A Quick Guide To Start Your Business on Wheels

If you are looking to ditch the 9-5 grind and take on the exciting experience of starting your own business, a mobile enterprise might be a good idea.

• It’s freer than working for somebody else;
• Requires less capital and resources than your typical startup; and
• Great for people who love the outdoors or the open spaces!

Mobile businesses have experienced a boom in recent years thanks to the power of social media. These apps have enabled micro-enterprises to market their business with more vigor and get to the last mile to reach their target audiences.

In this article, we are going through the basic steps of starting a mobile business. We’ll cover how to make a business plan, tips on getting funding, choosing the right vehicle, and finally, branding your mobile business.

Let’s get to it.

The 6-Step process to starting your mobile business

Below you will find a step-by-step guide on how to start a business on wheels. Some of the information here is going to be pretty broad, like when we cover mobile business licenses. But that’s because those types of things tend to vary greatly across geographical locations.

For all the rest of the tips, we have tried to keep things brief and straightforward. This way, you’ll get all the basics immediately, and start your mobile venture on a surer footing.

1. Create a business plan

No matter the type of business you’re starting, a comprehensive business plan is a must. Not only does it give you a road map to success and focus, but may also be needed when applying for loans or funding.

The basic components of a well-thought-out business plan include:

• Executive summary: This is the basic concept of your business. You’re wooing potential investors and consumers. Be authentic, but show your excitement in the language.
• Business goals: Outline your objectives and share your goals, both long-term and short-term.
• Market analysis: Identify your target market, share their traits, buying habits, etc., and describe the need you’re going to fulfill with your offering.
• Competitor analysis: Summarize your key competitors. Share what they have to offer and how you’re different.
• Business structure: Are you going to be a sole proprietor or a co-owner? Is it going to be an LLC or will have a different business structure?
• Operations plan: Who will run the mobile business? How do you plan to turn a profit?
• Marketing and sales plan: How will you market the business? What marketing channels do you prioritize and why? What does your sales strategy look like?
• Financial plan: This is a critically important part. Take help from a financial expert to sort this section out for you. Your potential investors will pore over this part to determine if you’ve done your research right.
• Funding request: Lay out your funding request and share what you’re willing to offer in return. Equity? Partnership? How do you plan to pay it back, if you’re asking for a loan?
• Appendix: List all the additional documents you’ve included with the business plan. This will help improve the credibility of your idea. Add things like permits or licenses, market studies you have done or consulted, and product or service photographs that make it easy to visualize what you are offering.

To learn more about how to create a strong business plan, Shopify has some insights to share.

2. Get funding

The next big step is to get funding for your business on wheels idea. The typical sources that entrepreneurs usually think of are:

• Personal savings
• Help from friends and family
• Bank loans

But beyond these obvious options, you also have sources like grants, crowd financing, and small business associations to consider. All three can be somewhat resource-consuming. You’ll have to write detailed business plans, show a strong business idea, and compete with other hopeful startup founders.

But if you’re successful, these grants and SBA loans can be extremely helpful and very economical.

Apart from small business loans, your local bank may be offering loan options such as Merchant Cash Advance, business line of credit, and equipment financing opportunities.

Look for funding solutions that are small-business friendly and have comparatively lower interest rates.

3. Obtain necessary licenses and permits

To operate any kind of business in the country, even a food bike, you need to obtain the necessary legal permissions to do so.

However, these permissions and mobile business licenses vary greatly as you move from one county to the next, from one city to the next, and from one state to the next. So it’s next to impossible to list all the different types of licensing you might need for your mobile business.

The best thing to do is to reach out to your local government (like the Health Department if you are planning to run a food truck or something) and get details on what specific legal requirements apply to your unique case.

4. Source reliable suppliers

Businesses thrive and survive on good reputations. One way of establishing a good standing for your portable business brand with the public is to consistently provide reliably good service/products.

And who is the most critical person who can help you do that?

Your supplier.

The company or the person that you source your raw materials, ingredients, equipment, or tools from is going to have a huge impact on the quality of the service you provide.

Stocked inventories, high-quality materials, and a reliable supply chain will help convey to your customers that you’re reliable, consistent, and can always be counted on.

When looking for suppliers, look for quality and reliability. Use your local business networks to find supply chain partners that you can trust with your brand repute.

5. Select the right vehicle

Depending on the type of mobile business you’re starting, your vehicle of choice may range from a bike to a cart, to a truck.

But beyond identifying the right type of vehicle for your business, you have other factors too that influence the decision:

• The fuel mileage. If you plan to cover a large service area, you want a vehicle that gives you the most fuel economy.
• Resale value. You want to invest in a machine that you can resale at a profit. If it’s a brand or a type of car that doesn’t see much use out of niche markets, you may get stuck with a vehicle that you don’t need.
• A new car vs. a used car vs. a leased car. A vehicle is always a depreciating asset. Decide carefully if you want to invest a large sum of money towards it. Try to find a deal where you can balance your budget with value, especially if you have cash flow problems.
• Ongoing expenses. Fuel, maintenance, insurance, and tax are some of the recurring expenses to consider. A good quality car that doesn’t cost too much on insurance, fuel, and maintenance should be the deciding factor for you.

Remember that even if you get the best vehicle for your mobile business, surprise repairs might pop up at any time. Find an auto mechanic that you can rely on before you go buy the car. Learning some basic auto repair work that you can do yourself isn’t a bad idea either.

6. Brand your mobile business

When you drive your retail truck on the road, you want people to immediately understand what you’re selling. Your logo design, the colors, fonts, and shapes you use in your graphics, and the brand slogan you create, all of that must send a cohesive message.

• Logo design: Choose a logo design that describes your core product/service plus your brand’s character.
• Website design: People trust business websites over social media. Create a website for your mobile business, even if it’s a single-page site with all the necessary info about your business — what you do, what you offer, how to reach you, etc. — on it
• Business slogan: It’s a catchy phrase that summarizes your brand promises and can potentially turn into a brand mantra. Learn how to create an effective business slogan that endears your brand to the public.
• Packaging design: Whether you’re selling a product or a service, chances are you’re going to need some form of packaging for your brand. Create one that gels with the rest of your visual design and enhances what you’re offering. Learn some quick tips on print design here.
• Truck/cart design: This is your literal store on the road. Develop the look and feel of your cart design and make sure it promotes your business-on-wheels brand as fully and instantly as possible.

Hit the road with your Mobile Business!

Begin marketing your mobile business right away. Social media is a great way to get the word out. But think of long-term strategies like local SEO, paid marketing, and business collaborations, too.

Remember that any great business idea is only as good as the effective marketing it gets. For the most success, prioritize brand marketing and remain updated with trends. It’ll help you gain access to newer market segments and keep your brand identity refreshed.