How Much Does it Cost to Start a GameTruck?
Depending on the size and complexity of your business, startup costs can range from $50,000 to $74,000. Most game truck owners face comparatively low overhead costs, with loan payments and fuel being the biggest monthly expenses. However, the amount you pay each month will depend on your location and region. Below we have outlined the typical costs of running a game truck. We also discuss how much it costs to obtain a franchise and get started marketing your business.
Franchise costs
The cost of opening a GameTruck Franchise is determined by a variety of factors, including the size of the franchise, staffing, inventory, season, and other factors. These costs are usually fixed, but can vary depending on how large your franchise is. In most cases, the initial start-up costs are covered by the franchise’s initial costs. Once your business is operating and generating revenue, your costs will decrease. Below are the costs involved in opening a GameTruck Franchise.
Franchise costs for Game Truck can vary significantly, but the average is $34,800. It may be surprising that the costs of operating a Game Truck are so low when compared to the amount you’ll be making. Moreover, Game Truck offers financial transparency, so it’s easy to get started and grow. Their website even provides information about industry metrics. It is easy to get started, but it is important that you fully understand the franchise details before signing the contract.
Legal entity formation
A legal entity is required to allow you to operate a gaming van. If you are sole proprietor, it is possible to file for sole proprietorship and then use business names. However, this does not give you any liability protection. If you are interested in gaming truck franchising, a franchise is a better option. A franchise allows you to get everything you need, including IT support, within 6 weeks. An average Game Truck will book 40 parties per month. This is enough to break even.
Creating an LLC is a good option for game truck businesses, because it protects personal assets and reduces taxes. An LLC protects you from lawsuits when you run a game truck business, such as for trademark infringement, personal injuries, or property damage. This type of business structure is great if you want to hire truck drivers or hire multiple employees. So, it’s worth considering setting up a business entity to protect yourself and your family’s assets.
Marketing
If you are considering a business opportunity with a mobile video game truck, you should think about investing in a franchise. This is an excellent choice because you will receive ongoing support from the franchise company and your own branded vehicle will be your mobile billboard. ADP, Stripe and Batteries Plus are all Game Truck franchise partners. To get started, you can learn about these companies and their partnerships on the Game Truck website.
A franchise costs between $19,500 and $89,500. A minimum of $50,000 should be available in liquid cash. Franchisees can expect to earn nearly $2 million per year and franchise owners will be expected to take part in more than 500 Make-A-Wish chapters each year. A GameTruck franchise will spend approximately $94k on marketing.
Insurance
You will need to purchase insurance for your GameTruck business, including commercial auto policies. You are not required to buy the minimum coverage. However, it is recommended to purchase higher limits. Insurance for a game truck typically costs $450 per year. Below are some examples of what you should look for. Below are the insurance requirements to open a GameTruck Franchise.
You will also need to pay for sales tax. Most businesses must collect sales tax. You can avoid this by obtaining a resale certification, which allows you to purchase goods without having to pay tax. If you plan to serve alcohol at an event for older people, you will need a liquor licence. To protect your business assets and business, you will need business insurance.