Financial Information
Bar / Restaurant Financing?
My husband and I want to buy a club dinner, but almost all banks (including ASB) wants a 30% down and we have only about 10% to put down. Does anyone know of a bank or a place of finance companies as “risky”, but are defined with a low down payment? Merci.Réponse
of Reaper
restaurants have a very high failure rate, which is why banks require so much in advance. They are the only other option is a hard money lender or get a lien on your house if you have one.
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#2 written by TradeMark Express 10 months ago
Associations may be a good avenue to explore. These organizations will address many of the thoughts, questions and concerns you’ll inevitably have as well as many you haven’t anticipated yet. See the source box for some relevant links.
Hope that helps! I wish you much success & happiness in all your ventures!
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Restaurants have an extremely high failure rate. One reason is because of poor management. Most banks will not give you a loan for this type of business unless you have a substantial down payment. You need to be careful when entering this type of business because you will have significant overhead. You also need to run the numbers with a good CPA before buying. If the numbers look good the bank may reconsider. If this is an existing business ask for financial records for the CPA review. If the owner refuses to hand over the records that is a red flag. Usually means they are not doing well and they want to get out fast before loosing their shirts. Proceed with caution. Good luck.