ATM- Automatic Teller Machine
Automatic Teller machines(ATMs) are now popular especially with the new generation salaried class youth. ATMs are automated cash dispensing machines whereby a bank account holder can withdraw cash from the balance in his account with a bank, at any time on any day. Hence they were advertised initially as Any Time Money.
ATMs are two types_ On-site and Off-site. On-site ATMS are those installed within the bank's premises. Off-site ATMs are those installed outside and away from the bank premises.
Some ATMs combine cash deposit functions also.
ATMs - a business opportunity for commercial space owners
ATMs became a much-debated subject in India during the current situation after demonetisation. One point discussed was the insufficient number of ATMs and the coverage of population per ATM. Hence it is going to be an immediate sequential result that banks will be planning to install ATM sin places where they are not installed already or even increase the number of ATMs at a place.
As banks will be opening more and more Off-site ATMs, they need suitable space for installing them. Hence there will be a business opportunity for those who own or construct such commercial spaces.
Important criteria of premises to install ATM
The place where an ATM is to be installed should have smooth access, privacy and safety, parking facility, commercial importance and utilities which will make people use the ATM, holding prospects for further increase of bank's business etc.
How to approach a bank offering your commercial space for installing ATM
In commercial dealings and transactions, there is necessity of records and documents. Basically, there will be an offer from one side and an acceptance (or rejection) from the other side.
Your letter should highlight the suitability of your premises for placing the ATM and satisfy the bank's parameters. Here is a sample of such a letter from the owner of a commercial space to a bank for installing an ATM:
Sample letter to a bank offering your shop room space for installing the bank's ATM
(Name and address of sender)
The Regional Manager
(Name of the Bank)
(Name of the Bank)
Installation of your bank Off-site ATM at... (Name of the place/town): Offer of space
This has reference to the report of the press meet conducted by the Chairman and Managing Director of your esteemed bank yesterday at Chennai. In the announcement your Chairman had proposed about your bank's plan to open 100 ATMs this financial year itself mainly in small towns. The list of towns where the ATMs are to be opened includes this(above mentioned) town also. As a resident of this town I welcome that and will be happy to see your bank ATM becoming functional here at the earliest.
I have a shop room space recently constructed lying vacant at a very prominent and vantage location in this town and I am happy to offer it to your bank for installing and opening your bank ATM.
The shop room space has almost all the factors advantageous to open an ATM.
Location: It is located at a popular commercial area and on the way to the main tri-junction. However, it does not have the congestion usually associated with such sites.
Access and approach: The site is easily accessible and approachable from the road and is safely distant from the moving traffic.
Parking: There is ample space near the site for parking of about five four-wheelers and twenty-two wheelers at the same time.
Safety: As the area is having other commercial establishments in the area and nearby the site is having general safety and watchful guise. The town police station is also just half a kilometre away only.
Footfall and optimum use: As mentioned here before, the area is of commercial importance. There is a predominantly residential area on the hind side of the main road and people have to pass by this area for their most matters. The nearest ATM is beyond the tri-junction which is in a congested area. Hence there will be sufficient footfall and use of ATM.
Infrastructure: As it is a commercial area, the basic facilities of power, internet, and telephone are all readily available.
I am sure that space will be properly suitable to install your bank ATM and will help in furthering your service and business.
Terms of compensation: Though I expect a suitable compensation base on the prevailing rates and terms, I would be ready for negotiation as I consider it a privilege and goodwill also to have your bank's ATM service at my place.
I request that an authorized official of the bank may visit the site and satisfy the criteria. Once you are satisfied, I shall submit the formal offer in the prescribed format with necessary documents.
Place& Date :
Contact phone No:
E amil Id:
Copy to Branch Manager