Starting a food truck business? Here’s how – and how much it costs

If you’re dreaming about serving up tasty tacos or delicious doughnuts from your own food truck, you’re in the right place. The UK street food scene has become huge in recent years, with 7,000+ food trucks popping up everywhere from music festivals and markets to office parks and private events. 

For first-time business owners, food trucks offer an exciting and accessible way to start a food business without the cost of a traditional restaurant. Plus, you get the flexibility to take your culinary creations wherever the customers are. 

Whether you’re passionate about Neapolitan pizza, authentic BBQ rubs, gourmet burgers, or plant-based street food, there’s never been a better time to turn bold recipes into an even bolder business. 

To help you get started, we’re here to walk through how to set up a successful food truck business, what it’ll likely cost and tips on where you can park up and trade. 

In this article:

• How to start a food truck business in the UK
• How much does it cost to start a food truck?
• How to reduce your food truck costs
• Where can I park my food truck?
• Should I start a food truck?
• Your new startup

The UK street food scene is defined by comforting but bold flavours. If you’ve already got a roster of mouth-watering recipes lined up, you’re off to a good start. 

Next, it’s time to get your food truck business moving! The following steps might seem like a lot to prepare but it’s all quite straightforward. You’ll be out there serving customers before you know it.

Before you do anything else, you need to nail down what type of food truck you want to run. Your choice might be based on personal food preference or even your cultural background. But importantly, this isn’t just about picking your favourite cuisine. You need to find the sweet spot between:

• What you’re passionate about cooking
• What your customers want to eat
• What’s profitable in your local area

Start by researching your local food truck scene. What’s already out there? Is there a gap in the market? Maybe everyone else is doing burgers, but nobody’s offering authentic tacos or proper wood-fired pizza. 

Think about your target customers, too. Are you aiming for the lunchtime office crowd who want something quick and filling, or festival-goers looking for Instagram-worthy dishes that are as fun as the festival itself?

Consider the practical side as well. Some cuisines require more complex equipment and longer prep times than others. For example, a BBQ food truck with slow-cooked meats needs serious smoking equipment and hours of preparation. But a gourmet cheese toastie or crepe truck can be simpler to operate. 

Think about how to attract customers, too. A pizza food truck with a wood-fired oven creates an amazing visual spectacle that draws customers in (who doesn’t love fresh pizza?). But you’ll need to invest in the right oven and master the technique.

To help bring focus, consider your menu. Ideally, it should include three to five core dishes that can be cooked brilliantly. This keeps your ingredient costs manageable, speeds up service, and makes it easier to build a reputation for doing something really well. 

A great food truck name should give customers an immediate sense of what you’re about and what to expect. And it should be memorable. 

Names that work well often include the type of food you’re serving,  a playful pun related to your cuisine, or something that evokes the experience you’re creating. For example: The Codfather (fish and chips), Wok This Way (Asian), or even Abra-Kebab-Ra (shish kebab). 

Just try to avoid anything too obscure so customers can find you again. Once you’ve landed on a great name, it’s a good idea to check if it’s available to register. Use our handy company name availability checker and then check if your name’s social media handles are also available. 

Using a consistent name across your business registration, website, Instagram, and TikTok makes you much easier to find and looks more established and professional. Snap up those handles immediately.

You’re probably itching to get cooking, but creating a strong mobile food truck business plan first is key. A business plan isn’t just for big companies: in reality, every business can benefit from one.

Creating a business plan forces you to think through every aspect of your business, spot potential problems, and make improvements before you start. 

Good to know: If you’re planning to apply for a loan or seek investors, a professional business plan is a must. Lenders want to see that you’ve done your homework and understand the market.

As a general rule, your business plan should include:

• Executive summary: an overview of your food truck business and goals. 
• Your skills and experience: why you’re the best person for the job
• The market: provide a full competitor analysis and your target audience. Include what makes you special — why will customers love your food more than any other offering in the area?
• Products and services: detail your concept, your offering, your menu and explain your prices. Your pricing needs to cover ingredients, preparation time, and overheads whilst remaining competitive and attractive to customers 
• Sales and marketing: include a marketing plan explaining how you’ll attract guests and stand out from other vendors. What social channels will you use?
• Operations: what your business looks like day-to-day, including details of where you’ll prep food, equipment, staff,  business licences, and locations
• Financial forecast: list all your startup costs, income, and ongoing expenses and create a cash flow forecast. 

All this might sound like a lot to consider, but that’s the point. The more prepared you are before your business (Abra-Kebab-Ra?) starts trading, the better prepared you’ll be when customers start queuing up. 

Make sure you consider the whole picture and answer questions like: 

• Who will staff your truck when you need to take a break? 
• What are your operating hours? 
• Who is in charge of cleaning up after service?
• Where does your food truck live at night?
• How do you handle dissatisfied customers? 
• Will you do loyalty cards, collaborate with local businesses, target private events, or focus on street pitches and markets?

Spend time on your financial projections and create realistic forecasts for your first year, showing expected revenue and all your costs — ingredients, fuel, pitch fees, insurance, equipment maintenance, marketing, and your own salary.

Tip: Be conservative with your income estimates and generous with your cost estimates. And if you’re not sure, just make your best possible guess. You can always refine as you go. Treat your business plan as a living document. 

Once you’ve got your plan sorted, it’s time to make your mobile food truck business official. How you register your food truck business depends on whether you choose to operate as a sole trader or a limited company. 

• Sole trader status is simpler and has less admin, but you’re personally responsible for any business debts
• A limited company offers more protection (via limited liability) because the business is separate from you personally, but there’s more paperwork involved, like corporation tax returns and annual accounts 

If you plan to invest money into your business, a limited company often makes sense because your assets, like your home and car, are protected. 

The company registration process is straightforward. You can register online with Companies House for £100, or an official company formation agent like Countingup can take care of the application for you (we charge a £100 upfront fee, but reimburse this, making your formation completely free). 

Good to know: If you choose to set up a limited company, you’re legally required to separate your personal and business finances. You can do this by opening a business current account. A dedicated business account looks more professional when you’re dealing with suppliers, and it helps to keep your accounts in order because you can track transactions, automate reports and generate expense reports. 

Running a food business in the UK requires registration and compliance with food safety regulations. Following these rules isn’t optional, and operating without the right approvals can lead to serious consequences, like your food truck business being shut down. 

• Council registration: You must register your food truck with your local council’s environmental health department at least 28 days before you start trading. Registration is free, and the environmental health team will inspect your truck to ensure it meets food safety standards (proper handwashing facilities, adequate refrigeration, appropriate food storage, and clean surfaces)
• Certifications: You’ll need at least one person with a Level 2 Food Safety and Hygiene certificate (this can be you) The course typically costs £15–£50 and can be completed online in a few hours
• Street trading licence: Depending on where you plan to park up, you might need a street trading licence. Requirements for this vary by council, so check with each area where you plan to sell your food and budget for licence fees, which can range from £500–£3,000+ per year for popular spots
• Premise licence: You’ll need to apply for a premises licence if you plan to sell alcohol — even though you’re mobile. To get a licence, you need to apply through your local council. The process can take several weeks and costs between £100–£200. You’ll also need to appoint a ‘designated premises supervisor’ (this can be you) who must also have a personal licence to sell alcohol 
• Food truck licence: Your four wheels need to be licensed and insured. Standard car insurance doesn’t cover commercial food trucks — and it’s recommended to get proper commercial truck insurance

We’ll cover insurance in more detail in the next section, but remember to factor it into your business plan and financial forecasts. 

Like any business, running a food truck comes with an element of risk. From food poisoning claims to vehicle accidents, you need to be covered. Let’s start with the insurance you should absolutely get:

Public liability insurance 
Level: essential 
This covers you if a customer is injured or becomes ill because of your business, and policies typically cost £150–£400 per year. Public liability insurance is 100% essential — just imagine if a customer claims they got food poisoning from your truck. Without insurance, you could face a very large legal bill. But with insurance, you’re covered. 

Employer’s liability insurance
Level: essential if you hire anyone
This insurance is legally required if you hire staff, even part-time or casual. Employer’s liability insurance protects you if an employee is injured while working. Policies typically cost £100–£300 per year, depending on how many staff you have.

Vehicle insurance 
Level: highly recommended 
As mentioned earlier, standard vehicle insurance doesn’t cover your food truck or your cooking equipment. It’s a good idea to take out specialist commercial vehicle insurance that covers your truck. Typically, you can expect to pay £800–£2,000+ per year depending on the vehicle value, your driving history, and where you’re based.

Equipment/contents insurance
Level: highly recommend 
Your truck likely contains fridges, ovens, grills, and other items that you’ve invested in. Contents insurance covers theft or damage to your equipment, and you can often add business interruption cover to your policy, which compensates you for lost income if your truck is out of action due to an insured event like a fire.

Product liability insurance 
Level: worth considering
This insurance specifically covers you against claims related to the food you’re selling. It protects you if you need to recall products or face claims related to any food safety issues. 

You might be thinking that one food truck couldn’t possibly need all this insurance, but when you’re handling and selling food to the public, one serious incident has the power to derail your dream business.

Now for the fun part: kitting out your truck with everything you need to start serving your amazing dishes. Obviously, the specific equipment you need depends on your concept and menu, but there are some basics that pretty much every food truck needs:

• Cooking equipment: This might include gas or electric grills, griddles, fryers, ovens, or specialist equipment like a pizza oven, smoker, or wok burner 

• Refrigeration: You’ll need commercial fridges and freezers to safely store ingredients, and you might need prep fridges, display fridges, or even a blast chiller. Make sure your refrigeration is adequate for the volume of food you’ll be storing — running out of fridge space isn’t an option when you’re mid-service!
• Food preparation equipment: This includes everything from commercial-quality knives and chopping boards to food processors, mixers, blenders, and prep containers

• Handwashing facilities: Food safety regulations are strict about hand washing, and inspectors will specifically check your facilities. Many food trucks also need a separate sink for washing dishes and equipment
• Serving equipment: This includes plates, cutlery, napkins, and packaging for takeaway orders. If you’re trying to be environmentally conscious (which customers increasingly value), invest in compostable or recyclable packaging rather than plastic 
• Safety basis: You must have a fire extinguisher and a first aid kit, plus thermometers for checking food temperatures, cleaning supplies, and gas bottles or a generator if your truck isn’t self-powered 
• Payment terminal: Not many customers carry cash, and it’s totally normal for food trucks to be cashless now. Make sure you can securely accept card and contactless payments with a point-of-sale terminal. Square has some good options that you could check out  

Finally, consider some marketing equipment: signs, menus, business cards, and maybe some branded packaging or napkins. First impressions really matter when you’re competing for attention at a busy market or event.

Once everything’s in place, it’s time to start serving customers and building your business. 

Your first few weeks will likely be a learning curve: things can go wrong, recipes could need tweaking, and service might be slower than you’d like. This is all completely normal, and every successful food truck business goes through these teething problems. Focus on nailing the basics first:

• Consistently good food
• Friendly service
• Order and queue management 
• Speedy payment processing 

The faster you can serve customers whilst maintaining quality, the more money you’ll make, especially during peak times like lunch service.

Don’t forget to get your business out there: try to post daily on your chosen social media platforms, and include juicy details like today’s specials and mouthwatering food shots. 

Encourage customers to tag you in their photos and leave reviews, and give them a reason to let their colleagues or friends know about you. Perhaps give out some free tasters?

Remember also to track your numbers. Record how many customers you can serve in an hour and which menu items are most profitable. This data will help you refine your menu, adjust pricing, and identify opportunities to increase revenue. More on that in a bit. 

Starting a food truck business is cheaper than opening a restaurant, but you still need a financial plan to help get your wheels turning. Costs differ depending on whether you’re buying or renting your truck, going new or used, and how elaborate your menu is. 

First, let’s break down your typical business costs so you can work out a realistic budget.

Your vehicle
Your four wheels are your biggest expense. You can find a more detailed breakdown of these costs a little further down the page, but here are some initial ballpark numbers:

• A basic used catering trailer might cost £3,000–£8,000, whilst a fully converted used food truck is typically about £15,000–£40,000
• A brand new, custom-built truck with all the bells and whistles can easily cost £50,000–£80,000 or more

Most people choose a decent used truck or trailer in the £15,000–£25,000 range — old enough to be affordable yet new enough to be reliable.

Licenses and registration
It’s a good idea to budget between £500–£2,000 for your initial street trading licences, food safety registration (this is free, but you might need to pay for training), and other permits. 

If you need multiple licences for different trading areas or if you plan to sell items like alcohol, the cost can add up quickly, so make a list and plan accordingly. 

Insurance
Your mobile food truck’s first year of insurance costs can likely fall between £1,500–£3,500 when you add up vehicle insurance, public liability insurance, employer’s liability insurance (if you have staff), and equipment cover. 

Insurance probably feels like a big cost, but premiums do tend to decrease as you build a no-claims history. Plus, it’s important that your business is fully covered. 

Branding and marketing
How much you spend here really depends on your budget and how much work you’re willing to put into marketing your food truck.

Signage and other promotional items could cost you between £500–£2,000. This includes printed menus, business cards, and branded packaging. 

You’ll also need to set up a website — try to budget another £500–£1,000 for a reliable platform like Squarespace and some freelance copywriting and design help. You can definitely get a website done cheaper with DIY approaches, like using Canva, but professional branding makes a real difference.

Professional fees
You might engage an accountant, pay forcompany registration (this is a small fee, but worth factoring in), or use other professional services. Budget £500–£1,500 for these things, unless you’re confident handling everything yourself.

Working capital
This is the buffer of cash that covers your running costs before your business makes consistent revenue. 

In your first few months, you’ll be spending money on ingredients, fuel, and equipment whilst still building up your customer base. Having £3,000–£5,000 in reserve means you won’t panic if you have a few quiet weeks.

Now, back to the truck itself. Let’s look at how costs differ depending on whether you buy or rent your food truck. 

Buying vs renting your food truck: a comparison
This will be one of your biggest cost decisions. Which approach do you think is right for you?

Cost factor	Buying a food truck	Renting a food truck
Initial vehicle cost	£15,000–£40,000 (used) / £50,000–£80,000+ (new)	£0 upfront (but expect a deposit of £500–£1,500)
Weekly/monthly cost	£0	£300–£600 per week / £1,200–£2,400 per month
Annual vehicle cost	£15,000–£80,000 one-off	£15,600–£31,200 ongoing
What’s included?	Vehicle only — all equipment will usually need to be purchased separately	Usually fully equipped — but it varies by provider. Some include basic equipment, insurance, and breakdown cover. Others charge extra
Equipment	£5,000–£15,000 if not included in the purchase	Check your contract — it may be included, or you may need to hire/purchase more
Vehicle insurance	£800–£2,000 annually	Often included or £500–£1,000 annually
Maintenance & repairs	Your responsibility (£100–£300/month)	Often included in rental — but check the terms
Flexibility	After purchase, you’re committed to this vehicle	Usually easy to upgrade, downgrade, or exit (check your notice period)
Ownership	You own an asset you can sell later	You don’t own the vehicle
Total first-year cost	Approx. £25,000–£50,000+	Approx. £15,000–£35,000
Long-term value	Better value after 2–3 years	More expensive over time
Best for	Committed long-term operators with capital	Testing the business or limited capital

Total startup costs
Adding it all up, you can realistically expect to spend £25,000–£50,000 to launch a properly equipped food truck business if you’re buying a vehicle. 

If you’re renting a food truck, you can significantly reduce upfront costs to around £15,000–£20,000, including deposits, but you may need to purchase specific equipment.

Don’t forget your ongoing monthly overheads!
Starting up is one thing, but once you’re trading, you can expect ongoing costs of £2,000–£4,000+ per month, plus other expenses like insurance.

• Parking up fees or pitch rent: £100–£500+ per event or location
• Ingredients and packaging: typically 25–35% of your sales 
• Petrol for the truck and gas for cooking (unless you’re specialising in salads!): £200–£500 per month
• Salaries: if you’re paying yourself and any staff, add those costs too

Honestly, there isn’t really one: there’s no particular type of food truck that’s cheaper than the others.  But certain factors can definitely help to keep costs down. 

• Food trucks with simpler menus and less complex equipment are generally cheaper to start. For example, a gourmet sandwich or wrap truck needs far less kit than a full kitchen setup with fryers, grills, and multiple cooking stations
• Starting with a smaller trailer rather than a big truck reduces vehicle costs significantly. Trailers also typically cost less to maintain, though you’ll need a suitable vehicle to tow them
• Buying used equipment rather than new can save thousands of pounds. Check catering equipment auctions, restaurant closure sales, and online marketplaces for good-quality second-hand kit. Just make sure anything you buy is in proper working order and meets current safety standards
• Focusing on food that doesn’t require extensive prep also keeps costs down. If you can prep everything in a small domestic kitchen rather than needing a commercial kitchen, you could save hundreds of pounds each month
• Menu items that use shelf-stable ingredients rather than expensive fresh produce reduce both stock costs and the risk of waste

Now, let’s take a closer look at how to reduce some of these costs even further.

How you manage your costs can make the difference between a profitable food truck business and one that struggles to break even. 

Building good relationships with suppliers can reduce your ingredient costs. Once you’re ordering regularly, start negotiating better prices. After all, suppliers would rather give you a discount than lose your business to a competitor. Ask about volume discounts if you’re using a lot of a particular ingredient, or whether they’ll consider matching competitors’ prices. 

Also, seasonal buying makes both financial and culinary sense. Ingredients are nearly always cheaper when they’re in season. Design your menu to take advantage of what’s available and affordable right now, and you’ll reduce costs whilst offering fresher, tastier food. Customers appreciate seasonal specials too — it shows you’re thinking about sustainability.

Food waste means you’ve overordered, and this can get expensive if it’s a regular occurrence. Get really good at accurate food forecasting so you’re not overordering ingredients that go off before you use them.  

Try to be creative with any surplus ingredients, too. Yesterday’s bread can become croutons or breadcrumbs. Vegetable offcuts can create a gorgeous stock. There’s almost always a way to use up ingredients before they become waste.

Not all trading locations are created equal. A pitch with a £200 fee that attracts thousands of customers can be far more profitable than a £50 pitch with barely any footfall. It’s essential that you track your revenue per location carefully and focus on the spots that make you money.

Fuel is a major cost for most mobile food businesses. Plan your routes so you’re not driving between locations and back to your base. If you’re doing multiple events in a week, see if you can store the truck somewhere central.

Cooking with gas adds up quickly, too. Make sure your equipment is well-maintained — faulty or poorly serviced appliances use more energy. 

If you’re using a generator for power, you could invest in an energy–efficient model and maintain it properly. You don’t want to run out of power mid-service! 

Good to know: Some food trucks are switching to electric, especially in areas where you can plug into mains power. It’s worth checking if this is possible at your pitch locations.

Also, don’t be afraid to drop locations that aren’t working. Be strategic about where you trade and focus your energy on locations where you’re profitable.

Social media is free and incredibly effective for food trucks. Instagram and TikTok are perfect for showing off your food and building a following. You should aim to post consistently, once a day if possible and engage with your followers.

Once you’re a bit more established on social media, you could encourage user-generated content by creating moments that people want to photograph. This could be your food presentation, interesting packaging, or a distinctive truck design. 

You could also consider collaborating with other local businesses, too. You could partner with a local brewery to do food and beer pairings or team up with events companies. These partnerships usually just cost your time and can create a whole new customer base.

You probably already know this, but you can’t just park your food truck anywhere. There are rules about where mobile food businesses can operate, and breaking them can result in fines or losing your business licences. Understanding the regulations helps you stay legal and cooking on gas — literally.

• Public highways and streets: Trading on public roads, pavements, or highways usually requires a street trading licence from the local council. Some councils have designated zones where street trading is permitted, others operate a lottery system for limited pitches, and some ban street trading altogether (this is typical for Zone 1 London)

• Private land: Trading on private land is generally easier, but you still need permission from the owner. Many food trucks operate from car parks, business parks, pub gardens, or event venues with the owner’s permission. You’ll typically pay the landowner a pitch fee — this might be a fixed daily or weekly amount, or a percentage of your takings

• Markets: Regular markets are often the best spots for food trucks because they attract crowds of people who are there to eat, drink, and shop. You need to apply for a pitch spot, which usually involves an application fee and then ongoing pitch fees. These fees vary by location

• Festivals and special events: These can be well-paid but often come with high fees — so be prepared. A three-day festival might charge £500–£2,000+ for a pitch, but if you’re busy throughout, you can make several thousand pounds in profit

Ultimately, the key to success with any location is building relationships. And a lot of that is down to you:

• Be reliable
• Keep your pitch clean and tidy
• Treat landowners, market organisers, and event managers well — maybe even treat them to a free lunch or some takeaway at the end of the day

Happy organisers will recommend you to others, which can open up a world of opportunity. 

Only you can answer this! Starting a food truck business can be incredibly rewarding, but it’s also hard work. If you’re on the fence about it, what does your gut say? What do you think are the main challenges, and is it possible to overcome them?

Let’s look at the pros and cons to help you decide whether it’s the right move for you.

Pros:

• Lower startup costs than a restaurant: A food truck gets you into the food business for a fraction of the cost, letting you live your dream for a lot less money
• Flexibility and mobility: If a location isn’t working, you can simply try somewhere else. If it’s quiet in winter, focus on indoor events and markets. Want to follow the festival circuit in summer? Go for it. You’re not tied to a single location
• Direct customer connection: One of the best things about food truck life is that you’re serving customers face-to-face, getting immediate feedback, building relationships, and creating a community around your food
• Test before investing more: Many successful restaurant owners started with food trucks to prove their concept, build a customer base, and generate capital before opening physical locations

Recognise these restaurants? They all started as food trucks:

Burger and Beyond, MEATliquor, Caribou Poutine, Eggslut, Pizza Pilgrims, Kricket

Cons:

• Weather dependency: Rain, snow, extreme heat, or freezing cold all affect footfall and can make your working conditions pretty miserable, let’s be honest. You can’t control the weather, but it can impact your revenue
• Physical demands: Running a food truck is hard physical work. You’re on your feet all day, cooking in a small space, and loading and unloading the truck. It can be tiring work 
• Inconsistent income: Food truck income can vary from week to week. Festival season might be brilliant, but January could be quiet. You need financial resilience to handle the ups and downs
• Limited space: Working in a small truck means you’re fairly restricted in what you can cook and how many staff you can have. Your menus need to be relatively quick to prepare in a confined space
• Logistics and admin: You’re running a business as well as prepping food, and the admin can add up: booking pitches, managing licences for different areas, maintaining equipment, sourcing supplies, and handling customers 
• Competition: Standing out requires great food, strong branding, smart marketing, and often a unique angle that competitors don’t have

Whether you should start a food truck depends on your goals, resources, and temperament. If you’re passionate about food, comfortable with uncertainty, physically able to handle the demands, and excited by the challenge of building something from scratch, it can be an amazing adventure. 

The most important thing about starting a food truck business is to go in with your eyes open. 

The food trucks that succeed are the ones that consistently deliver great food, build loyal customer bases, and manage their money carefully.

If you’re ready to get on the road, we’ve got the tools to help you manage the journey, from easy company registration to a smart business current account that helps you with your tax, expenses and reporting. 

Looking for more small business guidance? Head over to our resource hub. Here, you’ll find our latest tips and advice on how to start, run and grow your business.  

In the meantime, good luck. We’re excited to see what you’re cooking up.

Yes, but it depends on how well you manage costs and revenue. A well-run food truck in good locations can generate £50,000–£150,000+ in annual revenue, with profit margins typically around 10–20% after expenses if you’re doing things right. The keys to profitability are controlling your food costs, choosing profitable locations, and pricing correctly

Absolutely. Renting is a smart way to start if you don’t have the money to buy a truck outright. Many companies across the UK offer food truck rentals. Some rental agreements are short-term (great for testing the waters), whilst others are longer leases where you might have an option to buy eventually. 

Yes, lots of lenders offer loans for food truck businesses, though you’ll typically need to show them a solid business plan, good personal credit, and often have a deposit ready. High street banks, specialist asset finance companies, and even organisations like the government-backed Start Up Loans scheme can provide funding. 

It is technically possible, but you’ll likely need to find a partner or investor. However, it’s very unlikely you’ll have zero costs. Even if you rent a truck, you’ll still need funds for your initial licences, insurance, and ingredients.