Best Options for Restaurant Equipment Financing
Summary
Managing a successful restaurant means monitoring a lot of moving parts, including chefs, wait staff, the specials and, of course, the equipment. Because equipment financing often comes with a high annual percentage rate, Kincheloe doesn’t recommend using it to buy smaller items (like microwaves) unless you can bundle them with a larger purchase. Kincheloe, president of National Restaurant Consultants, says owners sometimes jump at low monthly payments, even if they don’t need new equipment, and they forget to consider a loan’s APR. According to the company, roughly 12% of their financing is used in the restaurant industry, and with term loans accessible with just a 500 minimum credit score, it could be a good option for restaurateurs who are still finding their footing. If approved, you can get funding in as fast as 10 days (compared to SmartBiz, which typically takes several weeks) making it a prime option for restaurateurs looking to cash in on flash sales or equipment discounts.