Whether you want to break into the food industry or expand your restaurant, starting a food truck business is definitely something you should consider. Initially, food truck businesses sold only simple fare, but nowadays there is much more variety. Here are 10 things you should know before you decide to start a food truck business.
1. Laws About Food Trucks
The very first thing you should do is consider the laws about food trucks in your neighborhood, as well as neighborhoods around you. There are some neighborhoods that disallow food truck businesses. Check out if your town or city has restrictions for mobile vendors. You need to know exactly where you can set up shop before you do anything else.
2. Finance for Commercial Truck Business
The second thing you need to be aware of are methods in which you can finance your food truck business. Of course, such a business is far cheaper than a brick-and-mortar restaurant, but it is by no means cheap. A used food truck will likely cost you thousands of dollars. Unless you have plenty of extra money not going to to use, then you will need to figure out how to finance your food business.
3. Licensing and Permits
You might have to apply for permits and special licenses in order to run a food truck business. Of course, this depends on where you want to do business, because different areas have different rules and regulations. Make sure that you apply for licenses and permits earlier rather than later, because some areas have a limit when it comes to the number of permits allowed. This limit results in an incredibly long waiting period for those who want the required licenses and permits to become a food truck owner.
4. Health and Safety
Health and safety is just as important for a food truck business as it is for a brick-and-mortar restaurant. You need to become aware of all the steps you need to take to ensure the safety of bot your employees and your customers. Apply for a health license and have a local health inspector inform you of all of the regulations, so you know exactly how to keep your business safe.
5. Competition in the Food Industry
Most likely, some restaurants aren't going to like you setting up business right near them. Competition in the food industry is always intense, so it's best that you don't park your food truck near restaurants.
6. Location, Location, Location
The success of your food truck business depends largely on location. One great advantage of a food truck business over a brick-and-mortar restaurant is that it brings the food to the customers. Before you pick a location, you should do some research, so you know exactly where the customers are.
7. Good Dining Experience
Even though your customers obviously won't be dining in, you still need to focus on providing a good dining experience. Ensure that the menu is clear, easy-to-read, and has a lot of variety. The customer service should be impressive and the food should blow your customers away. If you have all of these criteria, you can ensure many customers will come back.
8. Social Media
Believe it or not, but social media is an excellent way to promote your food truck business. Websites like Twitter and Facebook for businesses are great ways to advertise where you'll be going everyday and any specials.
9. Expand Your Business
Once you have your food truck business up and running, you should definitely consider expanding it to catering. For example, you can cater weddings, holiday events, dinner parties, and other evening and weekend events.
Check out Beyond food truck: The unique advantages of mobile businesses
10. Plenty of Work
Know that as the owner of a food truck business, you will always have plenty of work to do. You will likely have to work long hours and juggle different positions. It won't be easy, but it will definitely be worthwhile.
Author's Bio
Phillip Gruppelaar is the owner of Harley Finance www.harleyfinance.com.au - Australia’s largest grey import, truck, equipment and machinery finance broker. Contact him if you have any questions about your truck finance.