Deciding to begin a concession business may seem like a simple choice. Many people envisage a portable trailer or van that allows you to travel easily from location to location and set up wherever there is trade to be had. This is not the only option though. More and more concession stands are becoming a static business and although the stand isn’t in the form of a solid bricks and mortar building, they are permanent to one location. Deciding which choice is right for your business may make the difference between failure and success. To make this decision you will need to assess what each option has to offer, the advantages and disadvantages and how these factors tie in with your own business plan.

Size and space

The choice of food that you sell will determine how much space you require for storage, preparation and cooking. Obviously the larger your menu range the more supplies you will need. This sounds like basic common sense however just because you whittle down your menu items to just a few this doesn’t necessarily mean that you will need less space. There are other factors that also need to be looked at.

  • The amount and range of equipment that is needed to create your products will have a massive effect on the space that you will require. A small menu item may require a large piece of equipment to be able to produce quality end results. Permanent stands will often allow for a wider range of equipment to be installed. The level of custom you expect can also determine the size of the appliances you need, you just need to weigh up if the required amount of space is feasible and something you can accommodate.
  • The amount of preparation that ingredients need, will also determine how much space will be required. Depending on your selected menu items you may be able to prepare certain dishes beforehand and then simply keep them in storage until you are ready to serve at an event. Some products however will lose their optimum taste, texture and overall quality if not freshly prepared and consumed straight away. These items will need to be prepared and cooked if necessary, freshly to order. The amount of preparation and the timescale to which these items can be pre-prepared will have an effect on the amount of space you will require on your stand. Portable stands tend to offer less space for preparation and cooking of menu items.
  • How many ingredients do your dishes require? Although the end result may be a fresh and tasty sandwich for example, the amount of ingredients involved in making it may be many. With all fillings, garnishes, bread and rolls and condiments etc. the amount of storage space required is increased. If you serve meat fillings alongside vegetarian alternatives you will need to ensure that a separate preparation area is designated to reduce any risk of cross contamination between ingredients. Permanent stands tend to offer more storage space for necessary ingredients and supplies.
  • The size of the products you are offering on your menu will dictate the space required on your stand. For example, a large cut of meat waiting to be sliced for each order will take up more cooking and storage space than a batch of hot dogs. Although portable stands tend to offer less room on a whole it does not mean that large items need to be ruled out altogether.

Food preparation

Generally there are two ways in which food items for a concession business can be prepared and cooked.

Option 1; prepare and cook items menu freshly on site

Option 2; rent a small kitchen area where the food can be prepared and cooked and then transferred to the stand

Obviously option 1 will require a much larger stand than option 2 however there are benefits and drawbacks to each.

Option 1 Advantages;

  • Items are fresh, and the quality is not compromised
  • The aroma of freshly cooked food is a huge draw for customers
  • Customers like to see what they are ordering and watch it actually being prepared and made to their order
  • Your only limit is the amount of stock you can store at one time

Disadvantages;

  • More space is required, so your stand will need to be large enough to accommodate ample room for preparation and cooking equipment
  • As all food is freshly made on the stand there is usually little preparation that can be carried out beforehand to ease the workload whilst trading
  • The range of menu choices will not be able to be as comprehensive
  • Storage space will become an issue if you are trading at an all day event

Option 2 Advantages;

  • Items can be prepared prior to the hours of trading meaning that there will be less pressure on site
  • A wider range of products can be offered
  • Storage space is ample

      Disadvantages;

  • Extra cost is incurred for the rental of a small kitchen
  • If you do not prepare enough products you run the risk of failing to meet demands and running out of items before the trading day is over
  • Unless you choose menu items that transport well and can retain their freshness and quality, the products that your customers actually receive may not be up to standard

Both of these options could be used for either permanent or portable businesses however extra costs should always be taken into account. Before deciding which option is the most suitable for your business be sure to look into any licences and regulations regarding each option. There may be additional licences required to prepare and cook food from your stand as opposed to in a rented kitchen space.

Transportation and vehicles

Deciding on how you can viably conduct your business to produce maximum results will ultimately determine whether you will become a permanent or a portable business.

If you decide to pursue the portable avenue there are a number of considerations that you must accommodate for before the grand unveiling of your stand.

  • Will I tow a trailer behind a car or purchase a van that is modified into a commercial stand
  • Where will I store the stand when it is not in use
  • Where will I store my stock between events
  • How will I know where the trade is and make sure I am there to capitalise on it

The permanent route will also raise some areas for thought that must be addressed prior to opening your business.

  • How will I transport my stock and produce to the stand
  • Do I have the perfect permanent location to maximise my potential trade
  • How much will the rental on a permanent site be
  • How will I attract customers

For your business to work and become a success whether portable or permanent these issues must be clarified and solutions and answers in place before you begin to trade. Careful research and planning will guarantee that there are no unexpected issues, problems or costs that arise once you have made your investment in the business.

Location

Getting the location perfect for any business requires research into the surrounding areas, the people who frequent the area and whether they will be receptive of your products. Your location may often need to be reflected in your menu prices. If, for example, you have a permanent stand in an airport you may be able to charge slightly higher prices. Often stands in prime locations such as these will have a high site rental and so you must compensate for the added overheads. A portable stand at an event doesn’t need to be a bargain basement however the quality and size of the portions should be adequately reflected in the price.

A permanent stand may be ideally situated in places such as airports or shopping centres etc. This allows you to maximise on the heavy and constant flow of foot traffic and can allow you, in some cases, to encourage a level of loyalty and regularity from your customers. For example, frequent flyers may always come to you for their lunch or shoppers may always visit your stand for their favourite snack whilst out on their weekly shopping trips. Once you have found your ideal location you can turn your full attentions towards excelling in quality and range and getting your marketing and advertising perfect.

A portable stand will also need constant thought in order to select the ideal locations each and every time you trade. Aspects to consider that will guarantee a high level of custom are;

  • Is an event likely to attract plenty of visitors in a constant stream for an entire day
  • Are there any other traders selling similar products to you in the area
  • Are there any size restrictions as to the stands permitted
  • Is the site accessible
  • How long can you trade in that area and will you need to travel to multiple locations during one day of trade in order to maximise profits
  • How much are the pitch fees in relation to your projected profits for the event

Although mobile stands offer the flexibility to travel to where the customers are, the start-up costs are generally higher and storage and space can become an issue. Permanent stands may not provide ever-changing scenery, but you will be able to offer a wider variety of products and storage should not become a problem. The start-up costs will usually be slightly lower, and you will have the opportunity to build a level of regularity with customers always knowing where to find you.

Top Tip: When purchasing equipment for a mobile catering stand always be sure to check that the manufacturer's warranty covers use in such settings. Some manufacturers warranties are void if not sited and used in a solid, permanent building and equipment will not be covered in case of fault or failure.

Determining what type of concession stand will be the most profitable and the best suited to your business plan can take thought and time, but this will be time well spent. By assessing your start-up budget in relation to the pros and cons of each option you will be able to ensure that you can financially sustain the business in the future and continue trading until you are more experienced and established in the concession market.