types of loans / Industry-Specific Loans /

Kabbage Funding™ for
Restaurant Loans


Whether it's investing in equipment or building customer loyalty, Kabbage Funding offers restaurant loans to fund what you need to grow.

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Isn't it time someone was at your service?

From managing dozens of employees to dealing with seasonal income and food costs, it's widely known that being in the restaurant industry is not an easy business. You have to invest heavily in inventory and equipment, plus hiring and training staff that may turn over regularly.

It costs time and money to keep up the marketing required to drive new customers and continue engaging your regular clients. With fluctuations in your working capital, you'll likely need a small business loan at one point or another to fill gaps in cash flow.

Where can I get a business loan for my restaurant?

Traditional lenders tend to view restaurant loans as risky investments. Some may require you to demonstrate everything from relevant hospitality experience and a solid credit history to a strong business plan or even 20-30% of your desired business loan amount in cash.

At Kabbage Funding, we want to help you cut through the red tape to get the restaurant loan you need. Kabbage Funding small business loans are available through a fast, simple application that's fully automated. Provide basic data, and we'll review your business performance right away to give you access to the funding you need – up to $250,000.

How can I use a restaurant loan?

Meet Seasonal Needs

Many restaurants experience seasonal demand, making it difficult to maintain positive cash flow throughout the year. Business owners often need extra funding to prepare for the upcoming season. A restaurant loan can be used to purchase additional equipment, hire and train seasonal staff, purchase more inventory or create seasonal advertising in preparation for the busiest time of the year. This funding can also be used to help business owners during a slow season to cover costs to meet immediate needs.

Upgrade, Repair or Purchase More Equipment

Restaurant equipment will inevitably need to be repaired, replaced or updated. Whether this happens without warning or is anticipated, business owners can use a restaurant loan to upgrade or repair equipment and keep the business running smoothly. A restaurant equipment loan can also be used to purchase additional equipment to meet increased demand or open multiple locations.

Launch A Website or Marketing Campaign

Although every business hopes to have positive word-of-mouth advertising, most restaurants still need to develop external campaigns to bring in new customers while keeping current customers coming back. A restaurant loan can give business owners the funds to cover advertising purchases and run customer loyalty campaigns. Restaurant owners can also use short-term loans to hire a photographer to take new, beautiful images of the space and menu items that can be used across website and social media accounts.

Grow your Business

Business growth and expansion can be exciting, but it can also be quite costly if growth occurs faster than you can handle financially. Restaurant owners can use small business loans to fund expansion costs, such as purchasing new equipment, hiring and training more staff, buying additional inventory, leasing more space and ramping up marketing efforts. These loans can also be used to renovate your existing space or upgrade your equipment in anticipation of future business growth.

Types of Restaurant Loans

Starting a restaurant can be difficult – and so can getting funding. There are a few things that can give you an advantage with lenders: a substantial amount of collateral, a large down payment, proven restaurant experience and a solid credit score.

Finding the right lender is one of the most crucial decisions you'll make when assessing the funding available to you. It's important to review your options to determine which product will best suit your needs.

Restaurant Equipment Loans

The expenses required to make your restaurant modern and efficient often come with a large price tag. To make your dream of that Italian pizza oven or twelve-burner cooktop a reality, you might need extra funding to cover the upfront costs. Fortunately, there are special loans for restaurant equipment. Equipment loans are a type of restaurant business loan designed specifically to cover the cost of equipment purchases for your restaurant. The money received through an equipment loan will only cover cost of equipment and taxes. Any additional costs like delivery, handling and installation will need to come out of your existing profits. Equipment loans usually come with a fixed rate, allowing you to plan your payments accordingly. Since they span an average of three years, you have time to see a return on your investment that helps you repay the loan.

Leasing is another way to finance your business equipment. You will pay a fixed amount per month for the use of the equipment that you will not own until you pay the lump sum at the end of the lease. This can be a viable option for funding restaurant equipment but the ability to pay a lump sum toward the end, however, adds some risk to this financing option.

Restaurant-specific Loans

Restaurant-specific loans typically are offered by banks and other traditional lending institutions. Your restaurant can use a restaurant loan for any financial needs, such as new equipment, remodeling, hiring seasonal staff or restocking. The interest rate and loan term will be determined by the size of the loan; the larger the loan, typically the longer the terms and lower the interest rates.

Small Business Loans

Alternative business loans may be an option for restaurant funding. Kabbage Funding is one source of business loans that thousands of growing business owners use to buy equipment, hire help, invest in marketing, expand, among other uses. This source of capital can provide the upfront funding needed without the associated troubles of dealing with long application processes and difficult qualifying criteria. In the fast-paced restaurant business, having money in five minutes instead of weeks or months can make a big difference.

At Kabbage, we are happy to support the small business community and those working in the restaurant industry. Small business restaurant loans from an alternative lending platform like Kabbage Funding can help support your business by providing capital for your immediate business needs and setting you up for success in the future.



Meet Jacie Dunkle, a Kabbage customer and owner of Tin Whistle Irish Pub.

Spiky Jane's Coffee and Wicked Grounds

Rebeccalyn Bilodeau

"We wouldn't have been able to purchase enough inventory for our busiest event – and biggest revenue day – of the year without a small business loan from Kabbage Funding."

Why Kabbage

Flexible Funds
You decide when to use your funds and how much to take. As long as you have available funds, you can withdraw every time you need capital.
Transparent Terms
Kabbage Funding™ loans have simple, monthly payments with no origination fees or prepayment penalties. You can review your payment schedule before taking a loan so there won't be any surprises.
Simple Process
Securely link your business information online to get an automatic financial review. This lets us evaluate your business right away without requiring you to track down financial statements.
Convenient Access
Withdraw from your line by logging into your computer, using our mobile app or swiping your Kabbage Card. You'll have the security of a line of credit you can use whenever you need it, wherever you are.
Trusted by Thousands
Kabbage customers have securely connected more than 1 million data sources. We’re A+ rated by the Better Business Bureau and certified for our commitment to customer privacy.
Personal Service
From applying to managing your account and making the most of your capital, our in-house team of experts is here to help when you need it.

Important update regarding existing loans

In connection with American Express’s acquisition of Kabbage, the K Servicing site has been established to maintain consistency in the way you manage existing loans.

Your outstanding loans will continue to be managed by K Servicing for Kabbage1

If you have outstanding loans as of October 16, 2020, log into K Servicing using your current Kabbage username and password to manage:

  • Kabbage Funding loans1
  • SBA loans taken through the Paycheck Protection Program (PPP), including loan forgiveness2

Kabbage’s pre-existing loan portfolio was not included in the acquisition.