A quick business funding process that offers same day business loans for restaurant owners.
Last Updated on July 25, 2024
Shield Funding TeamShield Funding has been securing small business loans for restaurant business owners for twenty years. We offer competitive rates and fast and easy loan process that can get you capital as fast as the same day. We are second to few companies in experience and have been a trusted lender for two decades.
If you are looking to improve or expand your restaurant, or you need immediate business funding to cover payroll costs or other everyday operating expenses, we offer flexible terms for all types of borrowers. We are a great resource for existing restaurant owners that do not qualify for bank business loans or SBA loans, or if those traditional options have been exhausted.
What Do I Need to Qualify?
Below is a list of the general requirements to get approved for business funding with our basic program.
How Do I Apply?
Applying has never been easier. You can either call our toll free number 24 hours 7 days a week at:
OR
This is a short term small business loan that you can use for any type of expense. You can use it to cover seasonal swings in business, pay a new chef, or open an entirely new location. Whatever you need for your business, these simple term business loans will help you get it.
We offer up to $1,000,000 in funds for restaurant owners. And with interest rates of 5–45%, you can get a better deal than you would with some traditional lenders. As long as you’ve been in business for two months, earn $8,000 or more per month, and have a credit score of 500 or more, you can qualify for one of these loans.
Our terms range from 12–36 months, so you can get the amount and terms that work for you.
Traditional lenders often require collateral when they give you a loan, which means you’re putting your business on the line. That’s not a good way to start a financial relationship.
We offer unsecured business loans, so you don’t need to put up any collateral. Because we’re an alternative lender, we’re able to offer this funding service alongside our already great rates. You can feel more comfortable with our business loans knowing that we aren’t about to take your oven or your bar stools if you miss a payment.
We know that restaurants have a tough time receiving working capital because of the volatility of the industry. If you try to get a loan from a traditional lender, you’ll get denied fast. But we don’t think your industry should disqualify you from getting funding for your restaurant business.
So we offer short term merchant cash advances of up to $1,000,000 to restaurant owners with credit scores above 500. You’ll pay 12–45% interest on terms up to 36 months. As long as your restaurant has been open for a few months and you have $8,000 in monthly revenue, you can qualify.
Restaurants have a lot of day-to-day expenses, and that’s what working capital funding is for. Whether it’s covering payroll, stocking the bar, or taking advantage of a marketing or advertising opportunity, these loans help you with the more mundane expenses of running a restaurant.
Like our term loans, you can get up to $1,000,000 in working capital. You still get the option of terms between 12 and 36 months and interest rates from 9–45%. You’ll need to have two months in business, and at least $10,000 in monthly revenue to qualify. You’ll also need a credit score of 650 or better.
If you meet these qualifications, you can get the funding you need to cover any expense you might come across, from an emergency repair to making sure your freezers are full of food.
These business loans are specifically designed for buying, leasing, or upgrading equipment. Adding cooking equipment or any type of industrial kitchen appliances could cost hundreds of thousands of dollars for a restaurant business. Equipment loans allow you to acquire the much needed equipment at really competitive rates with a longer term duration because the equipment can be collateral and make the loan secured. This makes the loan agreement less risky for the lender.
A business loan for equipment financing is a great way to expand your business if you can’t afford to buy the equipment outright. And because you may be able to avoid any down payment costs, you might be able to save a lot of time and money.
Apply for Same Day Business Loans!
Work with a direct lender and get a business loan as fast as the same day. Shield Funding offers competitive rates and terms on all it’s funding programs. Apply now with a trusted lender that has been helping business owners secure working capital for two decades.
The SBA 7(a) loan program offers long-term financing for restaurants, with repayment terms extending up to 10 years for working capital, and up to 25 years for real estate. The interest rates on the 7(a) program are typically low, ranging from 11.5% to 16.5%, based on the prime rate plus a markup. In order to be eligible the applying business should be operating for profit within the U.S., meet SBA size standards, and have a reasonable amount of invested equity. You will also have to demonstrate the need for the loan, and that need should be a sound business purpose. SBA lenders have stringent requirements and thoroughly scrutinize credit scores, business revenue, and financial history. These loans are only available through SBA-approved lenders.
Bank of America offers business loans for franchise owners and operators in the restaurant industry. These loans provide funds for daily operations, payroll, debt management, and working capital. This is a bank backed financial product so you can expect requirements such as 2 years in business, above 700 credit, and a long and thorough application process. For more detailed information, visit Bank of America’s Restaurant Finance page.
In Tennessee, the Fund Tennessee program under LendTN has nearly $47 million to help small businesses and entrepreneurs get fair access to funding. It offers loans for starting a business, working capital, and buying equipment.
The 2024 Robust Retail Grant Program in Washington, D.C., gives up to $10,000 to help retail businesses with their operations. Only existing retail businesses in D.C. can apply for this grant.
These are just some examples of local business loan programs. You can search your state and local community for similar options that may be available.
The U.S. Bank Business Triple Cash Rewards World Elite Mastercard is good for new restaurant owners who need a card with no interest for a while. It offers 3% cash back in certain areas and has no annual fee, with 0% APR for the first 15 billing cycles.
The American Express Business Blueprint provides a guide on restaurant loans, covering options like small business loans, credit lines, SBA loans, online lending, and equipment financing. It highlights choosing the right finance option based on business needs and details how to prepare a loan application.
The Restaurant Store Credit Card offers benefits tailored for restaurant owners, including easy online application, exclusive discounts, and reward points on purchases made at The Restaurant Store. Cardholders can enjoy flexible payment options and streamlined management of their restaurant supplies.
There are a variety of banks and online lenders that offer personal business loans to use for your business. Wells Fargo offers personal loans ranging from $3,000 to $100,000 with terms between 12 to 84 months. The loans feature fixed interest rates starting as low as 7.49% APR. These loans are unsecured, and can be used for various business purposes.
TD Bank offers the TD Fit Loan, which is an unsecured personal loan with fixed interest rates ranging from 8.99% to 23.99%. Loan amounts vary from $2,000 to $50,000 with repayment terms of 36 to 60 months. There are no origination or application fees, and no prepayment penalties. The loan can be used in many ways to help your restaurant business.
TD Bank offers the TD Fit Loan, which is an unsecured personal loan with fixed interest rates ranging from 8.99% to 23.99%. Loan amounts vary from $2,000 to $50,000 with repayment terms of 36 to 60 months. There are no origination or application fees, and no prepayment penalties. The loan can be used in many ways to help your restaurant business.
A restaurant business loan is financing that is tailored to meet the working capital needs of restaurant owners. This financing may come in the form of a business cash advance or a short term business loan, or even equipment financing and grants. The funds are generally used for covering day-to-day expenses or managing cash flow but may be used for improving or expanding the business.
The restaurant business can be very volatile, especially with the dramatic price shifts in the current economy. When people tighten their wallets, they do not go out to eat. These times come and go regularly. During those downturns you need to be prepared to pay your employees and having a payroll loan option for these ebbs and flows is almost a must to keep your restaurant open so that it can grow and become successful over time.
Today everybody understands that supply chain issues can arise for even the most basic needs. Restaurant owners require guaranteed access to menu items that cannot be substituted. For this reason, having working capital to stock up on inventory is a great use for additional funds.
The restaurant industry is expected to grow aggressively in 2024 and 2025, with key trends and technological advancements fueling that growth. AI is expected to impact that growth in various ways such as predicting reservations and reducing overstocking. Additionally, many economists are predicting reduced inflation which will allow restaurant operators to achieve healthier profit margins. The growth is not only going to be on the operator side, but there will also be significant changes on the consumer side.
According to a recent report on the state of the restaurant industry, consumer enthusiasm for dining out remains robust, with Americans spending significantly more on food away from home. The trend is underpinned by the insane demand today for delivery and takeout, which are likely to continue to drive industry growth. To stay competitive, restaurants will need to enhance their digital capabilities, and offer more personalized and health-conscious dining experiences. Overall, the restaurant industry in 2024 is set to grow marked by technological innovation, changing consumer preferences, and a more stable economic environment.
There are various types of business loans but you will generally get an interest rate or a factor rate. Interest rates are generally reserved for banks and more traditional loans. Interest rates will require calculations based on the amount of time the loan is for so every option is different. Factor rates are more straightforward cause there is no compounding interest. Take the loan amount and multiply it by the factor rate to get the total repayment amount. As an example, $10,000 borrowed at a 1.2 factor rate repays $12,000. Now just subtract the principal taken, so ($12,000 – $10,000 = $2,000).
No, they are completely different and should not be used to compare products. Follow the link if you want to manually convert APR from your Factor Rate.
There is no collateral required on Shield Funding restaurant loans.
Shield Funding requires 3-4 months in business at a minimum. For startups a business credit card or a personal loan would likely be your first option outside of investors.
Shield Funding has funded applicants with a 500 credit score so yes bad credit options are available if you own a restaurant with a business bank account.
