A restaurant buys food on Monday and sells it all week. A line of credit lets an owner draw for the gaps between, such as a slow January, a broken walk-in or a payroll that comes before the weekend.
Apply Now →Food and beverage purchases come in several deliveries a week, usually due on short terms. Staff are paid every week or two. Rent and utilities come monthly. Revenue arrives nightly, strongest on weekends and weakest early in the week. That mismatch means a restaurant can be busy and still short of cash on a Tuesday.
A line of credit is a flexible tool for that pattern, because the money can be drawn when the gap appears and not before. How a specific line charges for what you use is set out in the offer, which you should read carefully.
Restaurants have off weeks: after a holiday rush, during bad weather, around a road closure. Costs do not shrink to match. A line can cover payroll through the dip.
A broken walk-in cooler or a failed hood system cannot wait. Food spoils quickly and the kitchen may have to close. Quick access to cash can be worth more than the best possible price on the repair.
Adding a patio, extending hours or opening a second location costs money before it brings any. A line of credit lets the owner stage the spending instead of draining the main account.
A line is easier to use well when the books are clear. Know your weekly food cost percentage, your payroll as a share of sales, and the number of days of expenses your account can cover. Owners who track these three can tell, a few weeks ahead, when a draw will be needed and how large it should be, instead of discovering the gap on payday.
It also helps to separate recurring shortfalls from one-offs. If the same gap appears every January, it is a seasonal pattern and can be planned. If it appears without pattern, it may point to a pricing or cost issue that no line of credit will solve.
| Situation | Often a better match |
|---|---|
| Repeated small gaps through the year | Line of credit |
| One-time shortfall with a clear end | Working capital or a cash advance |
| New oven, hood or cooler | Equipment financing |
None of these is better in every case. Choose by the shape of the problem, then compare the actual offers.
Funding runs from $25,000 to $5,000,000. Some applicants are funded in as little as 24 hours. The application takes about five minutes and uses a soft credit pull. Sole proprietors can apply, which includes owner-operators who run a single location. We do not state rates or terms here; they depend on the offer.
Yes. Owners of a single location can apply, including sole proprietors.
Look at the biggest shortfall you have had in a slow month, including payroll, rent and food costs, and consider asking for that figure rather than the maximum.
It can be used, but a one-time repair may be better matched with working capital or equipment financing. Compare.
The check is a soft pull, so no.
$25,000.
Three months of business bank statements and a 5-minute application. FICO 500+ considered. $25,000 to $5,000,000, funded in as little as 24 hours.
Apply Now →It takes about two minutes and it will not affect your credit score.
No obligation • No impact to your credit score
