15 Lucrative Van Business Ideas to Consider – Monetise your Vehicle
Whether you’re looking for a profitable side hustle to boost your monthly earnings or dream of becoming self-employed full-time, a van-based business may be your route to success. The key to a booming van business is looking for gaps in the market and creatively filling them. Our 15 lucrative van business ideas will give you plenty of inspiration, and there are practical tips and considerations to help you avoid stalling on your new business journey.
Should I start a van business?
If you've got an entrepreneurial spirit, then a van sitting on your driveway will soon start calling to you as a potential money earner. You may be already self-employed and want to know how you can use this vehicular asset to earn more money, or maybe you're ready to take the plunge and learn to be your own boss.
Before you start channelling time and money into a van business, weigh the pros and cons of this type of venture. On the plus side, a van business has:
- Low set-up costs and good profit margins – because you already own one of the key assets – the van! The beauty of man and van business ideas is that they don't require premises. You take your business on the road, and that can cut your overheads significantly. What's more, if you plan to leverage the work skills you already have for your new van business, you may already own much of the equipment you'll need to perform the services.
- A broad customer base – because being mobile widens your target area and opens up more business opportunities compared to offering the same services from a static location.
- The answer to a problem – mobile van services are just right for offering solutions to the problems commonly encountered in modern life. People value convenience and time-saving services, and plenty of cargo van business ideas cater to these needs. Services that solve problems have broad appeal and are more likely to enjoy repeat business and excellent word-of-mouth advertising.
- Flexibility – both you and your customers can benefit from the flexibility of a van-based business. You can be versatile with your own hours, working evenings and weekends around another job and offering your services at a time that suits your customers.
- Scalability – if you find that your van business takes off, it’s easy to replicate and scale. Whether you want to invest your profits into new vans and employees or franchise out your business model, a good van business idea can go full throttle.
A van-based business isn’t right for everyone or every location, so take some time to weigh up the cons too. These include:
- Financial risks – half of all new businesses fail within three years, and this sobering fact needs to be considered. With this figure in mind, think very carefully about how much cash you inject into your van business and use this information to encourage you to diligently conduct market research and plan your strategies for marketing and growth.
- Unpredictable earnings – even with a top-tier business idea and plenty of interest in your services, creating a solid client base can still take time. The reality of this is unpredictable earnings. The initial buzz of your service can be misleading and lead you to take your eye off the ball. Focus on repeat business and new leads consistently throughout the first few years.
- Heavy reliance on your van – if your van breaks down, is in an accident, or is stolen, your business grinds to a halt. This can be a real worry if you have an older van. To negate the risk, comprehensive insurance can give you peace of mind that you’ll always be able to afford to get yourself back on the road and earning.
- Stress – from long hours (often worked alongside another job) and non-payment of invoices to balancing your business finances and working in accordance with the law and local regulations, it can be stressful navigating the first few years of a new business. Be prepared for a steep learning curve.
If you’re still itching to unlock your vehicle’s earning potential, dive into our list of businesses you can start with a van.
15 van business ideas
1. Food van
Modifying your van to prepare and serve food opens up a wealth of earning opportunities. You could offer mobile catering for events like festivals and outdoor trade shows or you could serve your local communities with popular cuisines like stone-fired pizza, street food, indulgent desserts, or traditional burger-van fare. Food and beverage are prized for their high profit margins, giving you plenty of scope to grow a successful gourmet business from your van.
2. Ice cream van
What could be more traditional than an ice cream van? If you can secure a good round or regular location over the spring and summer months, then diversify over autumn and winter with comforting treats like luxury hot chocolates, you can make an impressive profit simply by working evenings and weekends.
3. Coffee/drinks van
The nation's love affair with barista coffee shows no signs of slowing, so why not carve out your corner of this lucrative market with a mobile coffee van? Invest in a professional coffee machine and use your business savvy to find prime spots. You could visit office building car parks, park on busy commuter routes, or attend events. Coffee is an extremely profitable drink to make and sell, but don't stop there. Consider other trendy beverages like bubble tea, iced tea in the summer, smoothies, and freshly made juices.
4. Mobile mechanic
If you're already a mechanic, take your skills on the road by offering a mobile service. You can take all your tools and equipment in your van, and with the likes of emergency call-outs, you can charge a premium price for your services.
5. Recycling and waste removal
If you’re looking for van business ideas with minimal start-up costs, recycling and waste removal are right for you. Save people time and effort by offering a pick-up service for all their unwanted rubbish. Sort your permit from the local recycling plant, and you could find yourself with an easy-to-run and in-demand side hustle.
6. House moves
Larger vans are ideal for helping people move house. Secure the right insurance to protect the goods you’re transporting, and people will be happy to pay you to do the heavy lifting and make trips back and forth to their new home on moving day.
7. Mobile carwash and valet
Install a water tank in the back of your van and you can take car washing and valeting out and about. You can offer your services at people's homes or places of work, and once you secure contracts with companies that own fleets, you'll start seeing a steady and reliable profit.
8. Mobile pressure washing
Invest in a pressure washer, and you and your van have the potential to be busy year-round. One of the best small van business ideas, pressure washers can be used to clean cars, driveways, patios, decks, garden furniture, and guttering.
Deep cleaning services
Whether you’re already a domestic or commercial cleaner or simply understand that where there’s muck, there’s brass, a mobile deep cleaning service is always in demand. From carpet and upholstery cleaning to full spring cleans, if you love to roll your sleeves up and get stuck in, people are happy to pay you to do the hard graft for them. Explore both private home jobs and higher-earning contracts with the likes of care homes and offices.
10. Mobile hairdresser
If you’re a great hairdresser or barber with a big personality, going mobile is the ultimate USP for your business. You’ll need to make an initial investment in transforming your van into a chic or trendy space for cutting, but once you’ve nailed the aesthetic, people will love the convenience of heading out onto their street for their monthly trims and cuts. Evening “rounds” will be particularly popular as most people can’t readily schedule a cut at a salon during the traditional work day.
11. Mobile beauty therapist
Like the mobile hairdresser, if you have some money to invest in turning the back of your van into a Zen zone, this unique service is sure to be popular. You could offer nails, treatments like facials, and make-up for nights out and proms. Attend events, health and wellness trade shows, and festivals and explore the wellness at work opportunities to secure regular contracts.
12. Courier
One of the classic cargo van business ideas, there's never been a better time to earn money from your van by delivering packages. The hours can be flexible, and once you've got your insurance sorted, it's quick and simple to start.
13. Pet grooming
Pet owners don't mind spending a pretty penny on their beloved animals and offering a mobile service is not only convenient for them, but it can also be less stressful for the pet. You need to adapt your van for all your grooming work, but after that initial cash injection, running costs are low, and profits can be very healthy.
14. Grocery deliveries
While most of the major supermarkets offer a delivery service, there is a target market that would prefer a more bespoke approach to grocery picking and delivery. If you own a high-end van and you have a good understanding of the luxury space, you could grow a premium grocery service and charge accordingly.
15. Mobile escape room
If you’re creative or have a background in the entertainment industry, your van could become a fun-filled mobile escape room. This mobile entertainment is perfect for parties, events, and workplace team bonding, and you can keep refreshing your room to enjoy repeat business.
Key considerations for starting a van business
How do you turn a van business idea into a profitable business? Spend some time thinking about these key considerations:
Understand your target market
What do your customers want? Why would they choose a mobile service? Understanding this will help you tailor your services in terms of where and when you work, the style of service you provide, and your pricing.
Who are your competitors?
Competition in business isn't a bad thing. It encourages you to think outside the box and keep on top of your game. Research your competitors and figure out what your USP needs to be to make you stand out. Undercutting prices may be tempting, but it eats into your profit, and for some clients, a lower price point may be synonymous with a poorer quality service. Instead, price comparatively and rely on the likes of special offers and referral discounts.
Rule and regulations
Even if you won’t be earning much in the early days of your business, you still need to register your self-employment with the HMRC and complete a self-assessment tax return each financial year. You should also liaise with your local authority to learn more about your area's business regulations. You may need a permit or license for certain activities, and not knowing of their existence will not preclude you from being fined for not having them.
Protect your finances
As a mobile business, you face a range of risks, and insurance is one of the best ways to protect your business's finances and reputation.
You can take out public liability cover to deal with third-party claims for injury or property damage attributable to your business activities. If you employ any staff members, you must hold at least £5 million of employers’ liability cover. You could take out equipment cover, business interruption cover, professional indemnity (for claims that your advice or standard of work lost your client money), personal accident cover, and, if you’re transporting goods, you’ll need hire and reward cover, too. Importantly, you’ll need to make sure your motor insurance covers your van for business activities.
Park Insurance has been supporting the UK’s hard-working small business owners for over three decades. If you’d like expert advice on insuring your new van venture, get in touch today.