How to Get a Loan for Your Restaurant
Many entrepreneurs rely on help from investors to get their businesses off the ground. Opening a Restaurant requires purchasing inventory, renting or buying space, satisfying regulatory standards of your area and hiring and training staff. Instead of groveling to banks, Restaurant owners have a growing number of grants and loans that will give them the funds necessary to start businesses.
- Construct a detailed business plan. Restaurants are considered a high risk investment. As a result, they often have a hard time finding a loan. One way to counter this is to create a solid business plan. Lists all the costs associated with starting a business like license fees, hiring staff and cost of inventory.
- Try a grant before a loan. It is much more challenging to get a loan than a grant. Loans are based on credit ratings and debt to income ratios. If you’ve had challenges in the past with credit, your business could be denied a loan. Before incurring any more debt, search online for grant opportunities. Check your official state website for availability or go to the government database at grants.gov. Enter the keywords “nightclub” or ” Restaurant” in the search field to find grants. Choose from the list of grants and select the application button to apply.
- Apply for a small-business loan. Visit sba.gov to submit your application. If you have prior experience operating a small business, solid business plan and decent credit you have a good chance of getting a small loan.
- Women Business Grant. You can apply for a grant from Digital Women. If your Restaurant is predominantly female owned, you could be eligible. Digital Women has helped women start small businesses since the 90’s. In order to qualify, the business should be 51 percent women-owned. Visit their website for further requirements. The deadline is towards the end of the year. Check the website for details.
First American Merchant (FAM) is a popular online lender that gives Restaurants and other high risk small businesses the funds necessary to start successful and profitable ventures. FAM specializes in business cash advances for Restaurants and high risk companies, even those with bad credit. First American Merchant is the lender that will work for you and with you. Contact them today.