The $2 billion food truck industry is an ideal option for catering services. Due to its mobile nature, a food truck suits different occasions and situations, such as events and parties. Once the hiring team or event planner decides on a food truck as the primary catering method, the next step is to draw up a food truck catering contract to ensure every obligation is well defined and met. Check out this guide on how to write your own catering contract and start earning extra income for your food truck business.
What to Include in a Food Truck Catering Contract
When writing a catering contract, ensure you have the following on the contract.
A cover letter introduces your proposal and lays out the essential information to help the client better understand your services. However, refrain from going too deep into the price in the cover letter. Ensure you highlight the following when writing the cover letter and general information.
- Event types. The event type influences the services you provide and the costs.
- Event date and time. The demand for catering services differs from season to season, influencing the cost. In addition, events that require more hours may attract additional fees.
- Event venue. How far the event is may determine if there may be additional costs.
- Minimum guaranteed guest count. The expected number of guests is likely to influence the costs too.
Menu and Menu Pricing
In this section, you will write your food truck menu pricing according to each item on the menu. The section of your food truck catering contract should include:
- The list of menu items
- The cost per guest
- Total fees for each menu item
- The entire cost for the whole menu.
When listing the item prices, ensure you explain all related fees to avoid the appearance of hidden costs.
Detail any additional costs, even those unrelated to the menu items. In this section, you can list:
- Labor costs
- Delivery fees
- Event planning fee in case you helped your client to plan the event.
The Final Quote
Sum up all the charges to determine the final quote. The final figure is essential to help the client know what they are paying for your service. It is also vital to help you assess your ROI or profits.
Catering Policies and Contract
Detail the client’s policies in this section and highlight the following:
- The guaranteed minimum guest count. This means you still get paid according to the guaranteed guest count if guests show us less. Additionally, if the guests turn up more, you reserve the right to raise the fees reasonably.
- A guaranteed time duration.
- Cancellation policies. List your policies on cancellations and refunds if the client cancels after hiring your services.
- Payment terms and deposit. Ensure you stipulate the payment terms of the final costs after the client makes the deposit.
Finally, in the last section, add a place where clients can add their payment information and sign the food truck catering contract.
Growing Your Food Truck Business with Catering
Once you have written this contract, ensure you present it appropriately and formally. Upon signing the catering contract, you can provide your food truck services as agreed and start earning additional revenue for your food truck business.
If you’re ready to grow your business by adding a new truck to your fleet, contact Legion Food Trucks today!