Food Truck vs Handmade / Craft, startup cost comparison, StartupLenz

Food Truck

Higher net

Mobile food service with permit, commissary, ingredient, and event costs

Gross$21,120

Net profit$6,784

Margin32.1%

Orders/mo1,760

Food COGS$5,069 24%

Beverage COGS$1,056 5%

Labor$4,752 23%

Fuel$660 3%

Fixed costs$2,250 11%

Card fees$549 3%

launch · 1–3$1,006

traction · 4–8$6,784

scale · 9–12$12,057

Solid margins for a food truck. Reinvest in route expansion or a second truck.

Etsy-style handmade goods with material, platform, and shipping costs

Gross$504

Net profit$54

Margin10.6%

Orders/mo18

Materials$90 18%

Packaging$14 3%

Labor$180 36%

Platform fees$99 20%

Shipping$32 6%

Advertising$25 5%

launch · 1–3$36

traction · 4–8$54

scale · 9–12$79

Margins are thin, look at reducing material or shipping costs before scaling volume.