Best Food Truck Financing and Loans
Both traditional and online lenders offer loans to help you purchase a new or used food truck for your business.
Food truck financing can be used to purchase a new or used food truck for your business. Some of these small-business loans
You can get food truck financing from several different sources, including banks, SBA lenders and online lenders. In general, the best food truck loan will be the most affordable option you can qualify for that meets your needs.
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Best Food Truck Financing and Loans
| Loan | NerdWallet rating | Best For | Max loan amount | Min. credit score | Next steps |
|---|---|---|---|---|---|
 Bank of America - Equipment loan | Best for Low interest food truck financing | $750,000 | 700 | ||
| Pros
Cons
| |||||
 National Funding - Equipment financing with Fundera by NerdWallet | Best for Food truck startup loans | $150,000 | 600 | with Fundera by NerdWallet | |
| Pros
Cons
| |||||
 JR Capital - Equipment financing | Best for Fast food truck financing | $10,000,000 | 620 | ||
| Pros
Cons
| |||||
 Triton Capital - Equipment financing with Fundera by NerdWallet | Best for Food truck financing for bad credit | $250,000 | 580 | with Fundera by NerdWallet | |
| Pros
Cons
| |||||
 SBA 7(a) loan with Fundera by NerdWallet | Best for SBA loans for food trucks | $5,000,000 | 650 | with Fundera by NerdWallet | |
| Pros
Cons
| |||||
 U.S. Bank - Equipment financing | Best for Covering upfront costs | $1,000,000 | Undisclosed | ||
| Pros
Cons
| |||||
 Headway Capital - Line of credit with Fundera by NerdWallet | Best for Food truck financing for working capital | $100,000 | 625 | with Fundera by NerdWallet | |
| Pros
Cons
| |||||
Best Food Truck Financing and Loans
Read ReviewPros
- Competitive interest rates.
- Longer repayment periods.
- Bank of America’s Preferred Rewards program can offer interest rate discounts and other perks.
- Fee discounts available for veteran-owned businesses.
Cons
- Charges an origination fee.
- Prepayment fees may apply to early repayments.
- Can be slow to fund.
- Application cannot be completed online.
Bank of America - Equipment loan
Best for Low interest food truck financing
Max loan amount
$750,000
Min. credit score
700
Min. annual revenue
$250,000
Pros
- Competitive interest rates.
- Longer repayment periods.
- Bank of America’s Preferred Rewards program can offer interest rate discounts and other perks.
- Fee discounts available for veteran-owned businesses.
Cons
- Charges an origination fee.
- Prepayment fees may apply to early repayments.
- Can be slow to fund.
- Application cannot be completed online.
Max loan amount
$150,000
Min. credit score
600
Min. annual revenue
$250,000
with Fundera by NerdWallet
Pros
- Funding in as little as 24 hours.
- Prepayment discounts available.
- Offers loans to startups and borrowers with bad credit.
- No collateral or down payment required.
Cons
- Charges a factor rate that makes it more difficult to compare costs with other lenders.
- Requires higher annual revenue than other online lenders.
- Misleading website marketing: National Funding offers only short-term loans and equipment financing/leasing.
- Charges an origination fee.
National Funding - Equipment financing
Best for Food truck startup loans
Max loan amount
$150,000
Min. credit score
600
Min. annual revenue
$250,000
with Fundera by NerdWallet
Pros
- Funding in as little as 24 hours.
- Prepayment discounts available.
- Offers loans to startups and borrowers with bad credit.
- No collateral or down payment required.
Cons
- Charges a factor rate that makes it more difficult to compare costs with other lenders.
- Requires higher annual revenue than other online lenders.
- Misleading website marketing: National Funding offers only short-term loans and equipment financing/leasing.
- Charges an origination fee.
Pros
- Funding available within 48 hours.
- Competitive rates and repayment terms.
- Flexible payment options available, including deferment options for certain industries.
- No down payment required.
- Can be used to build business credit.
Cons
- Must have good credit to qualify for no prepayment penalties.
- Charges an origination fee.
JR Capital - Equipment financing
Best for Fast food truck financing
Max loan amount
$10,000,000
Min. credit score
620
Min. annual revenue
Undisclosed
Pros
- Funding available within 48 hours.
- Competitive rates and repayment terms.
- Flexible payment options available, including deferment options for certain industries.
- No down payment required.
- Can be used to build business credit.
Cons
- Must have good credit to qualify for no prepayment penalties.
- Charges an origination fee.
Max loan amount
$250,000
Min. credit score
580
Min. annual revenue
$150,000
with Fundera by NerdWallet
Pros
- Can fund within one to two business days.
- No prepayment penalty.
- Flexible repayment options: monthly, quarterly, annually or semiannually.
Cons
- Charges an origination fee.
Triton Capital - Equipment financing
Best for Food truck financing for bad credit
Max loan amount
$250,000
Min. credit score
580
Min. annual revenue
$150,000
with Fundera by NerdWallet
Pros
- Can fund within one to two business days.
- No prepayment penalty.
- Flexible repayment options: monthly, quarterly, annually or semiannually.
Cons
- Charges an origination fee.
Max loan amount
$5,000,000
Min. credit score
650
Min. annual revenue
Undisclosed
with Fundera by NerdWallet
Pros
- Large borrowing maximums.
- Interest rates are capped.
- Long repayment terms available.
Cons
- Collateral is typically required.
- Longer processing times than online lenders.
SBA 7(a) loan
Best for SBA loans for food trucks
Max loan amount
$5,000,000
Min. credit score
650
Min. annual revenue
Undisclosed
with Fundera by NerdWallet
Pros
- Large borrowing maximums.
- Interest rates are capped.
- Long repayment terms available.
Cons
- Collateral is typically required.
- Longer processing times than online lenders.
Max loan amount
$1,000,000
Min. credit score
Undisclosed
Min. annual revenue
Undisclosed
Pros
- Offers up to 25% in additional financing to cover soft costs, such as installation, taxes and freight.
- No down payment or blanket lien required.
- Option to finance multiple pieces of equipment on one contract.
Cons
- Can only apply online for transactions under $250,000.
- Interest rates and qualification requirements not disclosed online.
U.S. Bank - Equipment financing
Best for Covering upfront costs
Max loan amount
$1,000,000
Min. credit score
Undisclosed
Min. annual revenue
Undisclosed
Pros
- Offers up to 25% in additional financing to cover soft costs, such as installation, taxes and freight.
- No down payment or blanket lien required.
- Option to finance multiple pieces of equipment on one contract.
Cons
- Can only apply online for transactions under $250,000.
- Interest rates and qualification requirements not disclosed online.
Max loan amount
$100,000
Min. credit score
625
Min. annual revenue
$50,000
with Fundera by NerdWallet
Pros
- Flexible qualification requirements.
- No prepayment penalties.
- Funds available by next business day after approval.
Cons
- Most borrowers are subject to a 2% draw fee.
- Not available in all U.S. states.
Headway Capital - Line of credit
Best for Food truck financing for working capital
Max loan amount
$100,000
Min. credit score
625
Min. annual revenue
$50,000
with Fundera by NerdWallet
Pros
- Flexible qualification requirements.
- No prepayment penalties.
- Funds available by next business day after approval.
Cons
- Most borrowers are subject to a 2% draw fee.
- Not available in all U.S. states.
What is food truck financing?
Food truck financing typically refers to a loan that’s used to buy a new or used food truck for your business. These loans are structured like other forms of equipment financing
The term "food truck financing," however, may also incorporate any type of business loan
- Purchasing or upgrading kitchen equipment.
- Buying inventory and supplies.
- Hiring staff and making payroll.
- Improving the truck (e.g., signage, maintenance, repairs).
- Covering day-to-day expenses.
How much does it cost to finance a food truck?
It can cost anywhere from $50,000 to $200,000 to purchase a new food truck. These custom trucks require a lead time to build. The cost of a used food truck, on the other hand, may range from $30,000 to $100,000. You should be able to use these trucks immediately, pending any required maintenance.
Whether you finance a new or used truck, interest rates on food truck loans can range from 5% to 36% APR. The business loan rate
Keep in mind that you may also need to cover soft costs, such as delivery, installation, warranties, taxes and insurance. Some lenders can offer food truck financing that incorporates these costs upfront.
Types of food truck financing
Here are some of the most common types of food truck financing:
Equipment financing
Equipment loans are designed specifically for the purchase of business machinery and equipment. You can use equipment financing to buy a food truck, as well as refrigerators, sinks, cooktops and other kitchen equipment.
With an equipment loan, the machinery that you’re purchasing serves as collateral. This built-in physical collateral
SBA loans
These SBA loans are available in amounts up to $5 million ($5.5 million for eligible 504 loan projects) with repayment terms up to 10 years when used for equipment purchases. To qualify for an SBA loan, however, you’ll generally need good credit, strong finances and multiple years in business.
Business term loans
A business term loan
If you’re looking to buy a food truck, a dedicated equipment loan may be a better option. General term loans, however, can be a good option for financing inventory and supplies purchases, business improvements and day-to-day operations, among other uses.
Business line of credit
A business line of credit
Credit lines are best suited for the ongoing working capital needs of your food truck. They can also be good to have on hand in case of emergency expenses.
Microloans
Microlenders typically have flexible eligibility requirements and may be willing to work with startups or borrowers with bad credit. These loans can be a good option if you can’t qualify for more traditional financing, as long as your funding needs don’t exceed $50,000.
How to get a loan for a food truck
If you’re looking for a loan to purchase a food truck — or generally fund your business — here are some tips to help you find the right financing for your needs.
1. E valuate your funding needs
Determine how much business capital
2. Review your qualifications
Most lenders will consider your personal credit score, time in business and annual revenue when underwriting a loan application. Reviewing these business loan requirements
If you’re financing a food truck, you'll want to determine how much you can afford to put down. Although not all lenders require a down payment on a business loan
3. Find a vendor and get a quote
When financing a food truck, you’ll typically need to provide an equipment quote as part of your application. You should reach out to different vendors to get a quote for the type of truck you want. This will also allow you to compare vendors to see where you can get the best price.
4. Compare food truck loan options
As you research and compare options, consider factors such as available loan amounts, repayment terms, interest rates, funding speed, application process and lender reputation.
» MORE: Equipment loan calculator
5. Prepare and submit your application
Organizing your paperwork ahead of time can help expedite the business loan application
When completing your application, you’ll want to make sure that you provide accurate and up-to-date documentation and answer every question as intended. This will reduce any back-and-forth between you and the lender, allowing you to get approved quicker.
Frequently asked questions
Where can you finance a food truck?
How long can you finance a food truck?
Can you get food truck financing with no credit check?