Soft Ice Cream Van Business - Start Up Information

by JIMBROD
(CORK IRELAND)

Soft Ice Cream Business

Soft Ice Cream Business

Hi Jim here,

Looking for any information or directions on starting a soft ice cream business, prices, guides
insurance, licence etc.

Any help would be greatly appreciated,

Regards
Jim

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Apr 27, 2011
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by: MobCater

Hi Jim,

In a nutshell to start an ice cream van business you will need to buy an ice cream van, register with you local council and apply for a "Hawkers" licence and apply for a possible CRB check (confirm with local council) since you will be in direct contact with young children.

Starting a soft ice cream business can be exciting and profitable, but like any venture, it comes with challenges. Many successful entrepreneurs began with a passion for ice cream, only to realize that the industry requires strategic planning, financial investment, and adaptability.

Let’s break down what it really takes—drawing from real experiences and industry insights.

From Dream to Reality: Real Experiences

Many ice cream entrepreneurs start with a simple idea: bringing joy through frozen treats.

Jimmy Ilya, a former Mister Softee truck driver, worked for over a decade before finally saving enough to open his own brick-and-mortar shop. His story highlights the importance of persistence, financial planning, and knowing your market.

French farmers, struggling with declining incomes, turned to ice cream production with unique flavors like brie cheese and beer. Their ability to innovate not only revived their earnings but also gave them a niche in the market.

A New York ice cream shop owner revealed the harsh realities of running a shop—high ingredient costs (especially vanilla), increasing rent, and tight profit margins.

These stories show that while success is possible, it requires financial planning, adaptability, and a strong business strategy.

Startup Costs: What You Need to Invest

The cost of starting a soft ice cream business depends on whether you go mobile (van/trailer) or brick-and-mortar. Here’s a breakdown of common expenses:

Equipment Costs:

Soft Serve Machine (Countertop): £2,000 – £5,000

Soft Serve Machine (High Capacity): £5,000 – £15,000

Ice Cream Mix & Ingredients (Initial Stock): £500 – £2,000

Refrigeration & Storage Freezer: £1,000 – £3,000

Generator (for mobile setup): £1,500 – £3,500

Mobile Van/Trailer: £10,000 – £30,000

POS System (Till & Card Reader): £300 – £1,000

Business & Legal Costs:

Business Registration (Ltd or Sole Trader): £12 – £50

Street Trading Licence (if mobile): £500 – £2,000 per year

Food Business Registration: Free (Required 28 days before trading)

Public Liability Insurance: £500 – £1,500 per year

Level 2 Food Hygiene Certificate: £50 – £150 per person

Premises Rent (if opening a shop): £500 – £2,500 per month

Total Estimated Startup Costs:

Mobile Ice Cream Business: £15,000 – £40,000

Brick-and-Mortar Shop: £20,000 – £50,000

Cost to Produce vs. Selling Price

Cost Breakdown Per Serving:

Soft Serve Mix: £0.30 – £0.50

Cone or Cup: £0.10 – £0.20

Toppings & Sauces: £0.15 – £0.30

Napkins & Packaging: £0.05 – £0.10

Total Cost Per Serving: £0.60 – £1.10

Selling Price & Profit Margins:

Standard Cone: Sold at £2 – £4 each

Premium Sundae (with toppings): Sold at £4 – £6 each

Profit per cone: £1.90 – £3.90

Profit per sundae: £3 – £5

With the right location and good foot traffic, a mobile soft ice cream business can sell 100–300 cones per day, generating:

£200 – £1,200 per day in revenue

£100 – £800 per day in profit

Licensing & Regulations

To legally operate a soft ice cream business in the UK, you need to ensure compliance with local food safety laws.

Mandatory Licenses & Permits:

Register Your Business

Food Business Registration

Street Trading Licence (if mobile)

Level 2 Food Hygiene Certificate

Public Liability Insurance

Gas & Electrical Safety Checks

Tip: Contact your local Environmental Health Officer (EHO) before starting to ensure compliance.

Finding the Best Locations & Growing Your Business

Best Places to Sell Soft Ice Cream:

Seaside towns & promenades

Parks & public spaces (with council approval)

Shopping centre entrances

Music festivals & outdoor events

Local markets & fairs

Marketing & Branding Tips:

Eye-Catching Van/Shop Design

Social Media Presence

Loyalty Cards

Partner with Local Events

Challenges & How to Overcome Them

Managing Seasonal Demand: Ice cream sales drop in winter. Offer warm desserts (waffles, hot chocolate) to maintain revenue.

High Equipment Costs: Consider leasing a machine initially instead of buying.

Council Restrictions: Some areas have strict rules for ice cream vans. Check regulations before committing.

Final Thoughts: Is It Worth It?

Low Production Cost & High Margins

Flexible Business Model

Scalability

However, success depends on location, marketing, and customer experience. If you're passionate about ice cream and willing to navigate the challenges, this could be a sweet business opportunity!

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