How to start a food truck business in India? [Business Plan]
Updated: Aug 1
Starting a food truck business in India has become popular lately in the restaurant industry. This business gives the business owners, access to a variety of locations, and also the initial investment is much lower than a stationary restaurant.
Aroon Narula started the concept of food trucks in India in 1976. Since then, the industry has grown considerably. The food truck business in India is growing at a rate of 8.4 percent annually. So, this is the best time for anyone to start a food truck business in India.
This article talks everything about how to start a food truck business in India, what is the food truck cost in India, is the business idea profitable, what should be your food truck business plan in India, and more.
Is the food truck business profitable in India?
The simple answer is yes. A food truck in India can easily earn Rs 35,000-40,000 per day. In India, food truck owners earn up to 2-3 lakhs, and even more during festive seasons.
You might be wondering now what about the initial investment? What is the food truck cost in India? The initial investment for a food truck would be around 8-10 lakhs. The investment can be recovered with a few months of good business.
How to start a food truck business in India?
Food truck business plan in India
The first thing you need to do is make a business plan. To make a food truck business plan, you need to decide what type of food you want to sell. Food trucks are popular because they provide customers with high-quality, affordable cuisine. Your options include:
Fast-food – This is where the customer takes their own food (burgers, sandwiches) or orders them from the menu at your truck right then and there.
Drive-thru – In this case, people order their meals ahead of time so that when they arrive at your location, all they have to do is drive through and pick up their order on the way out again!
After you decide the type of food you want to serve, dive into other aspects of the business. Here is a step-by-step guide on making a food truck business plan and starting your food truck business in India-
Decide your food truck theme.
You'll want to choose a theme that is relevant to your location, target audience, and skill set. You also want to consider whether you have the budget for it. If so, great! The biggest hurdle in starting any business is getting people interested in what you're doing. Once they see how tasty your food is and how much better than other trucks' fare, they'll be hooked!
The most effective way to do this is by having a unique menu with something that can't be found anywhere else. This will help differentiate you from other restaurants on the street that might already have established identities as well as their own loyal customers who frequent them regularly during lunch hours each day.
Also, read - What is Menu Engineering?
Get your paperwork in order.
You will need a business license, food license, and health license to run your food truck business. You will also need vehicle registration, commercial tax registration, and a bank account for the same purpose.
You must also get your insurance policy in place before starting up because it is mandatory for every business owner to have some form of coverage against any kind of loss or damage caused by his/her employees or customers during their operations (e-commerce firms are exempt from this requirement).
Also, check - What licenses are needed to start a restaurant in India?
Choose the right location
Choose a street that doesn't have too many comparable food sellers nearby, has a steady flow of traffic to attract huge crowds, and has places with young professionals and students nearby. Furthermore, truck parking should be done in such a way that it does not impede commuters while remaining visible to the public.
Source ingredients and equipment
When you're buying your equipment and ingredients, the first thing to do is get a list of local suppliers. Buy from them instead of online or at big-box stores like Amazon because they'll give you better deals and service.
If you want to buy used equipment, ask around in the community or on Facebook groups for recommendations on places where people might be selling their old stuff. You can also find used trucks online by searching through Facebook Marketplace listings or Craigslist ads looking for "food truck" options near your area. Buying wholesale goods is another way to save money on initial investment costs—you’ll probably pay less than if you bought all new equipment from scratch!
Finally, don't forget about bulk discounts—you can often get better deals when purchasing larger quantities than smaller ones; these savings add up quickly over time as long as one item doesn't end up costing more than others do.
Launch your food truck
Now that you've established your business and have everything ready, it's time to launch your food truck. You'll need to create a marketing plan, social media strategy, and website before taking the next steps. A good first step is to have a presence in the local food truck community (like Facebook groups). Also, consider connecting with local bloggers who write about new businesses in your area so they can review your services when they're available!
A lot of restaurants keep track of their data using point of sale software. POS software stores data about repeat orders, inventory, sales, etc. So, having POS system in your food truck business is recommended to keep all the data safe. POS software can be used to punch-in orders, print KOTs, print receipts, and manage the customer database. Investment in good food truck POS software is definitely worth it.
Also, check - What is POS Machine & How it Works?
Don't forget to market your business
Social media - Facebook and Twitter are the most popular channels. You can use these to announce events, post pictures of your food trucks, and interact with customers.
Online reviews - If you want your business to succeed, it's important to get as many positive reviews as possible. Find people to review your food and the experience they have at your food truck. This will help you attract more clients for your business.
Flyers - Print out flyers that talk about your food truck and paste them in different places.
With minimal investment, you can start a successful food truck business in India by following this guide.