Opening a Food Truck
Food trucks are all the rage and they have much lower entry costs than opening a restaurant. You have fewer employees and can test out your menu in ways a restaurant cannot. If you are looking at starting a Food Truck there are many factors to consider. You have the big costs like buying the Food Truck to your daily food costs to Food Truck Insurance. It is not just about buying a truck and some ingredients. You need to look at licenses, and I am not talking about a driver’s license. In many area’s you will need to be licensed to operate in the city you are in and will need health inspections. Make sure you contact the individual cities you will operate in.
Food Truck Budget
Next, once you understand those licensing rules you need to look at the Food Trucks themselves and make sure you understand the costs for both the Food Truck and the other equipment you will need to operate daily. You will also need to do estimates on your fueling costs as this can be a big expense especially in big metro areas like Los Angeles.
Food costs will be next, you need to understand your pricing and make sure you will make a profit for each dish sold. How much raw ingredients will you need to purchase daily, then what are your labor costs? You need to know how much profit you make from each dish sold.
Once you got all this down it’s all about locations and what they require to let you setup. You need to scout out the locations, make sure it is ok to park and see if there are fees to do so. With Food trucks it is all about location to start. People will not just find you in the middle of nowhere. It is not if you build it they will come! Once you have locations you need to make sure you are on social media. Facebook and Twitter are a much and you need to ask customers to follow you on both as when you get a following people will then come to you.
Food Truck Insurance
The last bit is also very important and you will need to factor it in and that is Food Truck Insurance. What type of Food Truck Insurance do you need? The biggest factors will always be Auto Insurance and Liability Insurance. When it comes to the auto insurance you will need Liability insurance as well as comprehensive and collision as you want to protect your truck should you get into an accident.
The next Food Truck Insurance need is the Liability insurance. This is insurance should anyone get hurt or sick from your product. In fact a lot of event spaces will require you to carry this.
Lastly, when it comes to Food Truck Insurance you may need Workers Compensation in case any employee is injured while on the job and as a owner you can cover yourself as well.
Food Truck Insurance is a requirement and should be factored into your budget.
When starting any business you need to come up with a plan and a budget. Factor in everything and do a lot of research. Only the prepared can succeed.