Congratulations on finally deciding to launch your BTM (Bitcoin ATM) business! As the popularity of cryptocurrencies continues to rise, BTMs have become a convenient way for people to buy and sell Bitcoin and other cryptocurrencies with ease. However, starting a BTM business requires careful planning and execution to ensure success.
Outlined in this article are a few essential steps you must take to launch your BTM business on the right foot. These steps will set you on the path to a successful BTM business launch and make your dream of building your successful BTM business a reality!
How Does the BTM Business Work?
Bitcoin, a digital currency that operates on a decentralized network, has gained significant popularity over the past decade. As the adoption of Bitcoin increases, so does the demand for convenient and easy-to-use methods for buying and selling Bitcoin, which has led to the emergence of BTMs, also known as Bitcoin ATMs.
As a BTM business owner, you earn by charging some percentage on each transaction that takes place on your machines.
Six Simple Steps to Take Before Launching a BTM Business
As great as the idea of BTM business sounds, you must however understand that there are a number of complexities behind the scene, and some important steps must be taken to enjoy a smooth ride. Here are a few important foundations you must lay before launching your BTM business for a successful ride.
The first step in starting a BTM business is to form a Limited Liability Company (LLC) or another legal entity for your business. This involves registering your business with the appropriate government agency. Forming an LLC provides liability protection and separates your personal assets from your business assets.
Find a Bank That Can Work With Your Business
As a BTM business, you will need to find a bank that is willing to work with your business. Not all banks are cryptocurrency-friendly, so it’s important to research and identifies banks that are open to providing banking services to BTM businesses. This may involve contacting multiple banks and understanding their policies and requirements for working with cryptocurrency-related businesses.
Get Your BTM
Once you’ve set up your legal entity and secured a bank account, you’ll need to acquire your BTM. There are various BTM manufacturers and providers in the market, and you’ll need to research and choose a reliable and reputable BTM that meets your business requirements. Ensure you purchase a BTM that supports both buying and selling.
Finding a suitable location for your BTM is crucial for your business’s success. Identify high-traffic areas with a target audience interested in using BTMs, such as areas with a high concentration of tech-savvy individuals or areas with limited access to traditional banking services. You’ll also need to look out for locations with features such as longer operating hours, short walking distance, and quick access from parking space.
Plan for Cash Management
As a BTM business, you will be dealing with cash transactions, so planning for cash management is essential. This includes setting up processes for cash handling, security measures to prevent theft or fraud, and establishing relationships with cash management services or armored car services to handle cash deposits and withdrawals from your BTM.
Ensure That There Is Compliance
Compliance is a crucial step in operating a BTM business. You will need to understand and comply with all relevant regulations and legal obligations related to running a cryptocurrency-related business. This may involve obtaining necessary licenses, registering with regulatory agencies, and implementing robust compliance policies and procedures to ensure your business operates within the legal framework.
From your BTM automation process to every piece of information, you would need to scale your business, if you would ever need a helping hand, our team at ATM Together will be glad to support you.