Business funding for catering companies
Catering money moves in an unusual order: a client's deposit comes in months before the event, the bulk of the invoice is often paid net 30 after, and staffing and food costs have to be covered on the day regardless. Whether card-heavy or invoice-heavy depends on the client mix, which shapes what fits.
- One application, several lenders
- No credit pull to see your options
- No fee to you, ever
Common funding needs
- Staffing up and buying food for a large booked event
- Covering payroll while waiting on a corporate client's invoice
- Buying or replacing chafing dishes, ovens or a delivery van
- Bridging a slow booking season, such as January or February
What usually fits
Products that usually fit
- Invoice factoring for caterers billing corporate clients on net-30 terms.
- Working capital to staff and buy food for a booked event before it's paid in full.
- Equipment financing for kitchen gear and delivery vehicles.
- Line of credit for the gap between deposits and slow booking months.
Compare term loans, lines of credit, cash advances and equipment financing side by side →
Illustrative example
A worked example
A caterer has $28,000 in invoices out to corporate clients on 30-day terms after a busy conference season. With invoice factoring at an illustrative 85% advance, it receives about $23,800 within days. At an illustrative 3% fee for the period outstanding, the fee is $840, with the remaining balance paid once clients settle.
For a booked wedding needing $10,000 up front for staff and food before the final payment, a working capital advance repaid over a few months is often a better fit than waiting on the deposit alone to cover it.
Illustrative example only, not an offer or a quote. Rates, fees and terms are set by each lender and depend on your business. Fees are not included unless stated.
Underwriting
What lenders look at
- Mix of consumer deposits versus corporate invoices, and how reliably each pays
- Monthly deposits across the booking calendar, including slow months
- Contracts or bookings on the calendar for the next few months
- Equipment age and any existing equipment payments
- Owner credit
Honestly
Who this is not for
- A catering company with no completed bookings or deposits yet
- Factoring invoices from clients who dispute or pay very late, since fees rise the longer invoices sit
- Borrowing against a booking season that has not actually been booked yet
If borrowing does not make sense, we will say so.
Are you a match?
Lender network minimums
Close but not quite there? Apply anyway and we will tell you honestly what is possible.
*Best available terms from lenders in our network. Every lender sets its own criteria; approval, amount and funding time are decided by the lender and not guaranteed.
| Time in business | 1 year+ |
|---|---|
| Monthly bank deposits | $20,000+ |
| Credit score | 500+ |
| Bank account | Business |
| Fee to you | $0 |
| Credit pull to start | None |
FAQ
Catering funding questions
Is catering financed like a restaurant or like a B2B business?
It depends on the client mix. Card-heavy consumer catering looks more like a restaurant; corporate and event-planner billing on invoices looks more like factoring.
Can I get funding for a single large booked event?
Sometimes, yes, especially if the deposit and contract show the event is real and staffing and food costs are the gap being covered.
Do you factor invoices from event planners and venues?
Often, yes, if the planner or venue is an established business with a track record of paying. Tell us who your clients are.
What about the slow season between holidays and spring weddings?
Bring several months of deposits so the pattern is visible. A line of credit is often a better fit for a predictable slow stretch than a one-time advance.
Guides
Guides for catering
Related
Similar businesses
Restaurants · Bars & pubs · Cafés & bakeries · Food trucks · Hotels & motels · Event venues
Where we work: all US states · all Canadian provinces
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