- Jun 22, 2004
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Kid decides to offer band-aids through a specialized vending machine and he rejects a $30 million buyout?
http://money.cnn.com/2016/05/10/tec...crunch-disrupt1212PMStoryLink&linkId=24317909
I've seen plenty of regular vending machines that sell first aid supplies (along with snacks), so I don't see the need for a $5500 specialized machine for this.
Plus, why offer $30 million for the idea? I would imagine it would cost probably less than a couple hundred thousand to develop your own specialized vending machine.
http://money.cnn.com/2016/05/10/tec...crunch-disrupt1212PMStoryLink&linkId=24317909
Taylor Rosenthal is ready for the big leagues. The 14-year-old is exhibiting his startup idea -- a vending machine that dispenses first aid products -- at TechCrunch Disrupt this week in Brooklyn.
The first-time entrepreneur doesn't sound nervous. He's actually looking forward to the trip from his hometown of Opelika, Alabama.
Still, it's a big deal.
"They told me that I was the youngest person to ever get accepted to the event," said Rosenthal. "It felt awesome."
Rosenthal's startup RecMed, which he launched in 2015, has already been generating buzz. He's raised $100,000 in angel investments and has already rejected a $30 million offer to buy his idea.
RecMed started as an eighth-grade project when Rosenthal was one of 19 students in a Young Entrepreneurs Academy class.
"We had to come up with a business idea," he said. The straight-A student, who's a first baseman and pitcher for his high school baseball team, had one immediately.
"Every time I'd travel for a baseball tournament in Alabama, I'd notice that kids would get hurt and parents couldn't find a band-aid," he said. "I wanted to solve that."
. . .
Users pick from two options: prepackaged first-aid kits for dealing with issues like sun burns, cuts, blisters and bee stings (they run from $5.99 to $15.95). You can also buy individual supplies like band-aids, rubber gloves, hydrocortisone wipes and gauze pads, which cost $6 to $20.
Rosenthal hopes to start deploying the machines this fall. He said they make sense at "high-traffic areas for kids" like amusement parks, beaches and stadiums.
He already has an order from Six Flags for 100 machines.
RecMed will make money by selling the machines, which cost $5,500 apiece, and through restocking fees for the supplies. Rosenthal said he's also open to putting advertising on the machines.
I've seen plenty of regular vending machines that sell first aid supplies (along with snacks), so I don't see the need for a $5500 specialized machine for this.
Plus, why offer $30 million for the idea? I would imagine it would cost probably less than a couple hundred thousand to develop your own specialized vending machine.