

If your after-hours foot traffic is significant, you may want to invest in an outdoor through-the-wall ATM model that can generate supplemental income for your business 24 hours a day. Compared to indoor models, outdoor cash machines have more security and environmental risks. For example, they require more lighting and physical barriers to deter theft and vandalism. Also, outdoor cash machines are more susceptible to weather damage, such as from rain or snow. Of course, addressing these risks with a weatherized ATM cash machine drives up your overall costs.