To open a taco stand, it is crucial to create a thorough business plan, design an irresistible menu, acquire equipment and licenses, choose the best location, and take advantage of efficient technology, such as a plug-and-play POS system.

In this article, you will find detailed information and helpful tips on how to open a taco stand, attract customers, and make a profit.

Key steps to opening a taco shop:Key steps to opening a taco shop:

Research your local market

Write a convincing business plan

Pick the best location

Acquire the necessary permits and licenses

Invest in helpful equipment

Create a menu clients won’t be able to resist

Choose the best taco stand POS system

Hire productive team members

Pick an attractive, yet functional design for your stand

Market your newly launched taco stand

How to open a taco stand 101

Follow this guide on how to start a taco stand to ensure your new business venture will not only be profitable but will also become one of the most coveted food spots in your area.

 

1. Research your local market

Before opening a taco shop, you must first answer these questions:

  • Is there space on the market for my business?
  • Are there clients interested in buying my products?
  • What type of menu items do people expect from a taco stand and how much are they willing to pay for them?

To find out the answers, you must:

  • Analyze direct and indirect competitors: go on Google Maps and find out how many other businesses in your area sell tacos. Then check out their websites to determine their location, type of service, menu offerings, prices, and reputation;
  • Send out surveys: you can hire a company or send out surveys yourselves to find out what potential clients are interested in.

2. Write a convincing taco shop business plan

taco stand set up

A business plan is a helpful tool for not only attracting potential investors, but also for outlining all key aspects of your business. It can act as a guideline that will drive your business to success.

A comprehensive taco shop business plan must include:

  • Executive summary: a brief description of your business, including concept, values, mission, and goals. For example, “Restaurant Pronto delivers authentic Neapolitan pizza with high-quality ingredients imported from Italy, and a friendly atmosphere for all ages”;
  • Market analysis: what is your target market? Who are your competitors? What are some industry trends that you will adopt?
  • Operational plan: detailing location, supply chain, permits, staffing, and legal requirements;
  • Financial plan: startup costs, forecasted revenue and profits, break-even analysis and funding request, if necessary;
  • Menu planning: what products will be on the menu and the pricing strategy;
  • Marketing plan: starting with a brand identity, promotional strategies and key actions for launching your business.

3. Pick the best location

How to open a taco stand? First, decide if you want a stationary stand or a food truck that you can move to different locations. This, and the following factors, will aid you in picking the most profitable location:

  • Foot traffic: while most of your clients will be attracted by online marketing, don’t underestimate the power of foot traffic. If a lot of people pass by your taco stand, some of them will be hungry and will stop to grab a bite at your place;
  • Accessibility: if you want as many customers as possible, you must make it easy for them to reach you. Therefore, pick a location that is close to a variety of modes of transportation and also has parking spots nearby;
  • Proximity to landmarks, city center, offices, schools: depending on your target market, you will get more orders if you are near them. For example, if you cater your taco menu items to office workers, ideally, you should have a location near office buildings.

4. Acquire the necessary permits and licenses

taco business names

One of the first steps in each guide on how to open a taco stand is making sure your business is legal. It is better to do the research at the start and get all the required documents, than risk a big fine or even closure later.

Here are the main permits and licenses necessary for opening a taco shop in the US:

  • Business License
  • Food Service License
  • Food Handler’s Permit
  • Resale Permit
  • Certificate of Occupancy
  • Fire Permit

Please take into consideration that the permits and licenses needed to open a taco stand will vary according to location and setup. To get exact information, you can check:

  • Local City Hall or County Clerk’s Office
  • State’s Secretary of State Website
  • Local Health Department

5. Invest in helpful taco stand equipment

taco business equipment

In order to properly budget for your new food business, you must know all the costs involved. A big part of your start-up expenses will go to appliances, tools, and utensils.

Here is the main taco business equipment you will need:

  • Grill: for cooking the meat. Look for one big enough to cook multiple meats at once and with adjustable heat levels;
  • Griddle: perfect for cooking quesadillas, potatoes, and eggs;
  • Food processor: for tasty sauces;
  • Fridge and freezer: to store inventory while not in use;
  • Tortilla warmer: to keep the wraps fresh for your clients;
  • Cooking utensils;
  • Serving containers;
  • Storage bins.
taco stand equipment

6. Create a menu clients won’t be able to resist

How to start a taco stand business that attracts a lot of clients? Create a mouth-watering menu with high-quality ingredients and products that stand out. On top of the classic tacos like barbacoa, al pastor, carne asada, and lengua, you can add some unique items with bold ingredients and flavors, such as:

  • Hawaiian Huli Huli Chicken Tacos topped with a fresh pineapple, mango, and avocado salsa;
  • Apple Pico de Gallo and interesting spice combination (turmeric, mustard, cumin);
  • Blackened Salmon Tacos with pickled radishes and onions.

Moreover, you want to make ordering as easy as possible for clients, especially during rush hours. For this, you need to get the free QR code menu from GloriaFood. All you need to do is create the QR code flyer, print it, and have it displayed in a visible place at your taco stand.

 

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People will be able to scan the code, browse your online menu leisurely, add their desired items to the cart, and even pay, all while standing in line, waiting to enjoy your delicious tacos.

Increase speed of service at your taco stand during rush hours

Enable QR code menu ordering with GloriaFood for FREE

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Furthermore, consider adding nutritional and allergen information to your menu items to make your taco shop a great option for people with various diets and allergies. You can use the free online menu creator from GloriaFood to do so easily.

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7. Choose the best taco stand POS system

Delicious tacos are a requirement for a successful taco business, but they are not enough. You must also provide fast and helpful service if you want clients to return and recommend your business to others.

To achieve this, you need the best taco shop POS system from GloriaFood. Following a fast and intuitive setup process, you will enjoy:

  • A color-coded menu category dashboard to speed up service: so employees can immediately identify products and add them to the order as fast as possible;
Is selling tacos profitable?
  • Ability to accept multiple payment methods: satisfy every customer by accepting cash, credit and debit card, and smart devices;
taco business name ideas
  • Offline mode: continue opening checks and accepting payments even when the internet is down;
taco stand permit
  • Staff management features: monitor the checks and transactions of each employee on the POS to prevent fraud and track performance;
how to run a taco truck
  • Access to valuable analytics: identify best-selling dishes, know your busy days, find out the most common type of order and more with the incorporated reports module;
how to start a taco business
  • Online ordering integration: discover a new revenue stream! The free online ordering system from GloriaFood easily integrates with the POS system so you can auto-accept online orders through the POS.
opening a taco shop

Speed up service and increase client satisfaction

Take advantage of the best taco stand POS system from GloriaFood

Order my FREE POS starter kit

8. Hire productive team members

How to run a taco stand? You will need employees that share your values, are dedicated to food hygiene, and are passionate about offering clients a great experience. You can advertise your job openings on your website to attract the best candidates.

If you use the restaurant website builder from GloriaFood, you will be able to add new jobs in a few minutes, and they will appear on the front page for maximum visibility.

 

running a taco business

Afterward, to ensure peak performance, you must focus on training on these topics:

  • Food hygiene and safety: so each employee can prepare food in accordance with the food safety laws and prevent any cross-contamination and food-borne illnesses;
  • Menu offerings: allow employees to sample your menu items so they can make knowledgeable recommendations;
  • POS usage: The GloriaFood POS has an embedded training mode that allows you to show new employees how to open checks, process returns, and accept payments, without affecting financial statements.
how to open a taco stand

9. Pick an attractive, yet functional design for your stand

Put yourself in your customer’s shoes. By simply walking on the street, you will notice countless businesses and signs. Which one of them stands out more and tempts you to visit them?

Here are a few tips that focus on the design elements of how to open a taco stand:

  • Get neon signage: so your taco shop is visible even when the sun is down;
  • Have a sign placed a few feet away from your business: directing potential customers on how to reach your taco stand. You can also display your promotions on it to persuade people to place an order;
  • Create separate lines: for placing orders and picking them up, with clear delimitations and signs that indicate to customers where they must stand;
  • Showcase images of your products: have your menu items professionally photographed and then display the mouth-watering images at your taco stand to tempt people into ordering;
  • Add outside seats: if your local regulations allow, consider making your business more inviting by adding a few seating areas or even just high tables where people can enjoy your tacos.

10. Market your newly launched taco stand

opening a taco business

One of the essential steps of opening a taco shop is getting the word out about your business. You must make it a priority to attract more new customers, until your positive reviews will speak for themselves.

Here are some must-haves for your tacos stand marketing plan:

  • Update your Google Business Profile: with a link to your website, working hours, exact address, and a lot of pictures of food and atmosphere;
  • Organize contests on social media: simple contests such as like and share to win a free meal will help you reach more people;
  • Invest in paid ads: at the beginning, you will have few followers, so you must invest some money to build your number of fans. Don’t forget to add the smart link we provide in the GloriaFood online ordering system admin to link directly to your online menu, where people can place an order, and increase conversion rate;
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  • Add promotions to your menu: take advantage of the Promotions module from GloriaFood to set up a variety of promos in seconds. For example, 2+1 free, free dessert, or 10% discount for all quesadillas;
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  • Start email marketing campaigns: focus on client retention with the Autopilot module from GloriaFood. The emails are targeted according to purchasing history to encourage repeat visits, prevent cart abandonment, and reengage clients.
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Final Words

Setting up a new business can seem daunting without the information. Use the guide provided in this article on how to open a taco stand and the tools and technology from GloriaFood to make your mark in the food industry.

Frequently Asked Questions

Is selling tacos profitable? Taco trucks have an average profit margin of 6.2%, which is higher than traditional restaurants because the location costs are lower. Moreover, food trucks make around $346,000 per year, and you can expect a taco stand to earn a similar amount.

Taco became popular in the US once the population of Mexican immigrants grew. On top of the family-owned taco shops and taco trucks, fast food companies like Glen Bell and Taco Bell also helped make tacos a popular food option.

Some good side dishes for tacos are:

  • Mexican rice;
  • Quinoa salad;
  • Spicy Tex-Mex salad;
  • Fresh pineapple salsa;
  • Black bean and corn salsa;
  • Mexican coleslaw;
  • Guacamole;
  • Street corn;
  • Corn salad.

A good name for a taco stand must be memorable and catchy, and also hint to what you are selling: tacos. For example:

  • Taco Loco;
  • Taco Mania;
  • Feisty Taco;
  • Crunchy Tacos;
  • Tasty Tacos.

The drinks that pair well with tacos are:

  • Margarita;
  • Paloma;
  • Michelada;
  • Sauvignon Blanc;
  • Horchata.

Here are some of the most popular toppings that go well with tacos:

  • Cheese;
  • Lettuce;
  • Tomato;
  • Onion;
  • Cilantro;
  • Sour cream;
  • Lime juice.
About the author
Otilia Dobos
Otilia Dobos
Content Specialist

Otilia Dobos is sometimes a content writer, other times a copywriter, but always produces high-quality content that helps clients up their marketing game. She devotes her attention to helping restaurant owners have a successful business with well-documented and SEO-optimized articles.

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