Best Restaurant Business Loans of 2025
Restaurant financing from banks, SBA and online lenders can be used for a range of purposes, from small supply purchases to large investments in equipment.
| Lender | NerdWallet rating | Best For | Max loan amount | Min. time in business | Min. interest rate | Term length | Learn more |
|---|---|---|---|---|---|---|---|
 with Fundera by NerdWallet | Read expert review | Best for SBA loans | $5,000,000 | 24 months | 10.25% | Up to 25 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for fast loans | $250,000 | 12 months | 14% | Up to 6 months | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for bad credit | $1,500,000 | 6 months | Undisclosed | 4 to 18 months | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for equipment loans | $250,000 | 24 months | 6.5% | 12 months to 5 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for new restaurants | $100,000 | 6 months | 35% | 12 to 24 months | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for high-revenue restaurants that can’t qualify for traditional financing | $250,000 | 12 months | 31.3% | 18 to 24 months | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for flexible repayment options | $750,000 | 24 months | Undisclosed | 6 to 24 months | with Fundera by NerdWallet |
restaurant business loans: More details
U.S. Small Business Administration: Best for SBA loans
SBA 7(a) loans offer long terms, competitive rates and high loan maximums, which are ideal for restaurant owners who can qualify. So far in fiscal year (FY) 2025, over $1.9 billion in 7(a) funding has gone to the food services industry.
Low interest rate
SBA 7(a) loan
with Fundera by NerdWallet
Max loan amount
$5,000,000
Min. credit score
650
Term length
Up to 25 years
Pros
- Large borrowing maximums.
- Interest rates are capped.
- Long repayment terms available.
Cons
- Collateral is typically required.
- Longer processing times than online lenders.
Pros
- Large borrowing maximums.
- Interest rates are capped.
- Long repayment terms available.
Cons
- Collateral is typically required.
- Longer processing times than online lenders.
with Fundera by NerdWallet
Bluevine: Best for fast loans
Bluevine’s line of credit can fund within the same day as approval and can help restaurant owners build business credit. If you’re a restaurant with recurring expenses this can also be a good option, especially since Bluevine can approve and fund draws quickly.
May fund quickly
Bluevine - Line of credit
with Fundera by NerdWallet
Max loan amount
$250,000
Min. credit score
625
Term length
Up to 6 months
Pros
- Cash can be available within 12 to 24 hours.
- Can be used to build business credit.
- Low minimum credit score requirement.
Cons
- Requires weekly payments.
- Not available in North Dakota, South Dakota or Nevada.
- Rates can be high compared with traditional lenders.
Pros
- Cash can be available within 12 to 24 hours.
- Can be used to build business credit.
- Low minimum credit score requirement.
Cons
- Requires weekly payments.
- Not available in North Dakota, South Dakota or Nevada.
- Rates can be high compared with traditional lenders.
with Fundera by NerdWallet
Fora Financial: Best for bad credit
For restaurant owners who are struggling to qualify for funding because of bad credit, Fora Financial has a minimum credit score requirement of 570. It doesn’t have any restrictions on uses, which may be helpful for purchases like safety equipment or food processors.
Fora Financial - Online term loan
with Fundera by NerdWallet
Max loan amount
$1,500,000
Min. credit score
570
Term length
4 to 18 months
Pros
- Cash can be available quickly.
- Get a discount for prepaying.
- No collateral required.
- Low minimum credit score requirement.
Cons
- Charges a factor rate that makes it more difficult to compare costs with other lenders.
- Can’t build business credit.
- Longest loan term is 18 months.
- Charges an origination fee.
Pros
- Cash can be available quickly.
- Get a discount for prepaying.
- No collateral required.
- Low minimum credit score requirement.
Cons
- Charges a factor rate that makes it more difficult to compare costs with other lenders.
- Can’t build business credit.
- Longest loan term is 18 months.
- Charges an origination fee.
with Fundera by NerdWallet
Triton Capital: Best for equipment loans
For purchasing restaurant equipment, like new refrigerators, ovens or other cookware, Triton Capital offers equipment loans with flexible payment structures that allow restaurant owners to make the best decisions for their cash flow.
Triton Capital - Equipment financing
with Fundera by NerdWallet
Max loan amount
$250,000
Min. credit score
580
Term length
12 months to 5 years
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.
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.
with Fundera by NerdWallet
Headway Capital: Best for new restaurants
Headway Capital only requires six months in business and a minimum annual revenue of $50,000. The same-day approval and next-day funding can benefit busy new restaurant owners who need to get things off the ground quickly.
Headway Capital - Line of credit
with Fundera by NerdWallet
Max loan amount
$100,000
Min. credit score
625
Term length
12 to 24 months
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.
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.
with Fundera by NerdWallet
OnDeck: Best for high-revenue restaurants that can’t qualify for traditional financing
OnDeck can help restaurant owners build business credit with online term loans up to 24 months. Due to the short terms and frequent, fixed payments, this is a good option for high-earning restaurants that are looking to build credit on smaller purchases.
May fund quickly
OnDeck - Online term loan
with Fundera by NerdWallet
Max loan amount
$250,000
Min. credit score
625
Term length
18 to 24 months
Pros
- Cash can be available within the same business day (does not apply in California or Vermont).
- Accepts borrowers with a minimum credit score of 625.
- Streamlined application process with minimal documentation required.
- Can be used to build business credit.
Cons
- Cannot fund North Dakota-based businesses.
- Requires frequent (daily or weekly) repayments.
- Interest rates can be high compared with traditional lenders.
- Charges origination fee.
Pros
- Cash can be available within the same business day (does not apply in California or Vermont).
- Accepts borrowers with a minimum credit score of 625.
- Streamlined application process with minimal documentation required.
- Can be used to build business credit.
Cons
- Cannot fund North Dakota-based businesses.
- Requires frequent (daily or weekly) repayments.
- Interest rates can be high compared with traditional lenders.
- Charges origination fee.
with Fundera by NerdWallet
Kapitus: Best for flexible repayment options
Kapitus is an online lender that offers short term loans up to $750,000. It offers daily, weekly or monthly payment options depending on what works best with the cash flow of your restaurant.
Kapitus - Term loan
with Fundera by NerdWallet
Max loan amount
$750,000
Min. credit score
625
Term length
6 to 24 months
Pros
- Can be approved for financing in as little as four hours.
- Flexible (daily, weekly or monthly) repayment options.
- Can be used to build business credit.
- No prepayment penalty.
Cons
- Collateral may be required.
- High monthly revenue requirements.
- Charges an origination fee.
Pros
- Can be approved for financing in as little as four hours.
- Flexible (daily, weekly or monthly) repayment options.
- Can be used to build business credit.
- No prepayment penalty.
Cons
- Collateral may be required.
- High monthly revenue requirements.
- Charges an origination fee.
with Fundera by NerdWallet
What is a restaurant business loan?
A restaurant business loan, typically offered by traditional banks or alternative lenders, can be used to make restaurant-related purchases, such as ovens, cookware or serving ware, tables and more. Generally, your financing options
The interest rate
What are restaurant loans used for?
Restaurant business loans can be used for a range of purposes, including:
- Opening a new location.
- Remodeling, making repairs or expanding an existing location.
- Covering everyday expenses, such as rent, utilities and software subscriptions.
- Purchasing or upgrading equipment.
- Buying inventory and supplies.
- Paying your employees and/or hiring new workers.
- Managing cash flow gaps during seasonal slows.
- Other working capital needs.
Types of restaurant business loans
Restaurant owners can use many different types of business loans
Here are some of the most common types of restaurant loans.
| Loan type | Summary |
| Term loans | Term loans are available from a variety of lenders, including banks, online lenders and other |
| Business lines of credit | Lines of credit are available from both banks and online lenders. |
| Restaurant equipment financing | Because the assets purchased often serve as collateral, |
| Inventory financing | Similar to restaurant equipment financing, |
How to compare restaurant business loans
The options for financing your restaurant can be numerous and overwhelming. There are some tips you can follow when comparing loans to help you make your decision.
- Consider loan repayment terms. If you’re purchasing a large piece of equipment, or making expansions to your restaurant, you may want longer repayment terms for your restaurant loan. On the flip side, if you have the daily or weekly cash flow to pay off the loan quickly, you may be able to save on interest in the long run.
- Purpose of funding. The purpose of your loan can direct you to a specific type of financing, and rule out certain lenders. If you need to cover recurring cash flow gaps for inventory, a line of credit may be your best fit. If you are looking to make a large long-term purchase like a vehicle though, you may opt for a term loan.
- Timing of funding. Certain lenders are able to fund faster than others. When comparing lenders, make sure you understand your ideal funding timeline, and go with a lender that can match it.
- Lender reputation. It’s always a good idea to check the reputation of the lender you’re considering before you commit to anything. You can look at websites like Trustpilot or the Better Business Bureau (BBB) to see feedback from other borrowers. As a restaurant owner, it can also be helpful to ask if your lender has worked with a lot of restaurants before. There may be industry nuances that affect the timing of funding or understanding of loan purposes.
How to get a restaurant loan
To get a loan for your restaurant, you can follow these steps.
1. Decide which type of funding you need
You’ll want to determine which type of financing will best meet your business’s needs, for example: what you’re using the funds for, how fast you need the money, how much your restaurant can afford and even your stage of business.
If you’re looking to buy, say, a new refrigerator, an equipment loan
2. Evaluate your business’s qualifications
Most small-business lenders
You’ll want to review your financial statements and credit reports ahead of time so you know where you stand with potential lenders.
3. Compare and research lenders
Once you have an understanding of your funding needs and business qualifications
You’ll want to research and compare multiple lenders to find the right fit for your restaurant. Using a business loan calculator
4. Gather documentation and submit your application
Restaurant loan application requirements vary based on the lender and type of financing. In general, you’ll need to provide some if not all of the following:
- Basic information about you and your business.
- Business and personal bank statements.
- Business and personal tax returns.
- Business financial statements.
- Collateral information.
If you’re applying for an equipment or inventory loan, you’ll likely need to provide details and pricing information about those assets.
Funding times will also vary based on financing type and lender. Bank and SBA loans can take anywhere from a few weeks to a few months to fund, whereas online lenders may be able to offer same-day loans
How to get a business loan to open a restaurant
Getting a startup loan
However, microloans using an SBA 7(a) loan to buy an existing business
Other forms of startup funding you may want to consider include alternative lenders, investors, crowdfunding and business grants.
When you’re planning for funding, consider factors like the following that can impact how much financing you need:
- Inventory expenses.
- Labor needs and expenses.
- Equipment needs.
- Licensing fees.
- Mortgage or rent expenses.
- Marketing and technology costs.
Last updated on March 11, 2025
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cost, speed, repayment schedule — can play a role in deciding which
product is right for you. Let us help you through the process.
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If the lender approves you, you’ll sign closing documents in order to receive funds. Some lenders can approve and fund loans within one business day.
Frequently Asked Questions
It can be hard to get a restaurant loan because many lenders perceive the industry to be risky. To increase your chances of getting a restaurant loan, you should have good credit and strong finances.
Some lenders only require a minimum credit score of 500 for restaurant loans. However, to qualify for the most competitive restaurant financing, you’ll typically need a credit score of 650 or higher.
Some banks, like Bank of America and Wells Fargo, offer business loans for restaurants. However, these loans are often designed for larger enterprises and require strong financials to qualify. In general, banks can be hesitant to lend to restaurants, as they perceive the food and beverage industry to be risky.
Methodology
NerdWallet’s review process evaluates and rates small-business loan products from traditional banks and online lenders. We collect over 30 data points on each lender using company websites and public documents. We may also go through a lender’s initial application flow and reach out to company representatives. NerdWallet writers and editors conduct a full fact check and update annually, but also make updates throughout the year as necessary.
Our star ratings award points to lenders that offer small-business friendly features, including:
- Transparency of rates and terms
- Flexible payment options
- Fast funding times
- Accessible customer service
- Reporting of payments to business credit bureaus
- Responsible lending practices.
We weigh these factors based on our assessment of which are the most important to small-business owners and how meaningfully they impact borrowers’ experiences.
NerdWallet does not receive compensation for our star ratings. Read more about our ratings methodology for small-business loans editorial guidelines
