Our Funding Advisors can connect you to funding for every credit situation, from SBA and bank loans to alternatives.
$25,000 – $500,000
1 – 5 Years
$5,000 – $300,000
4 – 24 Months
$5,000 – $100,000
1 – 2 Years
Up to $250,000
Up to $200,000
1 – 12 Months
Actual offers vary based on your application information and lender.
American small businesses run on many things. They run on community, they run on heart, they run on coffee, and many of them run on loans. Almost half of all small business owners use personal credit, but many others take out business loans. These loans can take many forms, including cash advances and term loans. One of the most popular types of loan granted in the U.S., however, is the restaurant loan.
A restaurant loan can itself come in various forms, commonly as a term loan or a small business line of credit. It’s used to cover equipment and inventory costs, as well as payroll and working capital. But no matter what you’re looking to use your restaurant loan for, you’ll have to be very prepared to apply for one before you get started.
Preparing to Apply for a Restaurant Loan?
If you’re looking to apply for a restaurant loan, these six tips will help you get started.
Get Your Financial Documents Ready
You’ll need to prove that you’re able to take on this loan, and lenders will look carefully at the proof you present.
Have Relevant Experience
You might have difficulty getting a restaurant loan if you can’t point to any food service industry experience. Make sure you have the right qualifications so lenders will trust you know what you’re doing.
Be Thorough and Tell the Truth
It’s important that you read everything on the application and fill it out thoroughly — now is not the time for the mindless ticking of boxes or fudging of the numbers. Applying for a restaurant loan is all about being prepared. Know what’s expected and do your best to surpass those expectations if you’re serious about acquiring the funds to open a restaurant.
Be Ready with Cash
Looking to obtain funding in order to purchase a building or equipment? Some lenders may want you to provide a down payment on the purchase in order to be eligible for the additional financing you need. Putting more money up initially may allow you to get cheaper financing or increase the loan amount you’ll be eligible for.
Have a Business Plan
Restaurant loan lenders want to see that you’re ready to use their money wisely. Invest some time in putting together a strong, comprehensive plan to submit with your application.
Check Your Credit History
Your credit history is usually checked before you can take out a restaurant loan, so having a good credit score is important. Credit scores differ depending on the credit reference agency. To avoid surprises, check your credit score yourself before you start an application.
What Does The Business Backer Provide?
The Business Backer is a leading national funding company with experience connecting small businesses like yours to solutions that can help manage cash flow. Whether you need funding for new furnishings, a remodel, an investment, inventory or working capital, we can help you address your business’ short-term and long-term goals.
As we evaluate your needs, we will help match you with the right product, either directly with us or through our True Relationship Network™ of partners.
Our online application process is fast and simple, and we look at a wide range of factors to get a holistic view of your business before determining your funding options. That way you’re getting an option that fits your unique business needs. Apply now or speak to a Funding Advisor today!
“In this economy, small business owners need to have options, and in my opinion, The Business Backer is the best resource to know.”
— Allyn Raifstanger, Allyn’s Cafe