Why Licensing your Food Truck Concept Makes sense

Mexicue Food Truck Company

If you are in the Food Truck business, then you are all too familiar with the traditional income / revenue model(s) available. You make money by selling food - burgers, tacos, wraps, etc. for more than the cost to produce and transport these food items.

Why Franchises Have Discovered Food Trucks

There are other sources of revenue one can take advantage of in the food truck biz. One other wonderful way to earn more income with your food truck is by licensing or franchising your concept to others for a fee.

So you have been able to build a successful food truck business based on your own unique concept. You have developed proprietary systems, in-house marketing initiatives and a signature dish or dishes.

People flock to your particular brand because they know what to expect. They know what you stand for.

Since operating a food truck is typically geographically-limiting, and you might have to make heavy capital investments to operate several trucks at a time, you may want to look into allowing others to buy into what you have built via a franchise scheme.

What you will need to do first

To start to craft a plan of action for licensing your feed truck concept, you will first need to hire a competent lawyer to help draw-up the necessary contracts and agreements. You will need to work closely with your attorney to ensure that you generate agreements that are consistent with your brand values, mission and needs.

You will then need to create operating manuals, guides, marketing materials etc. These will help guide your new franchisees through the ramp up phase. You will also need to plan-out what your franchise fees will be and the form in which any cost associated with the franchise portion of your business will take. You will need to craft a marketing plan to attract desired potential franchisees as well as a marketing program to help your new franchise partners succeed once they start.

Check out iFranchise and francomp for more resources to help franchise your food truck business.