Food, beverage and hospitality
The equipment is financeable, the leasehold is financeable, and the trading history is what decides whether either happens.
How the balance sheet reads.
Franchise systems with a documented unit history are treated more favourably than an independent concept.
Equipment holds value where it is standard and installed properly. Custom fit out does not.
Rent as a percentage of sales is a number every lender in this sector asks for.
What usually does the work here.
WHERE IT GETS DIFFICULT
- Lease assignment terms can block a financing or a sale entirely. Read them before anything else.
- Multi unit growth financed one unit at a time accumulates a debt schedule nobody planned.
- Equipment and vehicle financingDriven by asset value, commonly $25,000 to $5,000,000 Finance sized against the asset itself, for machinery, fleet and production systems, including sale and leaseback on equipment you already own.
- Term loans$100,000 to $5,000,000 and above A fixed sum advanced at closing and repaid over a set schedule, for growth, refinancing or a single large investment.
- Acquisition and buyout financingDeal dependent, commonly $250,000 to $10,000,000 Capital stacks for buying a business, a franchise, or a partner out, built from bank debt, seller paper and buyer equity.
A food, beverage and hospitality file, read properly.
Tell us the amount and the purpose, and we will say what is realistic in this sector.
No lender hears your name until you say so.
A request emailed to twenty lenders leaves twenty records. The next one to see it reads the declines before they read the deal, and a file that looks shopped is priced as one. So the list is built with you, approved by you in writing, and nothing leaves this office before that.
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- 416-841-8468
- Hours
- Weekdays, Toronto time