Starting your own food truck business can be an exciting move into the world of entrepreneurship. It gives you the personal challenge of becoming responsible for your own profits and managing your own business, as you’re ultimately the boss.
The one problem you may run into is finding out answers to seemingly simple questions. One of those questions is a major one that needs to be answered before most people can even consider investing in this type of business venture: how much is a food truck?
The short answer is that it can cost anywhere between $40,000 to $250,000 to procure all the needed equipment, permits, decorative items like truck wrap, utensils and initial supplies.
The longer answer can involve a cheaper price tag, but it depends upon how you plan to set up your food truck business.
For example, the average minimum amount for a starting food truck can be as little s $5,000. If you want an extremely luxurious, fully furnished truck, this price tag can increase all the way to $125,000 or more.
Suppose that you have all the equipment you need to make your food truck a success. You still have to invest in a point-of-sales system, food, fuel, credit card processing equipment and utensils for your customers. That amounts to at least $1,000 in expenses, which isn’t too bad in the grand scheme of things.
You also need to take into account the costs of running your food truck business aside from the actual food distribution part. In other words, things like public relations, advertising, legal and consulting fees need to be considered, as they run around a minimum of $2,000 dollars for most starting food truck businesses.
While owning your very own food truck business can be a thrilling way to break out into a job that is anything but ordinary, it does require you to plain out your investments beforehand. It’s important to gather estimates from stores, local government agencies and lawyers so that you can get a better idea of what it would cost you to start one.
Your estimate should also include a quote on insurance for your business. The amount you need to pay for insurance is dependent upon the size of your food truck operation, the region where you plan to operate and a number of other factors. That’s why it’s a very smart business idea to contact your local insurance agent to see what type of insurance you’ll need.
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