Food Truck Business

Introduction

Since the last decade, the food truck business has taken the industry by storm. It has become a mandatory and delicious part of urban and rural life. It won’t be wrong to say that it initially started as a small business for small vendors but has now become a huge industry enabling people to earn a very handsome income.

The most fascinating thing about this business is the huge range and variety of food that is offered to food lovers, be it gourmet burgers, artisan tacos, French Fries, Milkshakes, etc. In this article, we are going to read about various aspects of this small industry, which generates profits almost 80 to 100 times the size of its investment.

In this article, we are going to discuss various aspects of the food truck business and the reason why it is gaining popularity day by day. Furthermore, we will also discuss various other elements including the costs associated with the food truck business.

Food Truck Business Plan

It does not matter if you are a newcomer in the food industry or you are a professional chef, your success is inevitable without a well-jotted business plan.

The basic step in your food truck business plan is the clarity of your concept. When you talk about the clarity of concept, it means what are the different types of foods, drinks, and cuisines that will be offered on your food truck. In a nutshell, Clarity in a business plan helps you stand out in a competitive market.

The second and perhaps most important step is understanding your customer demand and analyzing the competitors of your niche.

Only after the successful execution of these two steps would you be able to select the ideal location for your food truck.

Your finances are also a critical element for starting the food truck business. You must be fully aware of the startup cost and the expected revenue along with the break-even of your business.

Last but not least, a strong marketing strategy would only multiply the business earnings. 

Though it is a small business if the petty details are not taken care of might result in disaster, on the contrary, small elements, if taken care of along with a proper business plan only result in the long-term success of the business

Cost of Starting a Food Truck Business

It is very important to understand the costs associated with the business of a food truck before starting this venture because there is no denial to the fact that this business is no less than the business of a restaurant.

You may start a small-scale mobile food business or a large-scale mobile food business depending on your budget.

Please find great small business ideas that give huge success

The cost of starting a mobile food business on a small scale saves an element of cost since the only major cost element is the purchase of a truck. This element of cost can be further minimized by purchasing a secondhand truck.

In the case of a large-scale food truck business, the cost would include a new truck with all commercial-grade kitchen appliances, which may cost around $50,000-$100,000.

This would also require inventory since it is a new setup and thus a few more thousand dollars as an initial cost of starting a food truck business will be required.

Another important element is the licenses and documentation, the fee of which may vary from $1000-$5000 depending upon the area.

Marketing and branding are also crucial elements however this is a variable cost that can be controlled.

In a nutshell, the business of food trucks on a large scale can be started with a budget of around $75000 to $200,000

Food Trucks Business Names

One of the most important things that matters the most when starting a business is the name of a business since it becomes the brand of the business when it grows.

The food truck names should be chosen keeping in mind the fact that it immediately draw customers attention. Following are ten (10) suggested names for the food truck business:

• Rolling Thunder Burgers
• Sauces on Fire
• Juice Land
• Wrap up Truck
• Big Ben Fries
• Humpty Dumpty
• Hunter’s Skeleton
• AK-47
• Buckingham Beef
• Crush on Coffee

Benefits of Starting a Food Truck Business:

Although there are many benefits to starting a food truck business, we will discuss a few that are apparent to everyone. The first and foremost advantage of the food truck business is that it requires a low initial investment. The entrepreneur can maximize or minimize his budget according to his will and business plan.

Secondly. The operation costs are very low in the food truck business as compared to a restaurant since there is no overhead of staff, rent, property tax, etc. The only overheads are maintenance costs.

Thirdly, the food trucks since they are open, attract more customers. Another important point worth mentioning here is that people are more attracted to these food trucks because of their pocket-friendly menus.

Fourthly, they have the flexibility of movement and thus the entrepreneur can experiment with the location of the business. This is a critical point for business since if the food truck business is not successfully running in one place the owner is at liberty to move the whole setup to another place.  

Last, but not least, it becomes very easy for the food truck business to establish its brand. The food truck business owner, if he maintains its quality and pocket-friendly menu along with increasing variety in food, can very easily and soon establish a sound brand in the market. I am aware of this fact myself since a friend of mine started a food truck business a while back and is now the owner of a restaurant.

Conclusion

With every passing day, the food truck business is expanding since people are attracted to its flexibility and mobility of service provision.

It is, however, pertinent to mention here that like any other business, the food truck business also requires a well-made strategy, consistency, planning, and allocation of budget where necessary. 

The food truck business if run with all the above-mentioned points along with a passion for success, can give huge returns and can make a permanent place for your food truck business in the market.