How much does it cost to start a food truck business?
In the last decade, getting associated with the not a complete restaurant, yet a food service delivery, food trucks that offer different types of cuisines and a variety of specialties and local menus have become particularly popular. Recent surveys suggest, Food truck industry to amount around $1.2 billion and still growing, making it the most lucrative for entrepreneurs and start-ups today to invest in anywhere around $50K to $200K.
A general food truck requires:
- A fixed address to accept delivery of supplies.
- A commercial kitchen is a must to have for doing the food preparation.
- There are a variety of permits to obtain for running a food truck.
- A health code is a must to observe while running the food truck.
- Labor and fuel costs are also a significant part of the overhead.
Food truck business Cost
If you are thinking and pondering how much it costs to start a food truck? And your sole concern is the cost for starting a food truck and is holding you back from achieving your dreams, you need to hesitate no longer. Food trucks are essentially micro-restaurants on wheels, and that’s what makes it lucrative for start-ups today to join this industry. Rather than opening up a restaurant that costs you almost ten times more, you might as well open up a food truck and gain almost the same profit. Starting a food truck that is mobile, will cost you varyingly upon the choices you make which can typically range from $28,000 and $114,000.
- The initial product inventory for operating a food truck varies from anywhere around $1000 to $2000, depending upon the dish or beverage you plan to serve and the cuisine under which the dish falls into.
- The permits and license which are the most essential part of the food truck vary from locality to locality and may fall anywhere under $100 to $500.
- Food trucks operate smoothly if they are operated with a website, which can cost you anywhere from $0 to $500 depending upon the facilities that you plan to give in your website and the payment gateways.
- Paper products are must to have in a food truck, in which you can serve the delicious dishes that you make. They costs around $200 to $300.
- Apart from Paper products, pots and pans is what will cost you somewhere around $1000 to $2000.
- Fire Extinguisher is must because of the government norms. It may cost you somewhere around $100 to $300.
How to save?
The basic way to save while operating a food truck is to do as many as tasks on your own, as many as you can. Be it buying and storing of the inventory or as serious work as cooking. There cannot be any single thing which you cannot do if you plan to do it. In these ways you can cut labor costs, which can sum up to be around $500 to $700 per month.
You can also save managing your wastes. By ensuring you do not waste or optimizing your waste one can save on inventory up to 10 percent of the cost that he/she spends on buying of inventory.
Food Trucks are themselves a way of saving yourself from the huge costs that restaurants are bought in at so once you are on it, you don’t want to spend unnecessarily.