Have you been wondering,” Oh wow, now that’s a bunch of new food trucks near me that have opened recently?” It’s because of the gaining popularity of food trucks along with the bourgeoning population in India and how a really good amount of profit can be made. This essay will explain why opening a food truck rather than a separate restaurant is a superior choice.
Let's now walk you through every stage of launching a food truck business in the country.
Draw a business plan
The first thing you would need to do is to draw a business plan for this new business that you're going to start. This business plan will serve as a road map for your food truck's future expansion. It's reasonable to have reservations when beginning a restaurant, big or little, which is why you should learn how to write a strategic plan for your food truck business.
Choose a food van or commercial vehicle
Although starting a food truck business in India may appear difficult. You’ll have to start this process, you would need to choose a food van or commercial vehicle that is perfect for you. Now, you’ll have to obtain the necessary kitchen equipment and basic supplies for a food truck.
Apply for licenses
The next thing on the list would be to establish a food truck business, you'll need to apply for the necessary licences and permits. Be on the lookout for the people who will be needed to keep the food truck running successfully.
Set up a point-of-sale system
Then you would need to try to set up a point-of-sale system for your food truck. Make a creative, appealing decision about your food truck workers' uniforms. Promoting your company by using different methods would only help your food truck gather traction. You would also have to be able to determine how much money you'll need to establish this kind of business. You would also need to check out what all other items would be needed to maintain your food truck business in India running smoothly.
Let's delve that little further so you can have a better idea of how you can put these ideas into action in the most efficient way possible to grow your food truck business in India.
Selecting The Appropriate Food Truck For Your Business
The first step is to select the appropriate truck for your business. The food truck price would be around 7-8 lakh rupees and that's for a fresh commercial vehicle which is at least 18 feet in length, based on the offered menu, which is Continental and Italian. Trucks from Mahindra & Mahindra, Ashok Leyland & Tata, are available on the market.
However, if you want to save money, you can begin with an old truck, which will cost half as much as a new one. When purchasing an older commercial car or truck, however, make sure it has a valid health certificate, licensing, road tax receipt, and insurance coverage. It should also not be older than five years, as several state and local governments and environmental organisations are discussing prohibiting 10-year-old commercial cars in various cities owing to pollution issues.
With an extra cost of 1 lakh Indian rupees from various bodybuilding shops, the old car can be further changed and tailored to meet the requirements. So, excluding kitchen equipment, the overall food truck price would be around Rs 5 lakhs. This appears to be a significant expenditure, but in the long-term, the food cart's cost would be immaterial because there is no or very little rental money or fees to be paid depending on the location.
Of course, there are food truck rentals also which you can rent out and start your business but investing to have your own commercial food van would always save you a lot of money in the long run.
Where Should Your Food Truck Be Stationed?
Pick a street that doesn't have a lot of similar food vendors, and which also has a steady flow of traffic to attract a lot of people and has other establishments with a lot of young students and professionals in the neighbourhood. Truck parking should also be designed so that it is not inconvenient for travellers while yet being visible to the general public. Furthermore, it is preferable to purchase a light commercial vehicle instead of a big heavy commercial vehicle because large trucks are not permitted in certain places, notably Delhi, before 9:00 p.m.
Raw Materials and Kitchen Equipment can be Obtained from a Variety of Sources.
You would need a bunch of kitchen equipment which can all be covered for under 3 lakh Indian rupees. It is preferable to get fresh equipment because much of it is electronic. You would be spared from the regular maintenance cost of hardware because new ones come with a one-year warranty. Also, when it comes to raw materials, for the first week, you can keep raw materials at a cost of roughly Rs 30,000.
Get the Permits and Licences You'll Need to Start a Food Truck Business in India.
These are the number of licenses you would need to get to start a food mobile van business in India:
- NOC from RTO
- Fire Safety Certificate
- Kitchen Insurance
- FSSAI Mobile Vendor’s License
- Shop and Establishment License
- NOC from Municipal Corporation
All these licenses and paperwork will cost you around 50,000 INR.
The Manpower Required for Your Food Truck Business
The food truck sector has a design, and a workshop format to follow. A maximum of two cooks and one assistant are required to manage the full food truck's activities. Chefs' salaries might range from Rs 13k to Rs 15k, while helper salaries can go up to 8000 rupees. You can engage two delivery boys or partner with third-party logistics businesses that charge roughly Rs 40-50 per delivery if you wish to set up a delivery model for the vehicle.
For Your Food Truck using POS Software would Definitely Help
A reliable point of sale system that can keep your data secure and provide specific info about your inventory system is always a smart idea. Considering today's competitive atmosphere, a solid point of sale system can greatly affect your restaurant business, like many restaurants, including QSRs and other food enterprises, leverage customer information to get repeated purchases and gather feedback. One effective point of sale system might cost roughly around 24,000 per year.
Employee Uniforms For Your Food Truck
The restaurant uniform offers the company's overall vibe, which helps you get greater trust from your consumers. A basic collar t-shirt would set you back around Rs 120, and because you only have 5 workers in this arrangement, two chef coats will set you back around Rs 300, while the rest of the staff can get by with a t-shirt and a cap. The total cost of all uniforms would be between 6000 to 7000 rupees.
How to Promote Your Food Truck?
Food trucks, with exception of QSRs, mean minimal menu booklets necessary for distribution because their primary business is foot traffic rather than deliveries. Still, 15000 pamphlets are a good amount of menus that you can use, which would cost you around 20000 rupees, and some posters and banners in the adjacent catchment area, which will cost around Rs 10000, can be used to generate early buzz. Creating an offline buzz, however, is no longer sufficient in the digital age.
Having a social media presence is a necessity, as it will keep your customers and followers updated about the position of a food truck on any particular day, allowing you to develop a consistent flow of consumers and strengthen your brand.
Other Things you Need in your Food Truck Business.
Apart from the items listed above, you'll need two cell phones, a calculator, an attendance record, a daily book, and 2-3 large dustbins to keep the area clean while establishing a food truck.
The food truck business, unlike other food business formats, has its advantages and disadvantages, such as location, which is a problem for other formats, but here the owner of the food truck can choose the location depending on the market research and information, with no rent to pay, no electricity bills, less investment required, and low operational costs.
Conclusion
The food truck company is risky because there is no established framework or set of rules to follow, but if done correctly and responsibly, this form of business in the restaurant sector can be classified as the best food format in terms of investment returns. The initial investment in a food truck is slightly higher than in a QSR, but the good news is that the overall running cost is substantially lower in the long term than in a QSR or tiny restaurant.
FAQs: Food Truck
Q. Who is the wealthiest owner of a food truck?
Ans. After founding the artisan ice-cream truck in 2008 with just $50,000 in the financing, Ben Van Leeuwen who is the CEO of Van Leeuwen Ice Cream is on course to generate $20 million in revenue in 2018. Marti Lieberman's Mac Mart, a Philadelphia-based business, has also opted to open a physical location.
Q. Is it wise to invest in a food truck?
Ans. Food trucks are an excellent investment, and food businesses are among the most profitable. Every year, the majority of food truck franchisees earn up to or over six figures. The popularity of food trucks is growing.
Q. Where are the most successful food trucks?
Ans. Portland, Oregon is a city in Oregon. Portland Food trucks are the most profitable in Oregon and top the list of the best food trucks in the US.
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