Starting a Food Cart Business in the Philippines
A food cart is a business you can start on small capital, ranging from P30,000 to a maximum of P300,000. Ease of set-up, low capital requirement, and high chances of success are making food carts the top small business to start in the Philippines. Their regular single food cart options start at P30,000.00. Their 2-in-1 package is priced at P35,000.00, and P45,000.00 for its 3-in-1 food carts.
Food carts have grown in the Philippines due to increased demand for on-the-go and low-cost food. Fish balls are arguably the most iconic street food. Adobo is one of the best dishes to eat in the Philippines.
Moreover, the government is putting in more infrastructure to make food trucks more attractive to consumers. A franchising food cart business requires a total investment cost of 40-60K pesos. Rent at public transport stations is P150 to P200 per day. Mall space for food carts costs around P25,000 a month. Food carts can easily be spotted anywhere, from stations to every corner of the street in local Barangays.
Profitability and Market Outlook
Several entrepreneurs decide to start a business in the Philippines’ food industry as the Statista expects the revenue for the food market in the Philippines to grow annually by 7%, from 2023 to 2027.
Brett Lindenberg, founder of Food Truck Empire and Food Empire Pro, aims to help entrepreneurs build profitable food businesses. Since 2014, Brett has interviewed over 100 entrepreneurs on the food business in the podcast Food Empire Pro and written on food business aspects. To start a food truck in the Philippines, the first is to apply for a business license and many different permits before you start operating. Food trucks are increasingly taking center stage in the culinary scene, offering innovative cuisines on the go. Given the favorable economic and social conditions in the Philippines for the fast-food industry, food trucks have a clear opportunity for growth.
You need a competitive concept, viable plan, well-stocked truck, and marketing to build clientele. Vendors creatively produce food in small spaces with minimal equipment. If done right, trucks can make $250,000-$500,000 yearly, with the top 25% earning over $1 million.
Starting costs range from P15,000 to P200,000. Some companies charge monthly or royalty fees, so it’s important to research pricing carefully. The basic Filipino life unit is the family, with values including family orientation, joy, humor, flexibility, adaptability, and creativity.
Choosing the Best Food Cart Business
Food carts are regarded as a top small business in the Philippines with startup costs that can range from P30,000 to P300,000. Demand for affordable, on-the-go meals has boosted the popularity of food carts. Iconic street food like fish balls and beloved dishes like adobo are key factors driving sales.
Rent can be as low as P150-P200 daily at stations and P25,000 monthly at malls.
When launching a food truck business, obtaining licenses and permits is critical, and strict regulations on safe food handling must be followed due to the regulated nature of the industry.
It takes a distinct concept, a smart business plan, a well-stocked truck, and effective marketing to achieve success in the food truck business. Researching popular foods and competition, offering unique dishes, and being creatively adaptative are essential steps to reach the high earning potential of the industry.