Alternative Catering

Food trucks, pop-ups, event catering, ghost kitchens… the possibilities are almost limitless when it comes to alternative ways to get your food out there without relying on an expensive venue.

Most of the options present fantastic opportunities with reduced costs associated but there are still risks…

Read on for tips on running your business

Margins: What You Need to Know in Mobile & Alternative Catering

Running a food truck, pop-up, or dark kitchen? Margins matter even more when your income is event-based or unpredictable. Here’s how to keep things profitable without overcomplicating it.

1. Understand the Margins That Matter

  • Gross Profit = Sales – Direct Costs (food, drink, packaging)

  • Gross Margin = Gross Profit ÷ Sales × 100

  • Net Profit = After all costs: travel, fuel, pitch fees, staffing, insurance

  • Net Margin = Net Profit ÷ Sales × 100

💡 Good benchmarks:

  • Gross Margin: 65–75%

  • Net Profit Margin: 25%+ on successful days

2. Your Real Enemies: Inconsistency & Invisible Costs

Compared to venue based businesses, your fixed costs are lower—but your variable costs hit harder:

  • Weather

  • Poor event footfall

  • High pitch fees

  • Long travel or setup times

  • Uncertain demand

If you're not analysing event profitability (e.g. profit per hour or per day), you could be putting in long shifts for slim returns.

3. Keep Stock Lean & Menus Focused

Stock wastage and prep time kill margins fast:

  • Offer a tight, high-margin menu

  • Standardise portions

  • Batch prep where possible

  • Have a fallback plan for unsold food

Want a simple event profit calculator or menu costing sheet?

I help food truck and mobile catering businesses make the most of good days—and avoid the costly ones.
👉 Grab your free margin toolkit

4. Focus on Volume Days

You won’t get consistent weekday trade like a café, so you need to maximise the high days and minimise dead ones:

  • Lock in repeat events

  • Track which sites work financially—not just for brand awareness

  • Be ruthless with ditching low-profit setups

Final Thought

Alternative catering gives flexibility—but it demands discipline. Keep your numbers tight and your menu efficient, and you’ll keep the freedom without losing the money.