Strolling around an outdoor event and ordering specialties at food truck windows spurs curiosity about the business vision behind those delightful aromas and tantalizing menus.
Insights were shared by Quad Cities locals Dan Thomas, proprietor of the Iron Horse Grille and the Red Pony Confectionery, and Cliff and Cathy Clark, owners of a truck showcasing kettle corn. These entrepreneurs are among a handful of locals advancing their food truck businesses through trial by fire.
“The food truck industry is one of the most rapidly growing business models in the country,” Thomas said of the nationwide trend, which boasted 4,130 trucks and revenue of $1.2 billion in 2015. Those statistics were published online by mobile-cuisine.com. The numbers underscored a 12.4 percent industry gain over the previous five years and the seventh consecutive year of consistent growth.
“With the advent of Arizona’s newly enacted minimum wage law, [the state’s food truck industry] stands to gain a huge leg up because of its unique ability to mobilize, market on a dime thanks to social media and operate with minimal staff,” Thomas predicted.
The hiccups of managing food truck businesses in the Quad Cities area inspired Thomas and three other food truck owners to form Mile High Mobile Food last year “to offer assistance to newcomers starting into the business, as there is no written handbook whatsoever, and to incorporate our different menus into some local group settings around the area.”
Most food trucks across the country operate from streets or corners, events or other locations, construction sites and shopping malls. Average startup costs nationally totaled $90,300 in 2015, according to mobile-cuisine.com. The major expense was the average truck costing $85,000. Revenue nationwide in 2015 averaged nearly $291,000, the website noted, with the average order commanding $12.40.
“People in Northern Arizona, just like the rest of the country, love food trucks, but have little opportunity to experience them due to the highly regulated, yet non-uniform laws that govern,” Thomas stated. “The sooner our cities and towns wake up to this, the sooner tax revenues can be increased by means other than, well, raising taxes.”
Two members of Mile High Mobile Food remain, Thomas said, himself and Carol Chandler, with Street Slice pizza.
“There are still a handful of good operators out there, though most are relegated to part-time event work because there just isn’t enough opportunity to earn a steady income,” Thomas explained, as he geared up for a multi-day event in Quartzsite. “If a person wants to do this full-time, like I do, they are forced to take jobs in other cities, usually 100+ miles away, just to pay the bills. Fortunately for me, I like to travel and really enjoy seeing areas I might not otherwise experience.”
A person with a food truck business “could make a killing if motivated to work,” said Cathy Clark. “It’s long hours, but as soon as everybody buys and they like, they want to come back.”
The Clarks run their food truck and lemonade stand at varied venues, including Walmart. A percentage of their earnings goes to area non-profits. They have been operating for less than a year in the Quad Cities region; previously, they owned Kingdom Kettle Corn in Phoenix. Locally, they are finalizing details such as business name and marketing. They have found Facebook to be a successful place to market in the past.
“We would have people calling us, even a year after we stopped selling, to see where we were located,” Cathy Clark shared. “[When we were open], they would drive the next city over, just to get some of our kettle corn. Recipes sell, just like your favorite restaurants. There are not a lot of people that do kettle corn. People get excited.”
The Clarks learned the kettle corn business from one of Cliff Clark’s friends who had a truck. “I helped him out. He taught me how to cook it. I ran into a trailer for sale. It just kind of mushroomed from there. Kettle corn is a very simple business to run. It’s just oil, corn, sugar and salt. It’s a very part-time thing for us right now. It’s not our main bread and butter.”
He added, “We just kind of fell into it. It’s not something that we planned out for a long time. We’ve kind of figured it out as we go. You have to be energetic and fun. You’ve got to be creative. You’ve got to have good food. There’s a lot of competition. There are a lot of other restaurants out there.”
Thomas said he started Iron Horse Grille in July 2015, worked his first event in October of that year. In January 2016, he bought Red Pony Confectionery for more business exposure and diversity of cuisine.
“My goal was, and still is, to work weekend events in the Quad Cities area and beyond,” Thomas explained. “Little did I know the controversy that surrounds mobile food vending in much of this area. The better part of last year was spent experimenting with different events and learning the ins and outs of the business, like where trucks are allowed to operate, how and when. Each city has a unique attitude toward them.”
City-sanctioned events are the only opportunities to legally operate a food truck in Prescott, Thomas noted, while Prescott Valley and Chino Valley allow daily operation with three requirements: an improved surface; private property with permission of owner and access to restrooms; and adequate parking for customers plus ready access for fire vehicles. The latter must be drawn in a diagram and submitted to the appropriate town’s zoning department.
For anyone thinking about getting into the food truck business, Cathy Clark recommended, “Having that fun personality is number one. You really have to like people. It’s a lot of hard work. Cleanliness is a big deal. People want to walk up and see a clean truck. You have to really understand what you are getting into.”
The Clarks’ 14-year-old daughter, Cayna, has been helping out since age seven. On a recent Sunday, she stacked product for sale and dished up samples.
Researching the community in which one wishes to do business is very important, the Clarks said, especially understanding regulations. “Lots of people come up to the trailer and say, ‘What a great idea. This would be a great little side business.’ Once they realize all the loopholes you’ve got to go through, they lose heart.”
The Clarks said they would like to see a fenced “food truck alley” in Prescott. Cathy Clark said she also was aware of the potential to sell at farmers markets, if local products and produce is used in the cooking.
“I would like to tip my hat to Chino Valley and the wonderful people who I have encountered there,” Thomas said. “Everyone has welcomed us each time we make an appearance. Towns like this make it enjoyable and easy to work, and in fact, seek us out to enhance their exposure. That’s how it’s supposed to work: unique and separate business models collaborating to enhance the customer experience with a mutually beneficial arrangement. Sound familiar? Look at any strip mall and you’ll see the same formula.” QCBN
Story and photo by Sue Marceau
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