Running a restaurant is laborious, there comes a time when a restaurant owner seek help from the third party. Lack of startup finances and working capital can be the causes behind a restaurant’s downfall. As a restaurant owner, it becomes easier to get funds to access restaurant financing due to multiple lending options.
It doesn’t matter whether you’re experienced or just about to start a restaurant, you can find funding with a variety of restaurant business loans options available than ever before making your culinary dream of having a restaurant turns into reality.
Types of Restaurant Financing
A number of business loans are available to support the restaurant owners. The type of restaurant financing you obtain will depend on the small business lender you work with. The list of available restaurant financing is:
- Equipment Loans
As a restaurant owner, you must know how expensive is to purchase the equipment. If you’re running out of capital and unable to add up new equipment in your restaurant, go for equipment financing. With this type of financing, you can finance up to 100% of the worth of your restaurant’s new equipment.
Compatible for one-off purchases of restaurant equipment where no further payments or subscriptions are required. However, the equipment itself acts as collateral. It means you’ll be able to get restaurant finances without placing any personal asset on the line.
- Working Capital Loans
Working capital loans are considered superlative while supporting restaurant financing. Short-term loans, assist you to cover expenses and maintain restaurants finances accordingly. Working capital loans are required for instant restaurant loans, ranging up to $250,000.
- Inventory Financing
Inventory financing offers capital to purchase the restaurant inventory. As, it can be of many forms such as a short-term loan, medium-term loan, and line of credit. Inventory financing isn’t more different than equipment financing, and purchased inventory acts as collateral.
- Lines of Credit
A line of credit is the best financing source for small business owners—especially restaurant owners. Suitable for the restaurant entrepreneurs having a busy and sluggish season need flexible access to capital.
You’ve to pay interest on the loan you draw from the line of credit, and once you’ve repaid what you drew, the credit line is reloaded to the actual amount.
The Best Sources for Restaurants Loans
To get a loan for a small business isn’t always an easy task, but it’s challenging when you look for restaurant financing. Many lenders out there offer business loans for restaurants who actually need capital. So, let’s check the not-so-short list.
- Apple Pie Capital
Check out this lender, if you’re running a restaurant franchise. Apple Pie Capital offers restaurant financing within 30 days along basic paperwork and no collateral. Terms range for Apple Pie Capital are usually from 1 to 7 years, and can be used for every purpose—from buying a new franchise to expanding into multi-units, renovation, or purchasing existing franchise location.
- ARF Financing
ARF Financing focuses on the restaurant industry, providing restaurants loans as working capital loans, equipment financing, and lines of credit. Get a rapid loan, starting from $5000 to $1 million up to 18 months with minimal paperwork. ARF Financing works with an extensive range of restaurant franchises, and you aren’t required to be a franchisor to get loans.
- Balboa Capital
Are you looking for restaurant financing to inflate an existing restaurant franchise? Balboa Capital offering a loan up to $1 million and credit lines of $500,000 for acquisitions, renovation, furniture shopping, and equipment. To get approved for a loan, minimal paperwork is required and the funding takes only two days.
- Business Loans Direct
Offering significant access to restaurant loan up to $250,000 and merchant cash advance as well. Other than managing the restaurants, it supports to finance the bars and night clubs. Easy and simple application process without collateral policy, and quick funding within 72 hours or less.
- CAN Capital
CAN Capital is a small business financing company, supports to apply for a merchant cash advance or small business loans for expansion, equipment financing, or working capital for a restaurant.
The application needs only 10 minutes and one can receive a loan in 48 hours. However, you must’ve been in business for at least 4 months.
- e-Business Funding
The company focuses on restaurants loans, offering merchant cash advance to the restaurants that have been in business for 6 months. However, the monthly revenue of restaurants must be $10,000 or more, to get e-Business Funding. You can get a merchant cash advance up to $500,000 within 72 hours right after application approval.
Lenders offer a variety of restaurant loans including asset-based loans, equipment leasing loans, and revenue based loans for working capital without collateral. Terms range from 30 days to 4 years, depend on restaurant financing needs. The easy and simple application process, a few hours for application approval, and quick funding within days.
- Finance Store
Do you want to expand or purchase a restaurant franchise? Finance Store might be a great option for franchise financing, offering SBA loans, revenue-based loans, equipment financing, and capital from private investors. Loans range up to $5 million, and the application gets approved in just 24 hours.
- FORA Financial
FORA Financial provides a loan to the restaurants—including merchant cash advance and small business loans. To avail the loans, you must have been in business up to three months and have completed the minimum required sales. The simple and easy application process, loans range up to $250,000 and get approved in just 72 hours.
- Merchant Commerce Solutions
Restaurant loans are considered as a key specialty for Merchant Commerce Solutions, which offers low-interest rate, quick closing, and terms of up to five years without any collateral. However, loans are based on revenue and one can easily get merchant cash advance for the restaurant.
- National Business Capital
National Business Capital offers an extensive range of restaurant loans, availed by restaurant owners such as merchant cash advance, equipment finances, and commercial loan financing. In addition, to obtain franchise financing, the application takes only a few minutes, get approved in at least 24 hours, and you’ll receive funds in just a few days.
- Rapid Cash Advance
Rapid Cash Advance provides a number of restaurant loans—including small business loans, a line of credit, in addition to merchant cash advance loans. So, if you’re facing a delay in a final verdict from the SBA, and you need funds urgently, SBA bridge loan is the best stop for you. SBA bridge loans assist the restaurant owners because they fill the gap among the time SBA loan got funded and the time you need funds.
A number of restaurants acquire SBA loans to start or expand their business. Whereas, SmartBiz helps the restaurant owners for getting SBA loans. With an online and easy application process, answer a few queries, to check that are you qualifying for a loan of up to $350,000 by providing financial information. If the loan application gets approved, you can receive a loan within seven days.
Kabbage values restaurant owner by offering them a line of credit for capital working purposes. There isn’t any separate category for restaurant loans if you need to purchase new equipment, or investment in advertising, Kabbage can help you out. Kabbage offers a line of credit starting from $2000 to $100,000, and the application gets approved within 24 hours.
- World Global Financing
World Wide Financing offers merchant cash advance to a wide range of industries including restaurants. If you’re looking for funds up to $1 million with no collateral, World Wide Financing will be a safe option for you. The money will be paid back automatically through a percentage of your daily credit and debit card transaction.
- On Deck
On Deck is an alternative lender, offering quick restaurant funding. It provides short-term loans ranging from $5000 to $250,000, and line of credit ranging from $5000 to $100,000. However, On Deck is a suitable approach to meet the short term purchases of your restaurant.
The purpose of Merchant Advisors is to offer constant access to working capital as it is integral for the development of a restaurant. To keep your oven heated and fire up the grill, apply for the restaurant loans. Head over to our website to get information about Restaurant Loans in order to meet the restaurant financing needs. For daily updates and financial solutions, follow us on Facebook (@Onlinecheck) and Twitter (@Onlinecheck). In case of any query feel free to call on toll-free number (833) 827-4412 and our financial experts will assist you.