Restaurants: business funding
Kitchens break, seasons swing and renovations never cost what the quote said. Here is how restaurants usually fund those moments, and what each option really costs.
- One application, several lenders
- No credit pull to see your options
- No fee to you, ever
Common funding needs
- Replacing a walk-in cooler, range, hood or dish machine
- Covering payroll and food costs through a slow season
- Renovating the dining room or opening a patio
- Opening a second location
What usually fits
Products that usually fit
- Equipment financing for kitchen equipment that holds value; often the cheapest way to buy it.
- Line of credit for seasonal swings in food costs and payroll.
- Term loan for renovations and a second location.
- Merchant cash advance only for urgent needs, sized so daily payments leave room to operate.
Compare term loans, lines of credit, cash advances and equipment financing side by side →
Separately, our sister company CELER Merchants offers card processing.
Illustrative example
A worked example
A restaurant needs $40,000 to replace a walk-in cooler and a range. With equipment financing over 4 years at an illustrative 8–18% a year, payments come to about $977–$1,175 per month, or $46,873–$56,400 in total.
The same $40,000 as a merchant cash advance at an illustrative factor rate of 1.25–1.40 means paying back $50,000–$56,000, usually within 6 to 12 months, taken from daily card sales.
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
- Monthly card and bank deposits over the last 3 to 6 months
- Whether deposits cover rent, payroll and food costs with room to spare
- Existing cash advances or daily debits on the account
- Time at the current location and lease length
- Owner credit
Honestly
Who this is not for
- A restaurant that is not open yet: most lenders need operating history (equipment financing is sometimes the exception)
- Covering ongoing losses: borrowing to fund a month that loses money every month makes the hole deeper
- Stacking a second cash advance on top of one you are still paying
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 revenue | $15,000+ |
| Credit score | 500+ |
| Bank account | Business |
| Fee to you | $0 |
| Credit pull to start | None |
FAQ
Restaurants funding questions
Can a new restaurant get funding?
Most lenders want at least 6 to 12 months of deposits. Equipment financing and government-backed loans can sometimes work for newer restaurants. Tell us your situation and we will say honestly what is possible.
Is a merchant cash advance a good idea for a restaurant?
Sometimes, for a short, urgent need when a bank has said no. It is also one of the most expensive options. We always show you the total payback in dollars before you sign.
Do lenders care about my card sales?
Yes. Card deposits are an easy way for lenders to see steady revenue, and some products are repaid from card sales directly.
Can I finance used kitchen equipment?
Some equipment lenders finance used equipment; others only new. Tell us what you are buying and from whom.
See your options
Two minutes, no credit pull, no fee. We come back with real options from lenders that fit.