Calculating food truck set up costs

• Because most food truck budget breakdowns were US-based, we decided to use those to find the key elements required to set up food trucks, and then research those elements individually to get pricing for NY.

Food truck start up expenses list

• Initial costs for starting up a food truck in the US include spending on the food truck or stand, the initial product inventory, licenses, permits, registration, uniforms if applicable, misc expenses like a menu board, pots and pans, customization of the truck or stand to be used as a kitchen, a POS system, marketing
• Ongoing costs that would be paid from the outset include labor, commisary, phone/internet, fuel, repairs, product restock, insurance 
• In the US generally, setting up a food truck costs $28,000 to $114,000.
• The cost of a food truck varies depending on if it is used, or used but with a new kitchen, or completely new ($50-$100,000, $75-100,000 and $100-175,000 respectively)

Food trucks in NY

• There are some particularities about running a food truck or cart in NY. Cart workers have to take an eight-hour class to get a personal vending license, and if applicable, need a frozen dessert permit also. Vendors should bring their carts to a commissary every night for scrubbing.
• Mobile food commissary permits are valid for one year.

NY start up costs:

• License: A vending-cart license costs $200 for two years.
• However, the city has a limit of 2,800 permits at a time and one can wait years to get one, so a black market has developed. It costs $15,000 to $25,000 to “rent” a permit from the original holder.
• Permits: The annual and renewal fees are $50 then $25 for a pushcart, and $100 for a vehicle selling food.
• In one case study, the family in New York took four months to set up their dumpling food cart.
• According to the above family, the start-up costs for a food truck in New York range from $100,000 to $150,000, with the biggest variable being the truck itself.
• Trucks can vary from $50,000 to $200,000 in NYC.

Profits

• A survey of food truck owners in NY, California, Florida, Texas, and Oregan, found that the largest group (34%) had a gross annual income of $100-150,000. Just 22% earned more than $200,000.