Food Truck in Delhi is a very fast-growing and a future trend in the Food Business in India. Though the concept of a food truck came a bit late in India but is gaining a lot of popularity. In countries like United States, England, China, Australia food trucks are very popular. And are seen on a large scale as compared to the other countries in the world. With a food truck, a large number of people will notice the foodstuffs available. And once people start liking it, Food business will keep growing. It is necessary to get a license for a food truck.
Opening a Food Truck Business
For commencing a Food truck business it is necessary to get some important permits and license for food trucks. Investment needed to begin a food truck is much lesser than beginning a small shop or restaurant. Investment of around 5–10 lakhs is also enough to begin a Food truck in almost any city in India. It is one of the modern business and can develop into a very large Food Business Operators. It adds an advantage that investment is low and risk is also.
Benefits of opening a Food Truck
- Low investment & low risk: A food truck will not cost you more than Rs.10 lakhs if you spend carefully in India.
- Less amount of resources required for business: One great benefit of a food truck is that you have a low dependence on resources. You can even start with 1-2 resources costing you around Rs.4,000-8,000 per person.
- Learning experience: If you want to learn fast regarding the different activities included in running a food business, this is a great outset point. You can estimate processes of analyzing data, get a safer grip on customer tastes and preferences, do major operational activities, handle marketing, promotions and much more.
- Catering at events: Besides your daily operations, you should view building a few partnerships and cater to events, corporate festivals and more.
How to Apply for License/Registration
- For License: FBO’s need to have an active personal e-mail ID and Mobile Number.
- For Registration: FBO’s need to have a valid personal e-mail ID OR Mobile Number
- The name of the FBO must be spelled rightly in the application as it appears in the License.
- On successful submission of the application, the system will create a unique Reference ID for the application.
- Take a print out of the “Acknowledgment” and “Online Application Form”. Join the Demand Draft for the fee (if payment mode is Demand Draft) and verified documents (Refer Document Checklist) required as part of the application. Submit the application to your State Authority or Regional Office of Food Safety and Standards Authority of India (FSSAI), within 15 days from the date of submission of application online.
Read more about :Get FSSAI License within 15 days
Important Food Truck Licenses and Permits
- Employer Identification Number
You require an employer identification number (EIN). An EIN is used by the IRS to recognize your business & collect the relevant taxes from you, and employees.
- FSSAI License
FSSAI license is all needed for operating a food business in India. The license is issued by the FSSAI to commence the business. (Discuss in Detail)
- Business License
Every food truck business must get a business license to run a food business. Depending on the city and state, and scope of services given, you may be charged a portion of your total sales or an annual fee, along with the license fee.
- Vehicle License
Food truck business is on wheels, you will require a truck & driver license. Depending on the width and weight of the vehicle, some states may need a commercial driver’s license to run your food truck.
- Seller’s Permit
In some states, food truck owners require to apply for a seller’s permit so you can buy food and other goods at wholesale prices without paying sales tax.
- Food Handler’s Permit
Few cities and states need one or more employees of a food truck to get a food handler’s permit. The city or state may need one or more employees to take a food security status before the permit is issued.
- Health Department Permit
The inspection and approval of your local health department will check that the food you serve is being maintained and created securely.
- Fire Certificates
The fire department will inspect your food truck if you’re practicing cooking equipment on board and they’ll do routine inspections on your food truck fire suppression system.
Cost for opening a Food Truck in India
An average food truck can cost anywhere between Rs.8-10 lakhs in India. On the upper end of the spectrum, a fully equipped food truck can even cost up to Rs.20 lakhs.
Here is a complete analysis of the costs involved:
|S.No||Items Required for Food truck||Cost Involved|
|1.||Vehicle||To start things off you will need a truck – you can use a second hand one or you could buy a new truck. Typically a truck will cost you a minimum of Rs.4 lakhs.|
|2.||Equipment||You will also need to invest in essential kitchen equipment as a one-time investment for your truck. You may require to put a few tables and chairs so that people will have the choice to sit if they’d like (although this isn’t compulsory). All the equipment put together will cost you around Rs.2 lakhs.|
|3.||Raw Material||You will require a stock of inventory or raw materials to prepare the meals. That would cost you about Rs.20,000-30,000.|
|4.||POS||Your POS is much more than a standalone piece of technology that takes care of your billing and technology. It is matched to various key business functions including CRM, analytics, and inventory. A good POS will cost you around Rs.25,000-30,000 (6-month pack).|
|5.||Staff||You will require to hire some resources to handle the key everyday operations of your business, especially in India, the costs of appointing staff are not that much. You can leave aside around Rs.13,000-15,000 per month per person.|
|6.||Marketing||Like any other business, sales will come in only if you are promoting and advertising your business the right way. Marketing will involve both offline and online promotions costing a lot of money. You should keep aside at least Rs.20,000 a month for your marketing.|
How to get an FSSAI license for a food truck Business?
In the present scenario, the food business operators (FBOs) can easily register their business.
1) By submitting the registration and license application by the online application system. Now the FBOs are not needed to transfer the application online or by visiting the registration center. FSSAI provides a user-friendly platform for the FBOs from where they can easily apply and get the License/Registration Online.
2)The FBO needs a valid mobile number and email ID for registration. After giving the relevant details, the FBO can apply for the FSSAI registration of business.
3) On the successful submission of the application, and confirm receipt or reference ID is made by the system for the reference. If the FBO meets all the requirements and rules, they are given the license certificate by an FSSAI food authority of India.
4)The FBO can also review the status of their application online and can make their payment online.
After getting the license or registration certificate and completing the validity period from1-5 years an FBO can also apply for the renewal of a new license, modification, or request a duplicate license. Keep in mind that the FSSAI license is given by the Food Safety and Standards Authority of India ( FSSAI). Its powerful body is responsible for food security in India. So they do strict checking and inspection for food trucks as well.
What is the FSSAI License requirement for setting up a food truck business?
As a Food truck operation, you may enroll for FSSAI License if your turnover is more than 12 Lac in a Financial year (State FSSAI License). For each food truck VAN, you need to apply for one FSSAI License. The Food Safety and Standard Authority of India (FSSAI) has started the registration of the street food vendors in the whole of India. In exercise of the powers given under section 92 of the Food Safety and Standards Act, 2006. FSSAI has introduced Draft of Food Safety and Standards Regulation, 2010 under which Part 3.2. It makes it necessary for all FBO in the country to register or licensed following the procedures laid down in the regulation.
The Registration of the food vendors has begun since April 2014 in various cities across India. The food vendors can go with valid documents to nearby General Resource Centres of their cities and do the registration.
A lot of the FBOs are opting for food trucks and they are getting a better opportunity to commence a business in the food industry with a little investment. The food truck idea is growing at an alarming rate, and the competition makes it just a better option for the customers to have the comfort of enjoying various food items at affordable prices. But, there are some points to be viewed before planning to start a food truck business.
Major Documents required for the Food Truck Business :
- Form A complete and signed
- 2 Passport Sized Photographs
- PAN Card of the FBO Owner/Proprietor/Partner/Director
- Proof of Possession of the Premises
- Property Papers – if the property owned, Utility bills (Electricity or water) or Rent Agreement – if the property is on rent
- Partnership Deed
- Complete list of food items the unit will be processing
Setting Up the license for food truck
1)Location- The location picked up for the food truck business must be the best. There should be 3 must things i,e. Vehicle parking, Visibility, and Competitor Mapping. They are major ones that find a good amount of open space, pick an area which is frequently visited by people like a mall, parks, etc.
2) Build your brand name: Do competitor research along focusing on the target audience. What makes you stand out differently is a very important fact to know about your food truck business. Focus on The USP (Unique selling price) of your business.
3) Health & Hygiene: Food trucks normally operate a business in very small areas. Business owners must be very cautious of kitchen hygiene, air pollution levels, and food waste management.
4) Marketing of Food truck: To market your food product you have 2 ways online & offline promotion. In online promotion, you can write blogs, make a website, use social media promotion, SEO and Run online Ads. For offline promotion make brochures, pamphlets, hoardings, etc.
5) Keep your prices cost-effective: You can offer discounts or make deals of buy one get one. Make prices affordable and feasible.
Don’t keep the prices so low that you’re not able to make ends meet, neither keep them so high that you end up disappointing consumers.
Most of the business does not begin due to a lack of awareness and no proper support in the documentation part. We at Fssaifoodlicense.in are there to help you with your Food Truck Business. We will make sure that your food truck Business Idea is to be perfectly executed. And your dream does not get shattered in the whole and lengthy process of getting so many permits and other guidelines. Visit us and let us know your plan, we will assist you in getting all the permits and licenses required for the same within no time and at a reasonable rate.
Log into our website Fssaifoodlicense.in or ring us at 8750008844.
Frequently Asked Question
A food truck is a huge motorized vehicle, such as a van or trailer, equipped to cook, make, serve, and sell food.
To apply for the FSSAI License in the food truck business :
1) Choose among- Basic FSSAI registration, State FSSAI License & Central FSSAI License.
2) Fill the FORM- A or B according to eligibility.
3) Complete the documentation.
4) Submit all the documents and wait for the approval of the application.
5) In 15-30 days you will get a 14- digit number & FSSAI approval on Mail Id.
There are various licenses and permits like Employer Identification Number, FSSAI License, Vehicle License, etc.
To start a food truck business in India you can start with between Rs.8-10 lakhs.
For commencing a food truck business in India :
1) Market Research
2) Acquire Permits & Licenses- FSSAI License, Vehicle License, etc
3) Promotion Strategies- Online & offline promotions
4) Set affordable prices for business
There are various food trucks in Delhi like :
1) The Lalit Company
2) Masca Bites
4) Burnout 2.0
5) The Flip on wheels
1)Research the Market
2)Determine Your Niche
3)Find Out USP
4)Buy a Truck
5)Protect Your Business
6)Build Your Budget
In most cases, food sold by food trucks is completely taxable and you must easily charge sales tax at the location where you make the sale.