I Want to be a food street vendor?

   Juan Alvarez asked On Yahoo! Answers

“I want to be a food street vendor?”

 

I am a really good cook. I cook traditional Mexican dishes and Mexican street food. I also cook American food wit a Mexican twist. I know it is easy to say that I am a good cook because it is my food but I have recieved many compliments from people who try my food for the first time. I just wanted ideas and prices on start up costs, permits, and food trailers. I live in Houston, TX.

OUR ANSWER:

   First

·        If you are going to prepare food, the first thing you will need is a license from your state. In Illinois, you must attend a class taught by the state. After the 2-day class, you receive a “Food Handling and Sanitation License.” This helps with city inspectors!

• ·        In Texas, check out this website: State of Texas Food Handler License

• ·        I noticed that in Texas there appeared to be some “on-line” classes that may (or may not) be approved training companies. Learn2serve

   Secondly

·        Here are three website “articles” that may help you ask yourself some important questions BEFORE you spend a lot of money. Try to Google “How to start a street vendor business” for more.

o   Starting a street cart vendor business

o   Starting a food cart

o   Vending suggestions for push carts http://goo.gl/rfjno 

Equipment:

 o   Long list of new Vending cart manufactures http://tinyurl.com/cldk9ss

o   of course check Craigslist and Amazon for used carts

·        A business plan is a fancy way of saying

o   Who are you going to be?

o   What are you going to sell? How much and at what price you need to sell it, to make a profit?

o   Where and when are you doing business?

o   How many customers do you need per day and who will be your customers?

o   How much general liability and product liability insurance will cost? - to meet city permit regulations

o   A business plan article or try to Google “How to write a business plan”

Are you building a “Business” or a hobby? 

     A hobby is if you do it only one or two days a week. You still can write off the expenses of a “hobby” from your taxes, against any small profit you make, for a couple of years (I am not a tax man- so check your state and federal tax laws).

     We realize many “think” that they can street vend forever flying under the radar, living in an informal economy (not paying taxes). For the first year or two, that may doable. Nevertheless, we encourage you to files taxes as soon as you can, because you may soon need a loan or SBA assistance to expand or move into a brick and mortar location.

    Thirdly

When you think you have a general layout for the business, test the market!

Start LOW COST – just buy a card table, a simple propane camping stove hooked up with a Home Depot hose to a 20 pound propane tank, a couple of coolers with Dry ice or regular ice,  two or three 5-gallon water bottles, soap, rags, cooking tools, pots and pans, etc., and maybe a canopy tent. 

Just pay for a spot at a farmers market, the next “seasonal event” in your area (Craft markets, Fair, Carnival, Scare Crow Days, etc.) or talk to the local indoor vendor market and setup out in the parking lot for a fee.

    FINALLY,

IF those small events go well, and people “love” your food, then you can start thinking about

 "location, location, location." 

• Traffic flow and parking,
• Foot traffic and seating, 
• Moreover, does your product add to or subtract from the immediate social environment.

 DO NOT buy into the idea that you cannot be on the same block as another restaurant/food vendor.

 Why do car dealerships, most of the time, setup all on the same one or two blocks? Why do shopping malls have 3-5 large anchor stores all-selling the same “type” of products? Why do many restaurants open short distances from another restaurant? It is called the “ECONOMIES OF AGGLOMERATION” Fantastic big educated words, but most cities politicians ignore them, often to their own financial loss. 

See this article, about a lesson learned too late in New York City: Sold Out by Hillary Russ

 

Wish you the best success! Moreover, let us know how it goes.

Follow us on Twitter. Or Google search our blog site VendorAid (in slow development stage). We try to helping educate cities and vendors on creating jobs threw shared and well-managed resources.

@VendorAid