Street Food Restaurant: Startup Budget

This article was written by our expert who is surveying the industry and constantly updating the business plan for a street food restaurant.

Who wrote this content?

The Dojo Business Team

A team of financial experts, consultants, and writers

We're a team of finance experts, consultants, market analysts, and specialized writers dedicated to helping new entrepreneurs launch their businesses. We help you avoid costly mistakes by providing detailed business plans, accurate market studies, and reliable financial forecasts to maximize your chances of success from day one—especially in the street food restaurant market.

How much money do I need to get started?

Most street food restaurants launch with $20,000–$80,000, depending on whether you buy a cart, a truck, or a fixed stall.

This includes build-out, equipment, permits, and an initial marketing push tailored to high-traffic locations. A basic cart can start around $10,000, while a mid-size truck or kiosk with ventilation and refrigeration commonly lands between $40,000 and $80,000.

Add 10–15% to cover installation surprises, utility hookups, and finishing touches like menu boards and safety gear. Plan this number before you sign any lease or purchase a vehicle.

You’ll find detailed market insights in our street food restaurant business plan, updated every quarter.

Lock the budget before committing to suppliers.

How much operating cash for the first six months?

Set aside $30,000–$60,000 to cover six months of operating expenses before profitability.

This cash covers rent/site fees, wages, utilities, restocking, and basic marketing while you stabilize traffic and refine your menu. Use your projected monthly burn (fixed + variable) and multiply by six, then add a 10–15% buffer.

For a lean cart (2 staff) expect closer to $30,000; for a busier truck or stall (3–4 staff) plan $45,000–$60,000. Revisit this reserve after your first 60 days based on actual sales and COGS.

Get expert guidance and actionable steps inside our street food restaurant business plan.

Keep this fund liquid and separate from day-to-day cash.

What rent should I expect in a prime spot (by city)?

Prime street food locations range widely, with $650–$3,700+ per month typical for high-traffic Asian metros and more in top-tier districts elsewhere.

Use the table to benchmark monthly fees—actuals vary with frontage, hours allowed, utilities, and whether it’s a market, mall, or curbside concession.

How much for essential equipment (including maintenance)?

Budget $20,000–$80,000 for core kitchen and service equipment depending on format and menu.

Allocate an annual 10–15% maintenance reserve to keep uptime high and extend asset life. Prioritize food safety (refrigeration temps) and speed (griddle/fryer recovery times) to protect margins.

What do permits, licenses, and inspections cost—and how often do I renew?

Expect $500–$5,000 upfront for licensing and permits, plus $300–$2,200 annually for renewals.

Renewals are usually yearly and tied to health, vending, and fire safety compliance. Budget extra for surprise reinspections after relocations or menu/process changes.

How much working capital for initial inventory—and what’s the turnover?

Allocate $8,000–$25,000 for your first inventory of food and disposables.

Target a 10–14 day inventory cycle (2–3 turns per month) to keep freshness high and waste low. Use daily prep lists and par levels to prevent overbuying and stockouts.

As sales stabilize, lock key SKUs with suppliers and negotiate volume breaks tied to your proven run-rate. Track COGS weekly and adjust portion sizes or recipes if gross margin falls below target.

This is one of the strategies explained in our street food restaurant business plan.

Short cycles protect cash and quality.

What share of the budget goes to staff, training, and uniforms?

• Plan labor at 20–30% of revenue in year one, including wages, payroll taxes, and benefits.
• For 2–4 staff, expect $7,500–$15,000 per month depending on hours and menu complexity.
• Allocate an extra ~5% of wage cost for onboarding and basic food-safety training.
• Uniforms/PPE typically run $300–$800 per person for initial sets plus quarterly refresh.
• Cross-train to reduce peak-time overtime and protect service continuity.

How much for branding, signage, and launch marketing?

Invest $3,000–$7,000 to get noticed fast in your first 60–90 days.

Spend on logo, stall/truck signage, menu design, packaging, local ads, and creator tastings that drive real footfall. Track cost per acquired customer and double down on the top two channels.

DIY options (stickers, stamps, eco-packaging) can trim costs without sacrificing brand recall. Build a simple landing page with menu, hours, and Google Maps link for instant discovery.

We cover this exact topic in the street food restaurant business plan.

Measure weekly and reallocate budget to winners.

What does a modern POS and digital payments setup cost?

Expect $500–$2,000 for POS hardware and software, plus processing fees.

Budget for a touchscreen tablet or terminal, cash drawer, receipt printer, and a handheld for queue-busting. Add a small monthly SaaS fee and per-transaction fees from your payment gateway.

How much should I allocate to insurance?

Set $1,000–$5,000 per year for comprehensive coverage.

Carry general liability, property/equipment, and workers’ comp; if you operate a food truck, add commercial auto. Confirm event coverage and product liability for packaged items.

Raise limits for high-footfall sites or if cooking with open flame or deep fryers. Review coverage at each renewal to match revenue and equipment growth.

This is one of the many elements we break down in the street food restaurant business plan.

Insurance protects both cash flow and brand.

How big should my contingency be?

• Hold 10–15% of total project cost as a contingency fund.
• Typical use cases: equipment repairs, ingredient price spikes, permit delays, weather hits, or staff turnover.
• Keep at least one month of total expenses liquid during the first year.
• Trigger rules: if weekly sales drop >15% for 3 weeks, release a targeted promo funded by contingency.
• Rebuild the fund after each drawdown using a fixed % of monthly profit.

How should I structure working capital day-to-day?

Keep 2–3 weeks of food and disposables in cash (usually $3,000–$8,000) for reliable restocking.

Use short supplier terms (7–14 days), and align them to your 10–14 day inventory cycle. Reorder on par levels, not gut feel, and monitor waste daily.

Ring-fence tax, rent, and payroll in separate sub-accounts each week to avoid cash creep. If seasonality is strong, pre-save two weeks of extra COGS before peak events.

This is one of the strategies explained in our street food restaurant business plan.

Disciplined routines keep your cart or truck always stocked.

What financing options work best—and what terms are realistic?

Street food startups typically mix savings, microloans, and equipment leasing.

Bank/SBA-style small business loans often run 3–5 years; microfinance can be shorter but faster to approve. Leasing smooths capex on trucks and heavy equipment and preserves cash for operations.

What percentage of the budget should go to staff in year one?

Target 20–30% of revenue for total labor cost (wages + taxes + benefits).

If your concept is cook-to-order with complex prep, expect the upper end; if batch-prep with narrow menus, plan the lower end. Track labor hours per $1,000 sales and reduce idle time between peaks.

Introduce small batch prep and pre-portioned mise en place to speed service without overstaffing. Update staffing model every 30 days using real ticket times and sales by hour.

Get expert guidance and actionable steps inside our street food restaurant business plan.

Labor discipline is central to street food margins.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are encouraged to consult with a qualified professional before making any investment decisions. We accept no liability for any actions taken based on the information provided.

Sources

1. Dojo Business — Street Food Restaurant Startup Costs
2. CPD Online — Setting up a Street Food Business
3. Gala Tent — How to Start a Street Food Business
4. Makro ChefsClub — Street Food Startup Capital
5. PropertyHub — Retail Space for Rent (Thailand)
6. The Restaurant Store — Food Truck Startup Costs
7. We Sell Restaurants — Capital Needs Overview
8. FazWaz — Bangkok Retail Rentals
9. SynergySuite — Restaurant Inventory Turnover
10. Manifestly — Restaurant Permit & Licensing Checklist