Food on wheels has quickly become a worldwide trend, from bustling cities to sleepy towns alike. If you want to start a vendor cart business of your own, however, more is required than simply carts and products.
Your cart must represent your product accurately while being easy for you to operate - simple, durable, and dirt-resistant are essential characteristics. In addition, you need a plan.
What to Sell
At the core of any successful street vendor cart business is selecting merchandise to sell. From food to non-food items, certain requirements must be fulfilled depending on where your cart will operate in relation to vending regulations within its municipality - these may include obtaining an operating permit; liability insurance; health permits (if appropriate); an area to store inventory when not in use and an area for storage when not active - this list doesn't contain everything that may be needed depending on location and municipality vending regulations; for those operating their business on municipal land contact their city's Small Business Administration office or county clerk's office to determine whether there are specific rules or guidelines in their municipality regarding where your cart can operate successfully.
If your business will focus on providing food services, spend some time watching how vendors in your neighborhood operate. They should be able to give an approximate figure for how many customers per hour and which times of the day or week are their busiest; using this data as a basis for making decisions regarding what items and quantities to provide customers.
For those selling non-food items, when planning to sell these goods it's important to understand your target audience's needs. Consider social, cultural, and religious considerations that might impact which items or services you plan to sell as well as price point comparable offerings from local stores and service providers.
As well as selecting their product line to sell, street vendors must design carts that complement them. A proper cart should reflect the brand of product you will sell while being easily cleaned and capable of withstanding weather conditions such as wind and rain. Furthermore, adding customer convenience features into their cart can increase customer experience such as storage areas for packages or money and providing protection from traffic fumes.
Elsa, a street vendor from New York City, had her customers turn against her when pedestrians videotaped her being handcuffed by police while selling churros from her cart in Brooklyn. This incident spurred State Senator Jessica Ramos' push for legislation that would lift vendor permit restrictions within New York City.
How to Sell
Your eyes have probably caught sight of a roadside cart selling churros or hot dogs, or one on the beach selling frozen treats - although you might not realize it at the time! Most vendors operate illegally due to regulations surrounding food handling and street vending being so complex it makes obtaining permits impossible for most small businesses that wish to vend in public areas such as sidewalks.
Step one of starting a street vendor business is selecting your products and services to offer. While this might seem obvious, it is crucial that you consider what items/services will appeal to your target market as well as how much to charge them for it.
An effective way to do this is by visiting street vendors already operating in your area and taking note of how many customers they attract per hour and during their busiest period. Also ask these vendors about their suppliers (i.e. wholesale distributors, food manufacturers, green markets or farmers markets). This information will allow you to better estimate the stock and supplies that will be necessary.
Once you know what products or services to sell, the next step should be purchasing a cart or truck to transport them. Visit several cart suppliers and talk with other vendors about their experiences before selecting one that can easily set up, clean, and move; reflect the look of your business; include customer-convenience features (e.g. a place for packages or money to rest, wind-resistant design and rubber wheels); as well as meet local health standards in your area.
Once your business plan is in place, the next step should be determining which permits and licenses you'll require for its operation. Many cities have regulations about how close a cart may come to buildings, advertising guidelines, and size requirements for street carts. Some may require liability insurance, permits, or proof of identity as well as plans for keeping your area around your cart tidy.
Street vendor businesses tend to thrive more in larger cities or major metropolitan areas; however, medium-sized towns can still benefit from street vending if there is sufficient foot traffic. Plus, it can be both fun and profitable!
Where to Sell
Many street vendors, whether they operate carts, concession trailers or trucks, employ a central theme in their design, branding, and menu planning. Attractive carts or trailers should reflect their product or service and create a memorable brand for their vendors; whether the concept be as basic as a food stall in a busy plaza or more intricate like mobile upscale diner operations, its theme should remain consistent across every aspect of business operations.
Before choosing where to open up shop, research the local rules and regulations. State and city laws often differ significantly when it comes to licensing street vendors; contact civic bodies responsible in your city in order to understand which requirements must be fulfilled in order to be licensed as a street vendor.
Depending on what food products your cart will sell, licensing as a food handler may be required and must adhere to strict health guidelines. If selling prepacked goods is more your style, the rules may differ depending on whether or not it will be located on public property such as sidewalks, in front of buildings, or within a shopping mall.
Location is of vital importance when it comes to vending cart success. Choose a site that will be visible to potential customers while not interfering with pedestrian or traffic flow, such as shops, transit connections, and public restrooms. Furthermore, provide seating space or somewhere for customers to drop trash cans off at your cart.
If your location does not offer designated street cart parking spaces, establishing a maintenance policy will be key. Some cities mandate that vendors maintain an organized area around their cart. You will also need to determine who will clean them - either building maintenance workers or vendors themselves; the latter can be particularly important given that some municipalities charge fees for special events or public space maintenance such as New Orleans' 10-day Mardi Gras festival or Eugene, Oregon's street vendor fees.
Marketing
You've likely seen them: taco trucks and churro carts on city sidewalks, vendors selling ice cream on beaches, and fruit carts at street festivals. What you may not realize is that many of these entrepreneurs operate illegally due to health codes and food regulations, making it difficult for those without resources to rent or buy pushcarts to secure permits for operation.
But times are shifting: Last year, Governor Gavin Newsom signed legislation providing people with an easier path for operating food carts and obtaining the necessary licenses, while local governments have responded by passing policies designed to foster growth while simultaneously addressing any concerns in this space.
The first step of launching a vendor cart business is finding the ideal location. Physical parameters of an area - such as sidewalk widths, pedestrian traffic patterns, and availability of parking - play an essential role, as do nearby elements like waste receptacles, newsstands, eateries, and seating areas.
Potential vendors should also conduct extensive research into their city's code requirements regarding the merchandise they intend to sell, in order to determine if a permit will be necessary. Some types of merchandise require different permits from one city to the next and may impose restrictions or fees; in New York City for instance, individuals selling prepackaged food (hot dogs or bottled water) do not require permits; however, those preparing food on-site or scooping ice cream must complete a special course on food safety with letter grades comparable to restaurant grades in order to receive letter grades comparable to restaurant grades.
Once an individual understands their code requirements, they can begin researching the most efficient means of procuring products and equipment necessary for a vending cart business. This may involve wholesale food distributors, manufacturers, local or regional suppliers as well as green markets or farmers markets supplying these supplies. It would also be wise to observe other vendors in your locality to learn from how they run their businesses and any mistakes that they might have made - something other vendors in your vicinity may do well doing too!