Over the last few years, food service carts have sprouted all over the metro — from MRT and LRT station, malls, sidewalks,church, schools, markets etc.- name it and for sure, you’ll find a food cart there. Today, there are about hundreds of different food cart formats available in the market–pizza, waffle, fishball, siomai, pearl shakes, baked goodies, rice in a box, hotdog and a lot more.
Small capital, easy set-up and a good chance of success are just some of the reason why Food Cart Business is thriving in the Philippines. If you will look at the market trend today, Food cart business is the choice of most aspiring entrepreneurs.
A mobile food cart is a business where you can start on low capital ranging from P30,000 to a maximum of P300,000. But it could be a little lower though, depending on how you will put it up — by franchise or on your own.
In fact, even big fast-food chains are using food carts for their events or promotions.
Industry estimates show that the country’s different food cart formats – from pearl shakes, baked goods, siomai, fish ball, squid ball, to rice in a box-rake in more than P1 billion in sales every year.
Why foodcart? What are the advantages?
Some cart owners were asked why they chose a cart setup over a full store. Their answer varied, but they have a consensus that:
Carts are easier to manage and operate.
They require less capital and rental cost.
Carts are easy to transfer if the location is not good.
They need less maintenance and few workers.
Carts are ideal for businesses offering limited products or services.
Carts are easy to launch.
It is easier to get a space or location for a cart because it requires just small area.
It is easy to expand a cart business because it entails less capital.
Carts can capture a wider market because they are normally located along the walkways of malls and commercial centers.
Tips and Advice
If you have a nice cart, then the next thing to consider is location. Location,plays a big part in the success of your food cart or in any business for that matter. You have to think of a good location where people frequents and can see what you are selling.
Although this business is about food, you don’t have to be an expert cook, but you need management skills to make it work.
Make it a point to thoroughly train your crew on the product as well as on hygiene and sanitation. As important, you must be a hands-on owner. Visit your store frequently and do the inventory yourself. This way, you can effectively monitor the cash flow of your business and continuously improve your product.
Lastly, you have to match your good location with the right product at a good price. People will keep coming back on you food cart biz, if you sell good quality products at a very reasonable price. Always think that there are a lot of competition in the market.
sources: Aireen B. Laserna and Mishell M. Malabaguio, entrepreneur.com.ph, Mark So, businessmaker-academy.com.