California is well-known for being a food truck-friendly state. Los Angeles is regularly ranked as one of the best cities for food trucks in the U.S., and the year-round sunshine throughout most of the Golden State makes it ideal for outdoor eateries.
If you want to know how to start a food truck in California, you’ll find everything you need to help you get started in this handy guide — from need-to-know laws to selling at food truck festivals.
Understand Food Truck Requirements in California
Before you apply for licenses or hit the road, there are several aspects of your food truck business to establish first:
- Business name: Your food truck’s name should reflect the kind of food you sell while being catchy and easy to remember.
- Business classification: Most food trucks are sole proprietorships or limited liability companies (LLCs), but there are several other ways to structure your business, such as partnerships and joint ventures.
- Employer identification number (EIN): This is issued by the Internal Revenue Service (IRS) and used to identify your business for tax purposes.
- Certificate of Insurance (COI): Otherwise known as proof of insurance, this document provides important details about your liability coverage. Commercial kitchen landlords and festival managers will ask to see your COI before letting you lease space or vend at their event.
- Food truck business plan: You need a business plan to apply for loans and licenses, but it’s also key to helping you keep your business on track.
Obtain California Food Truck Licenses
After setting up your business, acquire the licenses you need to run your food truck.
In California, exact licensing requirements vary between cities and counties. To identify which permits you need, use the state’s online permit assistance tool, CalGOLD. Below are a few licenses and permits most California food trucks need, regardless of local government.
Business License
- Allows you to do business within a specific locale (may also be referred to as a business tax registration)
- Cost: $50–$100
- Where to get it: Your city government (if you live in an unincorporated area, contact your county government)
Zoning/Site Use Permit
- Allows you to conduct business from your food truck in specific areas and designates specific restrictions, such as hours of operation and on-site advertising
- Cost: $100–$1,000
- Where to get it: Your city government (if you live in an unincorporated area, contact your county government)
Mobile Food Facility Permit
- Required for all food trucks by some jurisdictions, such as Los Angeles and San Diego
- Cost: $140–$1,010
- Where to get it: Your county government (if applicable)
Seller’s Permit
- Lets you collect and remit sales tax on the food you sell
- Cost: $0
- Where to get it: California Department of Tax and Fee Administration
Health Permit
- Issued after your food truck passes a health department inspection
- Cost: $100–$1,000
- Where to get it: Your city or county via the California Department of Public Health’s directory
Fire Permit
- Required by some jurisdictions to confirm all food trucks adhere to the local fire safety code
- Cost: $125–$150
- Where to get it: Your local fire department via Cal Fire’s directory
Food Handler’s Permit
- Certifies that anyone working in your food truck has passed an exam on food handling and safety best practices
- Cost: $7.95 per employee
- Where to get it: ServSafe or other accredited training course
Follow Food Truck Laws in California
Whether you sell empanadas in Eureka or boba tea in Santa Barbara, California has rules and regulations all food trucks must follow.
Business owners who violate these laws risk being fined, temporarily shut down, or being forced to close their doors, so knowing the laws in your area is crucial.
A few key regulations to be aware of include:
- Commissary requirement: California’s state food safety code requires food truck owners to have a commissary agreement with a licensed commercial kitchen where you prepare food and clean your equipment
- Workers compensation laws: All California businesses with employees are required to carry workers compensation insurance in case an employee is injured or killed on the job
- Prop 65: This law requires businesses in California to provide a clear warning on any products containing chemicals that have been known to cause cancer, birth defects, or reproductive harm
- Food handler’s card requirement: Anyone handling food in your food truck must have a valid food handler’s permit proving they have taken an accredited class and passed an exam on food safety best practices
Get California Food Truck Insurance
Food truck insurance is a critical part of running your business. Accidents happen all the time, like a customer getting food poisoning or injuring themselves around your food truck. With the average food truck claim totaling $6,271, you don’t want to risk having to pay these expenses out of pocket.
California food business insurance from Food Liability Insurance Program (FLIP) includes essential coverages to protect your food truck from common claims. Plus, it meets most commercial kitchen and event participation requirements, so you can enter commissary agreements and food festivals without a hitch.
Learn the Cost of Running a Food Truck in California
Running a California food truck comes with its fair share of expenses, and many operators spend $50,000 or more to start their business.
Aside from licensing fees and insurance premiums, here are a few standard operating expenses to factor into your budget:
- Food truck
- New: $50,000–$175,000
- Used: $30,000–$70,000
- Cooking equipment
- Grill/griddle: $500–$5,000
- Deep fryer: $1,000–$5,000
- Oven: $1,000–$10,000
- Refrigeration
- Refrigerator/freezer: $1,000–$10,000
- Prep table: $500–$5,000
- Safety and sanitation
- Commercial sink: $500–$3,000
- Handwashing sink: $500–$3,000
- Fire suppression system: $2,000–$4,000
- Technology
- Point of Sale (POS) system: $2,000–$4,000
- Inventory management software: $50–$200 per month
Pro Tip: Running your business is expensive, so make sure you’re pulling in a profit with an effective pricing strategy that covers your costs while protecting your margins
Explore Food Truck Festivals in California
Participating in food truck festivals is an excellent way to introduce your business to new customers and establish yourself in the food truck scene. Be sure to adhere to local requirements wherever your truck takes you!
Check out these popular food truck festivals in California:
Pro Tip: Looking for more events in your area? Check out our food festival directory for more recommendations!
FAQs About Starting a Food Truck in California
What Are the Fire Safety Requirements for Food Trucks in California?
Local fire departments have their own requirements for food trucks, but they generally mandate you have the following:
- Standard fire extinguisher
- Class K fire extinguishers (for trucks that use deep fryers or have cooking appliances that produce grease-laden vapors)
- Gas detection system
- Proper propane tank and generator storage (distance from the food truck, combustibles, public access, etc.)
- Employee fire safety training
What Food Operations Do Not Need a Health Permit in California?
Some California food businesses are deemed low-risk and are exempt from needing a health permit, including:
- Class A cottage food operations (CFOs that make direct sales from home or at a farmers market)
- Food carts or compact mobile food operations that sell prepackaged or whole, raw fruits and vegetables
- Vending machines
- Businesses offering complimentary food (snacks, coffee, etc.)
- Businesses operating exclusively within a commercial or shared-use kitchen
- Farms
Food trucks are not on the list of exempt businesses and must acquire a health permit to operate legally, even if they prepare, cook, or store food in a commercial kitchen.
Alex Hastings
Seattle-based copywriter and (WA) licensed insurance agent Alex Hastings leverages her experience as a lover of fast-casual food, baked goods, and iced oat milk lattes. She holds a B.A. in Creative Writing from Western Washington University. Before working at Veracity, she was a retail copywriter at Zulily and an English language teacher in South Korea. Alex is fully trained on FLIP insurance coverages and writes content that connects food and beverage business owners with the policies they need.
Seattle-based copywriter and (WA) licensed insurance agent Alex Hastings leverages her experience as a lover of fast-casual food, baked goods, and iced oat milk lattes. She holds a B.A. in Creative Writing from Western Washington University. Before working at Veracity, she was a retail copywriter at Zulily and an English language teacher in South Korea. Alex is fully trained on FLIP insurance coverages and writes content that connects food and beverage business owners with the policies they need.
Kyle Jude
Kyle Jude is the Program Manager for Food Liability Insurance Program (FLIP). As a dedicated program manager with 10+ years of experience in the insurance industry, Kyle offers insight into different coverages for food and beverage business professionals who are looking to navigate business liability insurance.
Kyle Jude is the Program Manager for Food Liability Insurance Program (FLIP). As a dedicated program manager with 10+ years of experience in the insurance industry, Kyle offers insight into different coverages for food and beverage business professionals who are looking to navigate business liability insurance.
