FACULTY OF TECHNICAL AND VOCATIONAL EDUCATION

GROUP ASIGNMENT 2

GROUP 3

A START GUIDELINE FOR RESTAURANT IN KUALA LUMPUR, MALAYSIA

COURSE Industrial Policies and Regulations In Foodservice

COURSE CODE BBS10205
STUDENT NAME 1. MASTURINA BINTI ABU BAKAR (CB220070)
2. GABRIELYN ANAK MILLTON (CB220065)
3. ASYRA ANTHONY (CB220062)
4. MUHAMMAD ABADI BIN ROSLAN (CB220160)

SECTION 1
LECTURER SIR AFIF NAIM ABD RANI
SUBMISSION DATE 16/11/2021
TABLE OF CONTENT

BIL. CONTENT PAGE

1. ACKNOWLEDGEMENT 1

2. INTRODUCTION 2

3. OBJECTIVE OF THE STUDY 3

4. MAIN BODY
- The estimate cost for start food truck business 4
- Types of vehicles 5-6
- Food van series 6-7
- Designing the food truck 8
- Interior and Exterior Design 8-11
- Pros and Cons of Food Truck 12-18
- The food truck scene – how to get involved 19-25
- Kitchen layout and Movement in Food Truck 26-27

5. CONCLUSION 28

6. APPENDIX 29

7. REFERENCE 30
ACKNOWLEDGEMENT

First of all we would like to express our special thanks to our respected lecturer En.
Afif Naim Bin Abd Rani for his able guidance and support in completing this project.

In addition, we would also like to express our immense gratitude to our parents for
giving us the facility to complete this course work. Next, we would like to thank our friends,
especially our teammates, for giving many opinions and reminders about everything that
needs to be done for this task within the limited time just because of them we was able to
create our project and make it good and enjoyable experience. Finally, we would like to
thanks those who have been involved directly or otherwise in the creation of our course
work. Thank you.
INTRODUCTION

With new and trendy food trucks rapidly becoming a respected venue for food, the
focus on them as a new business opportunity has grown immensely over opening a brick
and mortar location. Not only do they present a low barrier to entry into the food industry but
also the overall requirements for management make them a tantalizing option for those
opening up a new business.
However, as is expected with any business, the small size and mobility of food trucks
do come with their share of drawbacks. One of the most notable being issues related to
space. Most food truck quality standards in a much more confined condition.
This means less room to work in with about the same level of work in with about the
same level of work as a standard brick and mortar restaurant. This decreased level of space
adds an increased level of difficulty towards cleaning and sanitization with easy opportunities
for food poisoning from cross-contamination and human error with food safety practices.
OBJECTIVE OF THE STUDY

One of the objectives is to supply clients with healthy and freshly cooked food in a
fast and efficient way and to provide quality fast food stuff to the locality. This will be good for
clients who are watching their cholesterol level, and for people who have less time to go to a
restaurant or cook at their homes.

Another objective is to go for prospective clients. To modify the new and other
service with the change in consumer's taste, market demand and competitor's strategy.
Furthermore, choosing a place to do food truck business also needs to be appropriate to
render an enlightening environment to enjoy food item and also to play important role in the
society besides profit margin.
MAIN BODY

THE ESTIMATE COST TO START FOOD TRUCK BUSINESS

The cost for food truck business is more cheaper and its quicker to establish. You
only need to own a vehicle and identify the perfect location to mobilize your business. It is
estimated an average of RM15,000-RM20,000 is required to start a small scale food truck
business. No more hassle is property renovation or rental costs as compared to setting a
restaurant on the shop lots for example.

Since the cost is not too high, one can start the business from own savings.
Alternatively, entrepreneurs can also access funding through banking loans or financing
schemes offered by the government. The average cost breakdown to start a food truck
business is as shown in table 1.
TYPES OF VEHICLES
There are many types of vehicles that can be converted into a food truck such as lorry, bus,
van and some even transformed their wagons, cars, pickup truck and motorbikes to become
a food truck.

1. Van

2. Lorry

3. Bus

4. Wagons
5. Motorcycle

A) FOOD VAN SERIES

Identify the size, type and capacity of the vehicle to suit your budget and type of business.
Different kind of vehicle bring different qualities and prices.

1. Food truck
2. Food cart

3. Food trailer

B) DESIGNING THE FOOD TRUCK

 Plan your truck design to accommodate your business requirement. If there is a need
for a freezer to be installed or the size of your gas burner. Ample space must be allocated for
food preparation, cooking, servings and order or payment counter. You also can choose the
type of the truck body, either steel or fiber. It is highly recommended to use fiber body of the
truck because it is more durable and easy to clean. The owner of the food truck must keep a
close monitor during the refurbishment process of their truck to ensure it follows exactly the
design proposed.

C) INTERIOR AND EXTERIOR DESIGN

The interior design depends on your budget. Always remember that safety and
practicality take precedence over design. The graphics painted on the body of your food
truck must contain elements to promote your product. You can also use a wrap, sticker, and
even marker pen as long as it suits your budget and business looks more creative, funny
and beautiful for the customer.

D) POWER SUPPLY (GENERATOR)

 It is advisable to use cooking gas while cooking instead of using a generator if you
plan to utilize the generator for a longer time. A generator will normally be used to supply
electricity for lamps, machines, freezer, coffee maker, deep frier and oven.

E) APPROVAL FROM RELEVANT AUTHORITIES

Getting approval from Jabatan Pengangkutan Jalan (JPJ) and Pusat Pemeriksaan
Kenderaan Berkomputer (PUSPAKOM) is also the important element for the food truckers to
run their business. It may need 3-4 months to get approval from the authorities. You must
also obtain a license or permit from local authorities in the area that you want to conduct
your business.

The type or design of food truck and the food that you offer was is the main of the
attraction to the customer and the influence of the interior design and the equipment that you
need to have for run the business. It is also advisable to not sell the same and exact product
like the other food-truckers nearby.
Customer normally will determine either the menus you offer are good or not based on
several factors which are:
i. Taste of the food
ii. Price
iii. Quantity
iv. Time taken to serve the food
v. Publicity
vi. Uniqueness
An ideal food truck normally has 3 operators that is receiving order and payment,
preparing food and packaging. As you involved in the food industry, the staff must have to
knowledgeable in food safety preparation by attending training and get a proper vaccination
such as hepatitis and typhoid.

Hepatitis vaccination card, typhoid card and Food Handling Certificate

The important segments that must have to start food truck business:

Business description - Define the food truck industry in your region, the current outlook,
future potential, the concept and theme, other markets and industries that may affect the
business.

Market analysis - Identify the market’s trend, set a target market, analyse the competition.
Avoid having a similar menu to a competitor operating in the same area.

Organization and management - Explain in detail what plan to run the business, establish
standard operating procedures for both employees and yourself, as well as responsibilities
on a daily basis.

Product line - List out a detailed description of the menu, ingredients, procedures, cooking
and food preparation processes, including the quantity intended for sale.
Marketing plan - Lay down the details of how plan to market the food truck business. Be it
online marketing such as social media, paid advertising, influencer marketing, etc. or offline
marketing such as flyers, radio commercial, etc.

Funding request and proposal - clarify how much funding need to start food truck business
and exactly how you plan to get it. If decided to sign up for a personal loan or a government
or private sponsored fund, specify the exact amount you want to borrow.

Financial projection - create a breakdown of your predicted expenses, as well as profits

and losses for first 3 years to give a realistic expectation of the path that about to embark on.
Pros and Cons of Food Trucks
In recent years, food trucks have become increasingly popular, and more reputable
restaurants are embracing them for a variety of reasons. Food trucks can serve as
temporary restaurants that aid in increasing sales in untapped markets.

Pros:
1. Business expansion

Some eateries use food trucks to

increase their customer base. Through the
use of a food truck on wheels, they can
create a specialty menu to attract
new clients or consumers while they are out and about for lunch.

2. Active neighbourhood:

Setting up shop in the heart of the action is made possible by owning a food truck.
Attending neighbourhood events like sporting events, plays, or trade exhibitions will increase
the number of people who frequent your business because you are an active member of the
neighbourhood.

3. Business promotion:
 If you own a restaurant, food trucks are a great way to promote your brand. The van
serves as a mobile billboard by bearing the name of the eatery.

4. Mobile restaurant:

Food trucks provide quick bite, fusion dishes, and some American favourites on
the go. It enables you to take your restaurant where the customers are.

5. Relationships with customers:

By regularly interacting face-to-face, you can better understand their needs and establish
a food truck culture.

6. Reduced investment outlay:

 Food trucks give you a terrific platform to expand your company with less capital outlay
and also give you the perpetual option to move the company.

7. Long-term profitability:

Owning a food truck is more profitable in the long run than renting a home. While the
landlord might increase the rent, you simply pay the parking fee.

8. Unique Spin

Food trucks provide distinctive and intriguing meals. Customers are excited and having fun
as a result of getting the chance to taste strange and uncommon food flavours. Food trucks
provide you the chance to showcase your individual style and the distinctiveness of your
cuisine.
9. Flexible:
 You have a lot of choice with the truck when it comes to the menu, business hours,
location, and event scheduling. You now have the chance to expand your company.

10. Large Customer Base:

By concentrating on providing top-notch meals at a marginally lower cost, you might

draw more clients from various regions.

Cons:
1. Maintenance costs:

Running the truck to and from adds to the cost of fuel and vehicle upkeep. Additionally,
licensure and insurance are highly expensive.

2. Limited storage:
 Buying food in bulk and keeping it chilled helps many eateries save money. Trucks have
a certain amount of cold storage space, and running trucks to and from your supply base
might take a lot of time and money.

3. Difficult to run:

It is difficult to run a food truck. You have to comply with various food truck codes and
laws, manage people and reduce food costs to attract more customers.

4. Competition:

Other seasoned food truck enterprises may present a lot of competition for you in
some major cities.

5. Legal restrictions:
 There are a variety of laws governing food trucks in different cities. You should also take
into account additional legal constraints, such as those linked to corporate tax rules and food
safety regulations.

6. Weather Condition:

Severe rain may discourage customers from going outside to buy food, which will hurt
your business.

7. Long working hours:

You must put in long, irregular hours if you want to be successful in your trucking business
and make significant profits.

8. Price limits:
 Customers expect food prices to be low compared to restaurant prices, therefore, you
need to be creative with supply prices and increase your profit margin.

9. Small Space:

Food trucks provide you with a very small area to expand your kitchen as well as the
essential tools you require.

10. Truck modification:

It is time consuming and expensive to modify old trucks and build food units. Repairs
for older trucks can be costly.

The Food Truck Scene – How to Get Involved

 You must first purchase and set up your food truck before you can enter the
market. To give you a better idea of the financial requirements before you set out on
your culinary adventure, we've attempted to provide a cost breakdown.

Estimation of Costs

The cost for the first year is estimated as follows by Malaysian Food Truck, a
support group on Facebook for company owners who want to establish their own
food truck or are already operating one.

Permit fees

Business Permit GDL License

In order to get started, you would need to obtain a SSM Company registration
(RM100) as well as a GDL License (RM500). Additionally, you need to apply for a
local business permit from the local council in which you want to operate your food
truck. This permit costs RM1,080 which you need to renew every 6 months.
Operating fee
 To attract your customers and offer them a positive experience, you also need
to provide attractive looking menus and bunting to attract people's attention. This will
cost you RM300. In terms of raw materials to run the business, it can be estimated to
stack up to RM20,250 per month based on the assumption that your cost per meal
looks like this:
(RM4 for food + RM0.50 for packaging) x 150 meals + 30 days)
Also, it is useful to keep around RM3000 in your backlash for any emergencies, plus
RM300 per month for maintenance.

Food Truck

A complete food truck can cost, according to Star2.com, between RM100,000

and RM150,000. After setting up your truck, it will need to pass through a
Computerized Vehicle Checkpoint.
Tip: Majlis Amanah Rakyat (MARA) offers programs including financing and
consultation for new entrepreneurs in the food truck business. Applicants must meet
the following conditions: engagement in business for less than 6 months; experience,
business or industry knowledge and completed the MARA entrepreneurship course
or any equivalent.

Expected results
 At an average price of RM10 per meal, this means 4500 single meals per
month or 150 per day (30 days per month). However, not only single meals but also
occasional catering events need to be taken into account. According for small
events, the estimated income you can earn is between RM1,000 - RM1,500 per
event and for large events up to RM8,000 per event.

Potential Costs and Revenues at A Glance

Assuming your financing amount would be RM125,900 with an interest rate of 7%
and a duration of 5 years.

Prosperity Outlook for Food Truck Drivers

In conclusion, it should be noted that the market forecast is really favourable,
making the food truck industry seem like a smart option. Food trucks bring a lot of
great variation to the overall culinary scene, according to some market experts. Food
trucks can therefore play a significant role in the expansion of Malaysia's food and
beverage industry.

The Legal Side of Owning a Food Truck

Get your licencing in place before starting your mobile food business. Since
each state, county, and city has its own regulations for permits and licences, it would
be impossible to list and explain them all, but there are a number of common issues
that need to be addressed. You might start by phoning to find out the essential
requirements as your local department of health typically has the information you
require.
 Health department inspectors often visit food vans at least once a year,
occasionally at random. Inspectors look at how food is kept in order to prevent
spoilage and to maintain the right temperature. The water supply, sinks, and kitchen
utensils are all inspected. A punishment may be imposed if commercial kitchens and
garages where food vehicles are kept do not adhere to health and fire regulations.
Remember that licences must be renewed. When the permit is set to expire,
renewal applications are mailed to the permit holder's last known address, so be
sure to update your address if you move.
To be on the safe side, inquire about any particular requirements for your
vehicle with the relevant regulatory body in your area. For instance, any food that
needs refrigeration must be kept at the proper temperature, and food preparers
today are required to wear disposable food preparation gloves.
In terms of your vehicle's alteration, you should start with the necessities to
satisfy the municipal inspection standards. From the floor to the walls to the
preparation and serving areas, everything put in your car needs to be simple to
clean. You need to take into consideration everything in the truck or kiosk from the
safest and most hygienic standpoint, including the primary food preparation
equipment and the proper dispensers for napkins, stirrers, and plastic utensils. Your
local health department will go into detail about all of this.

Business License
 You might furthermore need to acquire a business licence in your city or
county in addition to health standards and licences for food service. You can
frequently get direction from city hall or the county clerk's office. A business licence
often costs less than 1,000. A DBA (Doing Business As) certificate, which verifies
that you are really conducting business under a fictitious name, is required if you
operate your business under a truck or company name.
Remember that vehicle licences and inspections are also necessary. You
must have the proper vehicle registration if you operate a car. Registration may also
be required for carts and trailers. To discover out what you require in your region, be
sure to contact the department of motor vehicles.

Zoning, Parking and Other Considerations

Zoning regulations are also in place in cities, municipalities, and counties,

dividing the land into commercial and non-commercial zones. Despite being mobile,
you have nowhere to park. Most places only allow automobiles, buses, and food
trucks in specific places. You should be able to get a list of parking locations from the
county clerk. In addition, you might need to respect a two-hour parking limit and pay
at a parking metre, yes, even a trolley.
Always park as close to the curb as you can and avoid double parking. There
may be some less well-known parking rules that you should be aware of. For
information on town or city ordinances, speak to your regional department of motor
vehicles or browse regional webpages online. For instance, in some localities, it is
against the law to park food carts or trucks near schools or within a certain distance
of them when classes are in session.

KITCHEN LAYOUT AND MOVEMENTS IN FOOD TRUCKS

 A minimum of 8 motions must be recorded for fusion cuisine, and a maximum of 18
movements may be recorded for cooking a single meal. The entry from the back has been
designated as the starting point for the workspace's flow stairway to the door. Most of the
food preparation activities start at the sink area for example washing the food sources like
vegetables and fruit. However, there were trucks that do not install sink, inside or outside the
truck. The vendors are just using water dispenser because the sink is unnecessary for them.
The majority of food trucks serving fusion cuisine work with various burners, utensils,
tools, and ice boxes or chillers. They are involved in food preparation processes like boiling,
frying, and cooking rice. Working in these three types of areas the sink area, the food
preparation area, and the cooking area represents the majority of activity in the food
preparation flow. Most of the sinks were installed near the preparation table, which at the left
side from the drawing because the setting up of piping and extra storage.
Typically, this storage is utilised for the below the food truck, there is additional
storage as well as an air conditioner and an air ventilation system. This could result in
negative effects for the because the sink is too close to where the installed cabinets are food
truck operation. The food truck employee thought the sink area, which is in the back of the
desk, has generated discomfort and difficulty in assessment. Operator finds it challenging to
move to the sink area. Every food truck experienced this issue, including those serving
western cuisine. Trucks as well as the food trucks serving beverages in Malaysia. It is ideal if
the sink area is located close to the entrance area for access to the sink is easy.

Food truck kitchen layout and Storage Tank

The number of motions reported for preparing a single meal of western cuisine ranged from
a minimum of 14 to a high of 21 movement. From the entrance, they went to the kitchen to
wash their hands, removed the fries, pulled the marinated food from the freezer, placed it in
the sink, and waited for it to defrost. Then they started frying while simultaneously cooking
the beef or marinated chicken, making mashed potatoes and serving it with their particular
sauces. Western cuisine also required a lot of utensils, stoves, and room to prepare.
Food truck western kitchen

CONCLUSION
 The industry is expected to see continued growth even during the pandemic.
Food trucks are super popular and the novelty alone brings in customers, but by
working with a reputable franchisor you can start off your business on the right foot
with a customer base and business plan that is pre-established.

Food trucks can test out different locations at various times and see where
they get the most business. Since they basically have a business on wheels, they
can go in search of customers. Businesses that are in a standing location have to put
more effort into advertising to create brand awareness. Whenever drive the food
truck around town, it will getting free advertising.

Food trucks trends are taking off. The industry is worth millions of dollars and
continued growth is expected. Many investors are considering hopping on the food
truck trend, so the sooner you get in on it the better. There are food truck franchise
opportunities to be found everywhere. A food truck investment is likely to pay off as
long as you are passionate about and devoted to the success of the business.

APPENDIX
Food handling Certificate Typhoid Injection

GDL License Food Truck Kitchen Layout

Food Truck Design

REFERENCE
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2) https://en.m.wikipedia.org/wiki/Food_truck

3) https://www.comparehero.my/investment/articles/food-truck-scene-how-get-involved
Dennis is a Guest Writer at CompareHero.my.

4) https://www.smeinfo.com.my/tag/going-into-food-truck-business/

5) https://www.slideshare.net/EmranHosain1/wellcome-to-food-truck-business

6) Martinson, Gabrielle. 2013. “In its First Summer, District’s Food Truck is a Success.”
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