The food truck niche is still alive and well. In fact, it has gained more acceptance and grows more and more profitable every day. It is a fantastic and low overhead way for a person or company to get their brand out there.
For a new business, financing your food truck can be difficult, especially if you seek to further cut overhead with a used model. Still, you have several options and Tina can help. Let’s take a look at some of your choices.
Get A Quote Online
Your first option is to get an online quote from one of the largest loan networks online. I can help by giving you access to this network which may be able to help you get the loan you need, even with bad credit. The great news is that the entire process of getting a quote takes just a matter of minutes and there is no fee or obligation. If you like you can accept it, if not, just turn it down and go look at your other options.
About Your Online Quote
So, how does it all work? Simple. Just take a few minutes and enter your information in the quote form above. Once you are done, hit submit. Your information then goes securely to the loan network. It then goes from lender to lender until one is found that wants to make you an offer. If one is found, you will be given the information on the loan so that you can make a decision. If you like everything, you can simply accept the loan and you are one step closer to getting your food truck. Don’t like the loan? Turn it down and move on, it is as simple as that.
Benefits Of Online Quotes
The benefit of getting an installment quote online for your food truck are numerous. For starters, it may be easier to qualify for. Even with bad credit, a loan network such as the one above makes it easier. This is because the network is made of all kinds of lenders, many of whom are used to dealing with less than perfect credit profiles.
With a bank, you have to meet a particular set of requirements or you get turned down. With a network, there are potentially many more lenders with varying requirements. More chances to find a match and get a loan offer.
Another option, if you are going new, is to apply for a loan with the vendor that you want to buy from.
Some food truck manufacturers may offer in house financing on the purchase. If not, they will usually have sources that you can turn to in order to get the money you need. This, in many cases, will be a leasing company.
Just because a company specializes in equipment leases though does not necessarily mean that you will be stuck with a lease. If you would rather own your equipment at the end of the term, you can typically apply for a lease purchase. This will have a buyout at the end of the term so that you can purchase the equipment. The buyout on your food truck could be as little as $1 with one of these purchases.
Pros & Cons Of Vendor Finance
The good thing about working with a vendor is that they have done it all before. If this is your first time financing anything, they can help walk you through the process. In addition, because you will be buying new, you can get exactly the food truck that you want with no compromises. If your plan is in order and you are confident about the success of your new venture, it might be a good route to go.
There are, of course, a few negatives with working with the vendor. One of the biggest is that you will be stuck with just that vendor. What would happen if you decided that you wanted a different model from a different vendor. You might have to start the process all over again. That could end up being a bit aggravating.
Another negative is the fact that you would be purchasing a new food truck when a used one might be the better business decision. Many food businesses fail because they do not have enough capital to get started and maintain their business during the first tough year or even years. New equipment can come with a payment that is double that of good quality used restaurant equipment.
A final option is to go after a business loan from a local bank.
Pros & Cons Of Business Loans
The good reason to go this route is to get the most start up capital. With a good business plan and good credit, you can have all the money that you require to properly start your business, giving you a better than average chance of success.
The downside to a business loan is that they may be hard to obtain. If you have bad credit or a lack of experience in the food truck industry, you might face a lot of obstacles getting approved.
In addition, a business loan will take time and a lot of paperwork. You will have to submit a business plan and a great deal of paperwork. Your bank might need tax returns, business checking account records and professional references, among other things. If time is of an issue, t can be frustrating.
Food Truck Outlook For Success
If you are considering a food truck, you probably already have a plan. There are many ways to go with one. You could do the basic route and offer a little of everything. Comfort foods like tacos, burgers and hot dogs. This type of truck would do well servicing construction sites, offering basic cafeteria quality food.
Another option and one that is becoming more common, is the gourmet food truck. Pick a small niche and make it your own. This is the way to truly make a name for yourself and form a brand that you can grow.