Buying or Franchising: Which is right for you?
When talking about starting your own food truck business, buying a food truck is what usually comes to mind. However, there is another option that is often overlooked and can be extremely profitable. Franchising a food truck can be a great way to get into the mobile business industry with less risk.
Buying a Food Truck
Maybe you have a dream of becoming an entrepreneur and being your own boss. Maybe you have some great ideas on how to make your own unique food business. Whatever it is, buying your own food truck is a great option for many to give you control of your business but, it is HARD work!
Pros of Buying a Food Truck
Complete control: One of the biggest benefits of starting your own food truck business is having complete control of every aspect of your business. You get to make the decisions and get to be your own boss. If you think something should be changed, then you have the power to change it. You get to choose the menu, the design of the food truck, when and where it operates, and hire your staff.
It’s an investment: When you purchase your own food truck, you are acquiring assets and that means that if something doesn’t work out, you can sell those assets. You can make a significant amount of money by selling your food truck, or the components of it if you choose to leave the industry.
Less expensive: This may seem counterintuitive but by purchasing your own mobile business, you can save a lot on the start costs. You can search around for deals on trucks and get one that suits your price point. With franchising, there are standards you must meet and these are often expensive.
Cons of Buying a Food Truck
The risk: Just as with every business, there is a lot of risks. When you start your own food truck it is most likely your own money that is being put on the line and what happens if the business doesn’t work out. There is nothing to bail you out and you can often be left in financial trouble if the business fails. But with big risk comes big reward.
Rules and regulations: There are quite a few rules and regulations that you must follow when starting your own food truck. These change for every location and can be difficult to ensure that they are all followed. With your own business, it is your complete responsibility to follow these rules and regulations. Our sales team can help you navigate these – just ask!
Building your name: You are starting from the ground up, and it is up to you to get your name out there by properly advertising, and having a quality, consistent product. Franchises have the advantage of already having an established name and set menu. People already have expectations of what that brand offers.
Franchising a Food Truck
If you’ve always wanted to run a food truck business but you don’t want all the work of starting your own that comes along with it, then franchising can be a great option for you.