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Food Portioning

Food portioning, while often overlooked, needs to be looked at as one of the most important activities in your food truck business. Not only does food portioning make an immediate impact on your customers’ experience but it also affects the food quality and food cost of your menu items.

When someone receives a smaller portion than the person who ordered the exact same thing right before them, customers usually notice and their mood sours.

Start At The Beginning

During the preparation process, inaccurate food portioning of ingredients in recipes can alter the food’s flavor and texture. Have you ever had a regular customer ask, “what have you done to the sauce?”

Food Portioning And Cost

Maybe the bigger issue that concerns food truck owners is how food portioning hits their bottom line. Just think about it like this, consistently over portioning a $6.00 per pound product just half an ounce adds almost 19 cents to the serving cost. Say you serve 100 a day, that’s $133 lost per week or almost $7,000 in a year.

That’s with just ONE product! Imagine the cost savings for your entire menu if food portioning became an integral part of your systems?

Use Technology For Food Portioning

Technological advances in scales and slicing equipment keeps making it easier for employees to portion products faster and with much greater accuracy. The newest digital scales are portable, easy to read, have automatic counting functions and can be equipped with push button or hands free capabilities.

Anything you can do to help your staff do a better job of portioning is usually money well spent. Does your staff have the appropriate sized cups, scoops, ladles and other measuring devises at their disposal and are they consistently using the correct ones?

Also, never expect what you don’t inspect. One food truck owner I know has a habit of pulling one item off the line each shift and weighing the key ingredients. If something’s not right, he addresses the issue immediately with his staff. He says that this one practice, more than any other, helps him control portion sizes and keep his food cost in line.

How’s your food portioning? Any improvement in this area should result in happier guests, lower food cost and a healthier bottom line.

Do you have any food portioning tips to share with our readers? We’d love to hear them. You can send via email, Twitter or Facebook.

Taking Over An Existing Food Truck

Small businesses across the country have been taking a beating over the last few years due to the economy and even the growing mobile food industry isn’t an exception.

No matter the reasons behind some food trucks closing, there are still a huge number of individuals who are looking to enter the industry.

RELATED: Find Food Trucks For Sale At Mobile Cuisine

Taking over a failed truck can be an easy way to get onto the streets of your local area. Here are four tips to follow if you are taking over an existing truck without plans on re-branding it.

Four Tips For Taking Over An Existing Food Truck Business

tip of the day

Communicate the change in ownership to old customers

When you are taking over an existing food truck business that has been around for some time, show the longtime customers that you appreciate their business by giving them customer appreciation discounts.

Get to know them and establish yourself as the new owner. When people are used to brands they are not used to change. Let them know that their favorite staples will remain on the menu.

Assure them that you are going to carry on the brand just as good as it was before, if not better.

Add some new items

When comes to change you have to be very careful with established food truck brands. Keep on the old staples, but make sure that the quality of the food is upgraded to current standards.

Familiarize yourself with new taste profiles, quality control and other things that will make a difference to new and old recipes. Let older customers know about the new changes so they won’t be shocked.

Bump up the truck’s profile

Don’t be afraid to step up your game and compete with other food truck businesses in the area. Do things that have never been done at that truck before. Increase advertising and marketing.

Play on new strategies in social networking. Use Twitter, Facebook, and geo-location services like Foursquare to find new customers.

Think with the new generation in mind. It can be a hard pill to swallow to change something that has been around awhile.

Consider hiring new staff

The final tip for taking over an existing food truck business is to analyze the current staff and determine if they have what it takes to move forward with your changes. You’ll probably have to get rid some staff that don’t fit your plans.

Put them to work to see what they can do. Keep the ones that are willing to listen to change and who are loyal to your vision for the direction of your business and not the previous owner’s vision.

RELATED: Post Your Food Truck Jobs At Mobile Cuisine

Have you been involved taking over an existing food truck business? If so, we’d love to hear how you handled it. You can share your thoughts with us on Facebook or Twitter.

food truck employees

Most food truck kitchens require more than a single set of hands to keep up with customer orders. Because of this it’s almost a necessity for most starting a food truck business to hire food truck employees before you hit the streets.

These steps will help you start the hiring process and ensure you are compliant with key federal and state regulations.

Food Truck Employees: How To Employ Your First
Obtain an Employer Identification Number (EIN)

Before hiring your first first employees, you need to get an employment identification number (EIN) from the U.S. Internal Revenue Service. The EIN is often referred to as an Employer Tax ID or as Form SS-4. The EIN is necessary for reporting taxes and other documents to the IRS. In addition, the EIN is necessary when reporting information about your employees to state agencies. You can apply for an EIN online or contact the IRS directly.

Set up Records for Withholding Taxes

According to the IRS, you must keep records of employment taxes for at least four years. Keeping good records can also help you monitor the progress of your food truck business, prepare financial statements, identify sources of receipts, keep track of deductible expenses, prepare your tax returns, and support items reported on tax returns.

Below are three types of withholding taxes you need for your business:

Federal Income Tax Withholding
Every employee must provide an employer with a signed withholding exemption certificate (Form W-4) on or before the date of employment. The employer must then submit Form W-4 to the IRS.

Federal Wage and Tax Statement
Every year, food truck employers must report to the federal government wages paid and taxes withheld for each employee. This report is filed using Form W-2, wage and tax statement. You will need to complete a W-2 form for each employee who you pay a salary, wage or other compensation.

Employers must send Copy A of W-2 forms to the Social Security Administration by the last day of February to report wages and taxes of your employees for the previous calendar year. In addition, you should send copies of W-2 forms to your employees by Jan. 31 of the year following the reporting period.

State Taxes
Depending on the state where your employees are located, you may be required to withhold state income taxes.

Employee Eligibility Verification

Federal law requires employers to verify an employee’s eligibility to work in the United States. Within three days of hire, employers must complete Form I-9, employment eligibility verification, which requires employers to examine documents to confirm the employee’s citizenship or eligibility to work in the U.S. Employers can only request documentation specified on the I-9 form.

Employers do not need to submit the I-9 form with the federal government but are required to keep them on file for three years after the date of hire or one year after the date of the employee’s termination, whichever is later.

Employers can use information taken from the Form I-9 to electronically verify the employment eligibility of newly hired employees by registering with E-Verify.

Register with Your State’s New Hire Reporting Program

All employers are required to report newly hired and re-hired employees to a state directory within 20 days of their hire or rehire date. Visit the New Hires Reporting Requirements page to learn more and find links to your state’s New Hire Reporting System.

Obtain Workers’ Compensation Insurance

All businesses with employees are required to carry workers’ compensation insurance coverage through a commercial carrier, on a self-insured basis or through their state’s Workers’ Compensation Insurance program.

Post Required Notices

Employers are required to display certain posters in the workplace that inform employees of their rights and employer responsibilities under labor laws.

File Your Taxes

Generally, employers who pay wages subject to income tax withholding, Social Security and Medicare taxes must file IRS Form 941, Employer’s Quarterly Federal Tax Return.

If you do not have an accounting background or do not feel confident in filing your food truck business taxes, be sure to reach out to an accountant for some assistance when hiring your first food truck employees.

If you have any steps we may have missed for hiring food truck employees, please feel free to add them in the comment section below, Tweet us or share them on our Facebook page.

failure-success
Which way is your food truck headed?

With the continued growth of the mobile food industry, there are still some trucks that have not been able to succeed. For some, the reasons lay in the over regulation they face in their local areas, but for most, the reasons can be found simply by looking in the mirror.

We have previously written the primary reasons that food trucks have failed, in this article we wanted to extend the number of reasons and show how to avoid them. Owning a food truck requires the owners to wear many hats, and without the knowledge of some of the common shortfalls they can face, they can easily fall into these problem areas without even realizing it.

No marketing plan. 

A marketing plan outlines the steps you intend to take to sell your food truck menu items.  As one component of the overall business plan, it identifies your niche, your product and the strategies you’ll employ to reach your target market, as well as how much you intend to spend on this marketing (with the use of Twitter and Facebook, this can just involve the investment of time).   Marketing is fundamental to your company’s success.  Without it, you won’t have any customers or clients.  For this reason, it’s critical to spend the extra effort to develop one, even if it only is to include social media platforms.

No customer service program.

You and your food truck are in business only because you have people lining up at your service window.  In order to get a customer following and to maintain it, it’s important to have a customer service program.  A program can include anything from the methods you use to gain new customers, to how you service them once they have become customers.  It includes follow up visits to new parking locations, providing information to them about current or new products and services (such as catering), and, most importantly, kind, courteous, and prompt service when they have a problem or issue.  It is time consuming to get new customers.  It’s better and easier to retain the one’s you have by employing an outstanding customer service program.

No strategic partners. 

Successful food truck business owners typically don’t go it alone.  They associate, partner, and network with other successful food trucks.  Partnering with others is a way to quickly expand the reach of your own mobile business.  There’s a wonderful synergy that comes with doing things with other truck in your area.  There are more ideas, more knowledge, and more resources to create products and services.

No ways of monitoring progress. 

You cannot manage what you cannot monitor or measure.  Every food truck business needs to identify its key success factors.  It might be the number of products sold, the number of service hours provided, or even the perception of your mobile business in the local community.  The only way you can improve your business and attain the success you desire, is by measuring the results of your actions.  You’ll be able to identify what is working and also where the shortfalls exist.  You can use any number of methods including internal operating checklists, customer surveys, and even peer reviews.  This valuable feedback will be extremely useful in realigning your business efforts in the direction that maximizes the success of your mobile food empire.

No commitment to learning. 

There is no place for complacency when it comes to being a mobile food entrepreneur.  Successful food truck owners search constantly for new and better ways to get customers as well as to serve the ones they already have.  They are aware of the latest food service industry trends and ideas so they can create products and services which best serve the changing needs of their target market.  They learn about and implement processes that increase the effectiveness of their day-to-day operations.  By committing yourself to learning and to implementing what you learn, you’re committing yourself to success in all parts of your business.

word of mouth

Word of mouth marketing will always be the best form of promotion any mobile food industry operator can expect to achieve. For this reason, the staff at Mobile Cuisine Magazine has decided that we needed to look at the two most commonly used forms of word of mouth marketing; on and offline word of mouth.

Today, in part 1 of this series will look at the oldest and most reliable form of word of mouth marketing that almost everyone is accustomed to, we will be referring to this as “offline” word of mouth.

To start things off let’s ask you some questions to get you started thinking about creating word of mouth recommendations for your mobile business.

Why should anyone talk about your food truck or cart in a positive way?

Do customers talk about your mobile eatery if your food was good?

Do they talk about your business if your service was good?

In most cases the vast majority of people do not spread good things about a food establishment if the customer receives the type of food and service they expect.

Do customers talk about tell others if your food or your service was bad?

When customers receive poor quality food or bad service, this is when many people make sure to let others know about the issues that they have had with a particular food truck or other variation of street food vendor.

Now that we have established that a business owner is unlikely to get positive word of mouth with good service and food, yet very likely to get negative word of mouth for poor service or food, we can conclude that positive word of mouth is much harder to achieve and negative word of mouth is almost an absolute given.

The big question many will have is, why the difference? It is rather simple if you spend any time thinking about it. It is in our human nature to hold onto anger longer than pleasure. We tend to discuss the reasons we are upset far more than why we might be happy about something. Being frustrated or upset by a situation will burn deeply into our memory and we will tend to overreact.

In these cases, the food truck business the primary loser. Yes, the customer may have felt slighted, but ultimately, the business will take the brunt of their frustration in the long run. It often doesn’t take more than a small incident to create bad feelings, particularly when your customer has had a bad day already. You and your customer service staff must be aware of what our customers are seeking. Be understanding and alert as awareness and intuitiveness are key ingredients in customer service. Great customer service comes from paying attention and sensing the moods of everyone that steps up to your truck.

Turning around a situation is well within the bounds of well trained and understanding staff, so all is not lost.

How to create powerful word of mouth is a whole study in itself, but the basics are common sense and logical.

Very often just providing good service or food is not enough to encourage word of mouth recommendations; after all, these things are expected. There needs to be additional reasons for wanting to bring up the subject of where you ate last night and how good it was. Obvious examples are special occasions, such as Valentine’s Day. This could trigger conversations like, “What did you do last night?”…”Oh, we went to <insert your food truck name here>, wonderful food, really fast and friendly, you should definitely try it sometime.”

Although a nice comment, even this type of statement may not attract someone to follow their friend or acquaintance’s recommendation. For word of mouth to be effective it has to have some passion and excitement in it. That means your customer has to have been excited by what they experienced. This, in turn, means that your customer will want to instigate a conversation, rather than just respond to a question they may never be asked.

Hopefully this will make sense to you. Try to remember the last time you were wowed enough by a product or service to start a conversation about it. Very often these situations are few and far between.

How are you going to create sufficient excitement so that your customers want to tell the world? If your customer service is full of passion, that carries over to your customers and can be infectious. Without the passion in your service, how do you expect your customers to get excited? So that’s your starting point, customer service that is full of passion and fire.

Next, ignite the fires of passion in your customer, get them involved and encourage them to join the party. It is much easier to get parties of four or more people to get into the mood. Couples are different, they may well be in their own world. Individuals need more personal attention. Therefore it makes more sense and it is much easier to encourage parties of four or more to become your advocates.

With a little encouragement you should be able to create some word of mouth activity from at least 1 or 2 of the party. Ask if you can take some photos of them in the party spirit. Tell them you would like to place the photos on your customer wall board as well as your blog. (You will need their permission to do this) Offer to email copies of the photos to each of them, so that they can share them with their friends.

For individuals and couples, give them a couple of your business cards each and ask them to pass the cards to a friend or colleague who would appreciate your kind of hospitality, food and service.  Incidentally, we recommend a specially printed card for this purpose. It is very rare for a restaurateur to do this and they really are missing an out on an opportunity.

Manage and meet customer expectations all the time. How do you do this? Back up your brand’s claim or promise each time. A good example is:

  • Maintain your price range within the level your buyers expect, if you need to increase prices make sure you communicate this to them with a little justification of why you need to do so.

Customer service is the framework where loyalty and trust is built on. This is where your company can really stand out in a different way from your competition. Quality customer service is simply going out of your way to please the customer. It is that extra effort, one sincere action, the personal touch that ultimately affects buyers choice to keep remembering you and recommending you.

In part 2 we will be discussing how to utilize the power of word of mouth online; we call this word of mouse.

Keep an eye out for part 2 to be published within the next week. In the meantime if you would like to share how you encourage word of mouth, go ahead and let us know via the comments button below.

Part 2

swot analysis

A SWOT analysis (strengths, weaknesses, opportunities, and threats); much like that of a competitive analysis, is an important part of planning your food truck’s future.

The strengths (S) and weaknesses (W) sections provide a look at your truck’s current market position.

The opportunities (O) and threats (T) sections help you project possible goals and challenges that may affect business down the road.

  • Strengths: In a SWOT analysis, you look at the strengths of your business first. Strengths include those things that you do better than others and what makes you stand out from your competition.For example, you may have a permit to operate your truck on weekends in a prime location near a bar that doesn’t serve any food past 10 p.m. Whatever your strengths are, use them as a base for future decisions.
  • Weaknesses: Weaknesses in a SWOT analysis refer to those areas in which you can improve that would help better the product or services you provide. That you’d see advantages in assessing your weaknesses may seem counterintuitive, but understanding your weaknesses makes them easier to deal with.For example, a weakness can be a lack of expertise in preparing popular desserts that are common in the type of cuisine your concept follows.
  • Opportunities: The opportunities section is critical to your mobile food business’s development by helping you discover ways to improve. You use the strengths and weakness you’ve already listed to identify your opportunities.Opportunities may be internal, such as pointing out that by hiring a pastry chef that has formal training in creating desserts, you’d be able to eliminate one of your weaknesses. Opportunities form the basis of the future goals you adopt.
  • Threats: Lastly, SWOT analysis looks at threats or possible issues your truck could run into. Examples of threats your food truck business may face include the addition of competition in the market, increased gas prices, and changing consumer trends.Threats may also come from changes in legislation or licensing requirements. Identifying threats can help you prepare and plan for issues that may come up that could throw your goals off course.
Here’s a sample SWOT analysis:

SWOT analysis chart

  • Strengths:
    • Strong, experienced food truck staff
    • High brand recognition
    • Prices are cheaper than competitors’
    • Pride in putting forth innovative food with the freshest ingredients
  • Weaknesses:
    • Limited funds available
    • Costs rising due to increases in food costs
  • Opportunities:
    • In a new, emerging food truck market
    • A main brick-and-mortar competitor has closed
    • Collaboration with a local bar to start a dinner and a drink package
  • Threats:
    • A main competitor has lowered its prices
    • Municipality reexamining current legislation and may add further restrictions on food trucks

Have you conducted a SWOT analysis for you food truck? What were the results or issues you ran into? We’d love to hear your thoughts on this issue. Please feel free to share your thoughts in the comment section below, Tweet us or share them on our Facebook page.

opening a food truck

Opening a food truck has become a dream for many people. The popularity of food trucks and mobile food has never been higher nor has it ever been as well publicized.

Whether it’s seeing a food truck parked near your office at lunch or seeing a television program or commercial that includes food trucks, the mobile food industry is booming. More and more people asking themselves if opening a food truck is the route they want their professional career to head.

If you are one of these interested parties, you must to do some soul-searching before you run out and purchase a food truck. Explore your thoughts surrounding the possibility of becoming a food truck owner. The more you question your personal motives and figure out what’s holding you back the easier the final answer will come.

Answers these questions to help you determine if a opening a food truck is really right for you:
  • When did I first come up the idea that I would like to own my own food truck?
  • What was happening in my life at that time that may give me clues about why this thought came about?
  • Am I willing to work on most holidays?
  • Am I willing to work long hours?
  • When I picture myself working in my food truck does it seem realistic, and am I happy even when I envision the chaos or problems that will happen?
  • Have I had dreams of myself owning a food truck?
  • When I visit food trucks do I find myself mentally running the place, or do I have ideas about how to make improvements?
  • Do I truly envision myself enjoying working with the public, and people that would be my employees, even when conflicts arise?
  • Would I be happy if I had to multitask as well as delegate jobs to others?
  • Would my spouse, significant other, or family be accepting of this career change?
  • Is there a part of me that wants to do this to please someone else? If I take away that person and or the feeling of importance would I still want to proceed?
  • Who may be holding me back in my own mind? Make a list of all the people in your life and how they would react? If the reaction is negative or unsupportive what are the reasons? Is it really theirr own fear, or is it a concern the person legitimately has for you? If valid explore that thought and whether or not you believe it.

Opening a food truck business can be scary. The best way to move past this fear is to gain knowledge about the industry. In exploring the idea you may learn that food truck ownership is not really for you, but rather it was the idea of independence that really appealed to you. If this turns out to be the case then by running through this exercise nothing was lost.

If you do find opening a food truck is what you feel you were meant to do, then the next step will be to explore the ways to make it a reality.

Existing Food Truck Owners:

Do you have a story about when you began opening a food truck? Let us know what you went through to make it happen in the comment section below, Tweet us or share your impressions on our Facebook page.

naming your food truck

What is in a food truck name? Some will say it can mean the difference between success and failure. As a culinary entrepreneur, naming your food truck is an important, critical step and sorting through potential names can be a long and tedious process.

When trying to come up with just the right name for your mobile food business, the options can be overwhelming.

The following tips are designed to help narrow the potential field and make your choice a little easier:

THE DO’s OF NAMING YOUR FOOD TRUCK

DO consider making the name descriptive, so that potential customers are immediately informed of the menu items on your truck. Research has shown that businesses with names that identify their products or services are more successful than non-descriptively named businesses.

DO keep the description general enough so that you can, if desired, expand your menu in the future.

DO make it memorable. Tell ten people the name you are considering. A week later, connect with them again and ask them to recall that name. How many people were able to accurately remember it? If it was less than seven, you may want to consider other more memorable alternatives that truly grab people’s attention.

DO make it phonetic. Crazy food truck names and quirky misspellings have become quite a trend, but it’s frustrating for consumers. No one wants to have to spell out the name of a business every time they talk about it. Make your mobile food business name phonetic so that people will be able to Google it from hearing it out loud

DO consider the oral impact of the name. How it will sound when spoken? Try writing down a list of words that could describe your food truck business, then mixing them up into different combinations and saying them out loud to see how they sound.

DO consider the visual impact of the name. How it will look on the truck itself, the internet (your website, social media sites), advertisements, business cards, etc. As with the sound of the words, try playing around with various looks by writing them down on paper or typing them into your computer.

DO choose a name that is easy to understand, pronounce, and remember.

DO make the name unique enough to distinguish your food truck from others on the street.

DO choose a name that will not be easily imitated by competitors.

DO consider how the business name could be shortened by the public. Just as a child’s initials can spell out an embarrassing word, so could the abbreviation for a business.

DO come up with a list of several potential names, and then try them out on close friends and family members to get their reactions.

DO live with your ideas for a while, to see how they sound and feel with the passage of time.

DO keep alternatives in mind, in the event that further research reveals that the name you would like to use is not available.

THE DON’Ts OF NAMING YOUR FOOD TRUCK

DON’T name your roaming bistro too soon. It’s exciting to name your food truck, but it’s more important to get it right. Take your time.

DON’T select a name that is too long or confusing.

DON’T choose a trendy name, since trends and fads pass quickly, and you don’t want your business to appear outdated.

DON’T include unacceptable terms in the name, like profanity or obscenities.

DON’T use initials. JWT could be grain and feed store, or it could be a famous advertising agency. It has no meaning. Business names that use initials are less memorable.

DON’T get sued over sloppy seconds. In the naming stage, you do not want to select a name for your food truck that you may have to change later or, even worse, get sued for, because someone else has a registered trademark on the word or phrase. This can be easily be avoided by visiting the federal patent and trademark office’s site, USPTO.gov, and doing a search on any potential names.

Still having a tough time coming up with a name, check our our free Food truck Name Generator to see if it can give you some suggestions. <here>

Do you have any additional tips for naming your food truck? We’d love to hear them. You can share your thoughts in the comment section below, Tweet us or share them on our Facebook page.

food truck sales

So you think that now that you bought a bright and shiny food truck all you have to do is park it in your local downtown and wait for the money to come rolling in. What could be easier…right?

food truck sales

The thing many don’t understand is that a mobile food business, like every other business on the planet, is a sales business. This article will show you how to make the food truck sales process run itself so you can concentrate on the fun part of operating a food truck…interacting with your customers and making great food.

The Food Truck Sales Process

It doesn’t matter what you sell; every business must follow the same six steps in order to sell anything at all.

Every dollar that your food truck generates is a result of these steps, sometimes referred to as the sales funnel. If you aren’t making as much money as you think you should, odds are that you’ve got a hole in your funnel because one or more steps in your sales process is broken or missing.

Here are 6 steps to better food truck sales:

Find customers

In our business we do this by attracting attention to ourselves. The first step is getting yourself noticed. Remember – if they don’t notice you, you don’t exist.

Qualify the customer

Qualifying means that you are sure that they are capable of completing the transaction. A qualified lead is one that has enough money to buy your food, and one that is hungry for what you serve. You will get qualified customers by being in the right place at the right time.

Make your presentation

Don’t just sell your food truck food, sell an experience. Have a theme, a gimmic, a hook. Your customer should be captivated by the experience, totally immersed in your world while they are at your truck.

Address the customer’s objections

Overcome a price objection by overwhelming them with quality, stocking unique condiments, offering them daily specials, and provide a totally unique dining experience.

One of the biggest objections food truck owners get is the cleanliness issue. Overcome it by keeping an immaculate truck. Wipe it down between every order. Even if it’s not dirty, the customer needs to see you cleaning. Display your business license and health department certificates to show that you are legal and that you comply with the food codes.

Another common objection is slow lines. Do what you can to move them through quickly without compromising the experience. This may mean spending more time prepping items in your commercial kitchen so it doesn’t take as much time in the truck to assemble an order…do what you can to keep your line moving.

Close the sale

That means putting the money in your cash box. In the mobile food business, once you have the first four steps working for you, closing the sale comes easily and naturally. This is a huge advantage over other types of business where the close is actually the hardest part of all.

Get repeat and referral business

It takes ten times more effort to get a new customer than it does to sell to an existing customer so you have to get ‘em to come back again and again. You might accomplish this with repeat customer incentive programs such as punch cards. The more they buy, the more invested they become.

Referrals are another way of leveraging your existing hard-won customers. Referral business is just a fancy way of saying, “word of mouth”. The experience that you give your customer will determine how much they talk about it to their friends.

Do you have any additional advise to help individuals make the most out of the food truck sales process? We’d love to hear your thoughts. Feel free to share them in the comment section below, Tweet us, or share them on our Facebook page.

cash control

Despite the continued increase of food trucks accepting credit cards (72% as per our poll last year), many food trucks still take in hundreds of dollars of cash each day.

Cash Control In Your Food Truck

To accept cash on your truck you also need to keep additional cash on board, specifically for for making change. Without a good cash control system in place, food truck vendors often find themselves wondering if all of this cash is finding its way to their bank account and eventually to their mobile food business’ bottom-line.

While, there are many best practices for cash control, one often overlooked practice is to keep a separate cash on hand account with a set amount and never mix it with cash receipts.

The cash on hand account typically consists of bills and change needed for the cash drawer, a backup change fund and optionally a separate petty cash fund. These funds must be kept separate from daily sales receipts and must be large enough for conducting business in between shifts or having to send an employee to make a bank run for additional change.

Whoever maintains the cash control in your food truck operation should be issued a fixed amount for their cash drawers prior to their shift. As additional change is needed the owner or manager simply exchanges larger bills from the cash drawer for change from the change fund, leaving the total amount of cash in the drawer and the change funds unchanged.

At the end of their shift the cashier separates the beginning cash drawer from the rest of the cash and the manager returns it to the safe for use on another shift. The cash receipts are then matched against the register report and added to the daily bank deposit.

Do you have any additional cash control tips you’d like to share with our readers? If so, please feel free to add them to the comment section below, Tweet us or share them on our Facebook page.

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