The True Cost of Food Trucks


Most people wouldn’t expect a halal truck’s menu to have the same prices as a storefront. From the perspective of the average consumer, food trucks are a cheaper alternative to brick-and-mortar stores— and, historically, this has always been the case.

However, there are many reasons that a food truck might surprise you with similar prices to a traditional restaurant, especially in recent years.

Whether you’re interested in opening and operating your own mobile kitchen, or you’re simply curious about food truck prices, here’s everything you need to know about the true cost of food trucks!

Reasons For High Food Truck Costs

There are a few drivers that raise the price of food trucks. As experts in the industry, here are our top four.

Limited storage.

Limited storage means that food trucks miss out on wholesale discounts. Because they can’t store large amounts of food on their truck, food truck owners are sometimes paying retail for their ingredients, which as you might imagine, can get expensive pretty quickly.

Commissaries offer somewhat of a solution, but they also come at their own price.

Paid parking.

Although a major draw of owning a food trucks is avoiding rent, most cities have certain zoning restrictions that allow food trucks only in designated areas where they have permission.

This means food truck owners do have to pay hefty prices to park in certain areas.

Permits and legislation.

From health permits to insurance, owning a food truck business is a niche that requires a lot of paperwork and approvals that can be costly. 

Economic downturn.

All businesses are affected by inflation and overall economic downturn, and the food truck industry is no different. High gas and food prices drive the overall cost of running a food truck way up.

Price-Lowering Factors

Now here are a few ways that food trucks actually have reduced costs and are more profitable than brick-and-mortar restaurants.

Lower start-up costs.

Food trucks tend to have lower startup and overhead costs than sit-down restaurants, which is a huge cost mitigator, especially  in the initial stages of their business. 

Avoiding rent.

In cities like New York or Los Angeles, rent can be as much as $4,000 a month, but rent is a huge cost you avoid when you work in the food truck industry. 

Mobility.

A food truck makes it possible to operate from different locations due to its mobility, and because of this, you can operate your food truck from various locations and identify the location that has more customers.

Reasons Why Food Trucks Are Still Worth The Price

Despite the rise in the average costs of food trucks and food trailers, they are still a worthwhile business to open and support. As an entrepreneur you should still feel encouraged to open a food truck business because it allows you to break into the food industry with a smaller investment and risk. 

As a consumer, food trucks give you the opportunity to pay for a more dynamic dining experience and higher quality food, all while supporting small businesses. Food trucks also make an excellent catering option when you work through The Los Angeles Food Truck Association. 

Wrap Up

Food trucks are still an excellent alternative to traditional restaurants, as an owner and consumer. However, like all businesses, food trucks come with certain challenges.

We hope this blog was a quick way of illuminating some of the key factors that play into the true cost of food trucks! 

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