Pizza Shop Loans & Financing

What is a Pizza shop Business Loan?

Many Pizza shop owners are familiar with the hardships within the foodservice industry, such as broken equipment, employee turnover, and customer gripes. The best solution for small and growing businesses is to acquire working capital to enhance their business endeavors. Restaurant business loans are industry-specific loans offered by traditional and non-traditional lenders to support a range of business needs.

First Union is here to help! Various loan options can help your Pizza shop thrive.

Types of Pizza shop Loans & Financing Options

When choosing the best types of loans relevant to the food industry, many factors are considered. Business owners should look out for loans that offer the best interest rates, down payments, and collateral requirements. Here are some of the more widely used loans that have helped Pizza shop owners:

• Business Line of Credit: Banks, financial institutions, and other licensed lenders often extend credit to creditworthy customers to address fluctuating cash flow needs. The maximum of funds a customer can draw from a line of credit is typically called the credit limit or overdraft limit. The credit limit is commonly used for credit cards, whereas the overdraft limit is more widely used for bank accounts.

• SBA 7(a) Loan: 7(a) loans are the most common within the SBA family. With access to up to $5 million in working capital for 25 years, these loans are typically adequate for your business. Interest rates are between 7-8% depending on trade and the nature of your business. Most companies opt-in for an SBA loan fall under this 7(a) category.

  Other SBA options

  SBA 504/CDC Loans: 504 loans are particular. For example, if you are looking to purchase commercial real estate or perhaps a large piece of equipment, this might be the program in which you meet the requirements. The borrower may need to provide 20% of the total value, the SBA kicking in 40%, and the lender the rest. The cap on this type of loan is generally $5 million.

  SBA Express Loan: Considered the simple way to receive expedited, amortized government-guaranteed financing for your small business. This category of the SBA loan family allows borrowers to receive up to $350,000 in either a term loan or line of credit.

• Merchant Cash Advances (MCA): This funding method was made for businesses whose revenue comes primarily from credit and debit card sales, such as Pizza shops or retail shops. Borrowers can receive an upfront lump sum of cash in exchange for a portion of your future credit or debit sales, or you can repay by remitting fixed daily or weekly debits from your bank account with ACH withdrawals.
• Commercial Real Estate Loans: Growing businesses rely on this type of loan to fuel growth or fund business initiatives. This loan is used primarily to purchase or upgrade a commercial property. This is perfect for expanding a building or opening a second location for a growing Pizza shop.

• Equipment Financing: These loans are used to buy and upgrade business equipment when needed. Businesses will often purchase, replace, repair, or upgrade various equipment to process, manufacture, or produce their product.

  Equipment can include cooking appliances, phone systems, computer monitors, furniture, tools, vehicles (for commercial use), specialized equipment, and more.

How to Apply for Pizza Shop Business Loans: Requirements and Getting Started

If your famous pizza shop has reached the point where expansion and new business initiatives will provide a significant profit, acquiring a small business loan may be the best option.

First Union Lending is here to help.

Submit your business information below to determine if you qualify for any available small business loans. Our Funding Specialists will analyze your qualifications and will reach out to walk you through the following steps.

While each of the available loans have varying qualifications, lenders will typically ask for the following general information:

• Business Operation History
• Business Revenue Statements
• Personal & Business Credit Scores
• Collateral if needed

In the past, loans for pizza shops were harder to acquire due to the risk factor within this industry. Traditional lenders and banks often involve collaterals and place a strict repayment schedule - stressing out borrowers who need capital to grow. Online lenders like First Union provide Pizza shops with the necessary funds to grow and succe

If you have questions in regards to restaurant-related business loans, feel free to give us a call: 863-825-5626

Advantages of Utilizing Pizza Shop Business Financing

Depending on the loan you qualify for, there are many benefits in partnering with a non-traditional lender to gain funds for your business initiatives. The funds from these financing options can solve various foodservice industry issues.

It provides the working capital to allow borrowers to expand their facility or fully renovate it if needed. As time goes on, many pizza shops will require upgrades, repairs, new interior decor, or exterior remodeling to maintain or attract customers.

These funds are not limited to just renovations. Borrowers can use it to enhance your business advertising and equipment if needed. In today's world, internet marketing is a must to create a name for your business. Having a presence on the internet will help keep your small business populating on Google Search results, thus bringing in more customers.

Keeping up with technological equipment is also a must. Point of Sale (POS) systems are continuously enhanced to streamline your business. Stay ahead of the latest upgrades by utilizing the necessary funds. Easier processing and easy-to-use systems will leave a positive impact on your customer and staff experiences.

While utilizing out-of-pocket funds can be expensive, look to a lender to finance your initiatives and keep your business running. These loans can help keep your kitchen running smoothly. Use the funds to repair or replace essential equipment.

Choose First Union Lending As Your Premier Lender

At First Union Lending, we have an unwavering belief that small and medium-sized businesses deserve the right to access the capital they need to succeed.

Our goal is to build long-term, lasting relationships by providing business owners with what they need when they need it. We pride ourselves on being educated, knowledgeable, and caring about conducting business. We have voluntarily acquired much of the same licensing traditional banks require to cement our fiduciary responsibility to our clients and work culture.

We are here to consult, help you save, and guide you and your business to success.