Chances are you're interested in starting a food truck business because friends and family love your food, and you're passionate about preparing it. However, succeeding in the food truck business requires more than just great food at competitive prices.

Starting a food truck business requires careful planning, preparation and hustle. It's about more than just the food; owning and operating a food truck can be stressful and time-consuming, requiring financial and operational management skills and good business sense.

Food trucks are a significant and growing $2.2 billion industry segment in the United States, with revenues projected to increase by at least 6.4% annually through 2030. Profit margins for these types of businesses typically average 3-5% and sometimes up to 15%.

Food Truck Nation

The recent surge in food truck businesses opening, affectionately dubbed "Food Truck Nation," has been fueled by a demand for unique foodie experiences and technology that supports mobile businesses. The flexibility of food trucks, coupled with the ease of connecting with customers via smartphones, offers an appealing alternative to traditional brick-and-mortar restaurants.

The mobile food services industry also includes food trailers, carts, mobile concession stands, food pop-ups at farmer’s markets, etc.

What Makes Your Offering Unique in Your Market?

Launching a hot dog food truck in a market already saturated with similar vendors might not be the best strategy for success. How can you differentiate your offerings? Is there a demand for your food truck concept?

Develop a 60-second elevator pitch for your food truck concept and share it with your free SCORE mentor for feedback. You can also present it to attendees at local events and farmers' markets, as well as to bank loan officers and potential investors. Observe their reactions and the questions they ask you. Did they inquire about your experience in commercial food services? You can also ask them questions like, "Who is your favorite food truck, and why?"

Don’t be afraid to ask other food truck business owners questions as well. Ask what they would have done differently, how did their projections match reality and what tips they might have to offer someone looking to enter the market.

You can use all of this information to fine tune your business model and marketing strategy. It might be necessary to refine your concept several times based on this feedback and market research during the planning stage.

Having What it Takes

If you're concerned about having all the skills needed for success, consider taking the small business skills self-assessment in our free Startup Roadmap online course, specifically in Chapter 2. Don't worry if the assessment identifies areas for improvement. It might simply mean you will need to recruit team members, such as employees, contractors or mentors, with the essential skills to make your business a success.

Launching and growing a food truck business requires hard work, hustle and dedication. Staying organized, flexible and customer-focused is crucial for success.

Remember, SCORE provides free and confidential mentoring. We can help you navigate the startup process, offer feedback on your plan and provide advice once you've launched. Request free mentoring at SCORE.org/find-mentor.

Acknowledgments

Thanks to volunteer members of the National SCORE Food Truck and Mobile Food Services Community of Practice for their contributions to and feedback on this article, including Lori Karbel, Armando Ojeda, Richard Brooks, John Trenary, David Blass, Jim Nordhaus and Frank Taylor.