Food and drink · LLC guide · updated
How to start an LLC for a food truck
A food truck combines two risky businesses, serving food and driving a heavy vehicle, and usually has thousands of dollars of cooking equipment and propane on board. A foodborne illness claim, a grease fire or a crash should land on the company, not your home. Cities and event organizers also want permits and certificates of insurance in a business name.
Our registered agent is optional: $74.25 a year, the same at renewal. Questions first? Ray or Vinny picks up at (954) 470-8356.
- EIN
- Mobile food permit
- Commissary
- Fire inspection
- Sales tax ID
Food Truck businesses in the U.S.
Source: U.S. Census Bureau, County Business Patterns 2022 (NAICS 722330), the latest U.S. totals.
Why food truck owners form an LLC
Foodborne illness
A customer who gets sick can sue the business that served the food.
Fire and propane
Fryers and propane tanks bring fire risk; most cities inspect the truck before permitting it.
Driving the truck
Moving between sites adds auto liability that a restaurant does not have.
An LLC keeps the company's debts and claims away from your personal assets when you run it as its own business: its own bank account, contracts signed in its name, and no mixing of money. It does not cover your own negligence, and lenders often ask for a personal guarantee. Insurance comes first.
Licenses and registrations for a food truck
Federal items link to the agency's own page. State and local rules vary, so pick your state at the top for your state's business portal. Tick items off as you go; the list remembers your progress on this device.
- We do thisForm the LLC and get its EINAlmost every registration above asks for the company's legal name and EIN, so this comes first. We file the LLC with your state for $123.75 plus the state fee, and can get the EIN for $41.25; the IRS also issues it free online.
Insurance and taxes to plan for
Insurance
- General liability with product coverage
Covers illness and injury claims; events usually require it.
- Commercial auto
A personal policy will not cover a food truck.
- Equipment breakdown and property
Covers the kitchen equipment inside the truck.
Taxes
- Sales tax by location
Prepared food is taxable in most states, and the rate can change when you move to a different city or county. Register for sales tax before your first sale.
- Truck depreciation
The truck and its build-out are depreciated; get the build-out invoiced separately.
Health permits, the commissary contract, event vendor applications and the truck title should all show the same LLC name. Mixing personal and business names is the most common reason a permit is delayed.
Forming the LLC itself: 7 steps in every state
- 1. Check the name
- 2. Name a registered agent
- 3. File with the state
- 4. Sign an operating agreement
- 5. Get an EIN
- 6. Open a bank account
- 7. Keep it in good standing
The filing office, fee and yearly report change by state. Open your state's step-by-step guide.
What it costs to form a food truck LLC
| Cost | File it yourself | With Vermilion Vitez |
|---|---|---|
| State filing fee (paid to the state) | $35 to $520 | $35 to $520 |
| Filing service, operating agreement included | $0 | $123.75 |
| EIN from the IRS | $0 | $0 yourself, or $41.25 if we get it |
| Registered agent, per year (optional) | $0 if you serve yourself | $74.25 |
State fees as charged at our checkout. Industry licenses, permits, bonds and insurance above are separate and set by each agency. Checkout shows the card processing fee before you pay.
Frequently asked questions
Do I need an LLC to start a food truck?
No, but nearly every food truck owner forms one. It keeps food illness, fire and auto claims away from personal assets and gives permit offices one business name to issue to.
How many permits does a food truck need?
Usually a business license, a mobile food unit permit from the health department, a fire inspection, a sales tax registration and food manager certification. Trucks that work in several cities may need permits in each.
Can I cook at home for my food truck?
Generally no. Food sold from a truck must be prepared in the truck or a licensed commissary kitchen, not a home kitchen.
What state should a food truck LLC form in?
The state where the truck operates. That is where the health permits, sales tax and insurance are.
How much does it cost to form an LLC for a food truck?
Your state's filing fee ($35 to $520 depending on the state) plus $123.75 if we file it, with the operating agreement included. Industry licenses, bonds and insurance are extra and set by each agency.
Is this page legal or tax advice for my food truck?
No. It summarizes public rules in general terms, with links to the agencies that set them. For your situation, talk to a licensed attorney or CPA, or book a free call with us.
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Ready when you are
Have us file your Food Truck LLC
$123.75 plus your state's filing fee, with the operating agreement included. Checkout shows the full total, card processing fee and all, before you pay.
Rather talk first? Call Ray or Vinny at (954) 470-8356.