How To Start a HotDog Cart Business in 8 Easy StepsFTahbaz
How To Start a HotDog Cart Business?
Starting a hot dog cart business is a profitable venture because it offers a basic human need: food. This type of venture has the advantage of being mobile, which allows you to travel between places and target the best locations concerning the competition and demand. It is very straightforward to begin from the bottom up, versatile, and inexpensive.
There are no shortcuts to success. When launching a new business, enthusiasm is essential, but so is careful planning and preparation. Here are the eight steps to getting started in an American hot dog cart business.
While following these steps does not ensure success, you may begin a rewarding new career if you combine them with determination and hard work. The following is an outline of what it takes to set up your business.
1. Examine the locations of potential vendors.
Carefully consider the various potential locations for your hotdog vending cart before making a final decision. Identify and select the most suitable locations, then check to see if they’re still available. You might have to pay rent to private or commercial property owners in exchange for a valuable site in a mall or parking lot. If you plan to park your cart on public property, such as a park, sidewalk, or street, you may also need to obtain a location permit in addition to your business permit to do so legally. Details on location and license requirements should be obtained from the appropriate municipal authority.
When it comes to food vending cart locations, high levels of foot traffic are required. It needs to be situated close to a large number of workers, tourists, or buyers. It is even preferable when there are no other competing food establishments in the immediate vicinity. Some examples of potential permanent locations for a hot dog cart include the following:
The parking lot of big retail stores, factories, malls, or plazas.
In an industrial park or a commercial complex.
Park, seaside, pier, zoo, and golf course are all nearby.
Parking lot or a street corner in the heart of downtown.
University, college, and high school are all options.
A courthouse, a military base, and a government complex are all nearby.
Transportation hubs like bus stations, train stations, subway stations, airports, marinas, truck stops, service stations, and car washes.
In addition to maintaining a regular daily permanent position, many hot dog cart operators set up shop at temporary locations to capture additional business after hours and gain more publicity with their customers. These temporary locations have the potential to be highly profitable financially. Some examples of these are:
Sporting events and tournaments ranging from minor league to professional level.
Car rallies; farm shows; boat shows; air shows; industrial shows; home shows; county fairs; cultural events; carnivals; fishing derbies; auctions; parades; flea markets; music festivals; antique and craft shows; and tourist destinations.
Grand openings, open houses, sales events, business anniversaries, company picnics and banquets, and conventions.
Charity events, church, club, and school functions.
Large construction sites.
Catering birthday parties, anniversaries, bar mitzvahs.
2. Choosing the most appropriate hotdog cart for you.
Next, carefully consider which of the WillyDogs carts is the most appropriate for your company’s needs. Make your decision based on your anticipated daily sales volume and the menu options you intend to sell. Assess which cart choices you will require to run your business efficiently, securely, legally, and successfully.
3. Obtain a business permit as well as a license for your location.
The next step is to apply for a business license with your local government. These generally range in price from $60.00 to $350.00, based on where you live in the location.
In addition, the local government may require you to obtain a different vendor location license for every area you intend to use.
To set up at unique temporary venues such as sporting events or car shows you may need an event license.
In some locations, all three of these are necessary. In other sites, only a business permit is required to conduct business. Obtain information from your local authorities and inquire about all three of these kinds of licenses. Research the rules and regulations that apply to food vendors in your area. Much of this can be completed through the city’s website.
4. Obtain a permit from the health department.
Depending on the county, this license may cost anywhere from $50.00 to $250.00. Check out our Health Department Help section on this website for information on finding and asking your local county health department.
You may or may not be required to complete food preparation and handling course. If not, please know it is an excellent course to take to protect yourself. The food handling course may last anywhere from 4 hours to several full workdays. The information provided would be comprehensive and include all local county health requirements for your hot dog cart. You should expect to pay a separate charge for this course. It may be provided by the local health department or by a food service company that the health department has approved.
Depending on your state’s health regulations, you may be required to submit information about your hot dog cart quality standards to make sure that the hot dog cart will comply with all of the health codes in their area. Drawings and specifications are available for download from our website in the Cart Selection section, which contains photographs of all the different hot dog carts available.
Some county health departments will inquire whether or not the hot dog cart has been NSF approved. The NSF (National Sanitation Foundation) is a quality control organization that confirms that food equipment fulfills specific operation, design, and construction standards. The NSF also ensures that food equipment is free of contaminants. WillyDogs does not have a problem getting this approval because they are the industry’s leader in hot dog cart design and production. NSF authorization is a chargeable alternative on WillyDogs hot dog carts due to the additional time and effort required to obtain it.
5. Suppliers should be established.
For the consumable materials you will need to run your hotdog cart and the food products you will be serving, you will have to identify reputable local vendors that can provide you with high-quality products at competitive prices. You will market a variety of items such as meat, condiments, drinks, and side order foods in addition to cleaning products, paper goods, propane, and other such items.
For your hot dog buns, look for a local bakery in your area. You might want to have several different sizes, such as standard and large, a luxury bun, such as a cheese bun or even an onion bun, on hand.
It would be best if you looked into a local meat provider for your hot dogs. The options you can make available to your customer can vary to the area in which you live. You may choose to provide standard hot dog size, giant hot dog size, polish, garlic, spicy, bacon-wrapped.
6. Make sure you have financing
If you need financing to launch your new business, you may contact your bank to inquire about a business loan or line of credit. Alternatively, we may connect you with one of our financial specialists.
To approach a bank or investor, you may be required to write a basic business plan. Many online resources can help you with this. You may seek assistance from a government group that aids new business start-ups.
Before a bank or finance firm lends you money, they will want to see that you have done your research and that your business plan is in order. Create a list of your initial investments, including the price of the hotdog cart, the cost of numerous licenses, permits, inspection, training, site rent, startup inventory, commissary costs, auxiliary procurements, and insurance. Other company expenses may include bank accounts and cellphone.
The lending company will also want to ensure the viability of your new venture. They will want to see that you have conducted a prior market analysis. You must conduct extensive scouting and documentation of information about your location, including the demographics of the possible customer market, the level of foot traffic, and the location and number of competitors.
7. Ordering your Hot Dog Cart
At Willy Dogs we are equipped to help you every step along the way.
To begin your order, you will need to provide a 50 percent down payment, followed by the remaining 50 percent if the cart is ready to be shipped. Make sure to include all the necessary cart options in your order at the time of purchase. Please consult with your local health agency to ensure that it will fulfill all of its criteria, such as the number of sinks required.
The delivery time could be a few days or weeks, depending on the number of orders and supplies. When you place an order, you should be given an estimate for delivery time. Make use of the downtime between contracts to tie up some loose ends with the other distributors, the health department, the commissary, and the location’s landlord. It would be a fantastic time to complete your foodservice handler training program; hands-on training is beneficial whether required by law or not.
The cart will be delivered completely crated to ensure its safety throughout shipment. It is expected to arrive in perfect shape, but damage can occasionally occur. Once you have received it, unpack it and check it for completeness and damages before using it. Make a note of any visible damage on the transit company’s bill of lading before signing it. Tell the driver to sign damage that has been noted—using a camera phone, taking pictures of the damage once you open the crate.
Please become familiar with the features and functionality of your new cart while at home BEFORE taking it to your vending location for the first time. As a test run, throw a hotdog festival for friends and family. This would provide a pleasant, patient audience and would draw attention to any items you may have neglected or processes you may need to practice more thoroughly in the future. Inquire about their opinions on your goods and service and presentation, and make sure they are realistic and reasonable.
8. Follow the procedures outlined in the Operations Manual
Thoroughly get to know all the details of our Operations Manual on our website.
The operations manual will guide you through the daily operations process, ensuring that you, your cart, and your customers remain healthy and happy throughout the process.
There are various forms and checklists inside the manual that we have made available to make your daily tasks easier.
The journey toward operating your own food cart business is summarized in 8-Easy Steps!
We will send you a copy of our Willy Dog’s Operations Manual to help you jump-start your food cart business.