How to Get Fast Business Funding for a Takeout Restaurant
Written by Emroz Alam
Need cash for your takeout or quick-service restaurant? Here's what lenders check, what can sink your file, and how much you can realistically get.
- You can get a funding offer in about 40 minutes, and the money wired in about 24 hours after you accept.
- You need 6+ months in business, $10,000+ a month in revenue, and a credit score over 400.
- Most takeout restaurants qualify for about 3% to 10% of yearly revenue.
If you run a takeout spot, you already know the money is there. It's just stuck in delivery-app payouts, supplier invoices, and that cooler that picked the worst week to die. I've looked at a lot of takeout files, so here's how funding actually works for you.
1Why takeout owners look for funding
From what I see, it usually comes down to one of these:
- Delivery apps take up to 30% commission and hold your payouts
- Food costs keep going up, and suppliers want to be paid upfront
- A fryer or walk-in cooler breaks down and can't wait
- You want to open a second location or upgrade your kitchen
I think the delivery-app one is the most underrated. A 30% cut plus delayed payouts can make a busy restaurant feel broke.
2Do you qualify? (30-second check)
- In business for more than 6 months
- Bringing in over $10,000 a month
- Credit score over 400
Tick all three? You're in a good spot to apply.
What you need to send:
- Your last 6 months of business bank statements
- This month's statement so far
That's it to start. Your ID and a void cheque only come later, once you accept an offer.
3What lenders look for in a takeout restaurant
Here's what they check, and why it matters:
- Deposits almost every day. Busy restaurants get paid daily. Steady daily deposits tell the lender people are walking in.
- Delivery-app payouts going into your business account. If your Uber Eats or DoorDash money lands in a personal account, the lender can't count it.
- Few negative-balance days. Going into overdraft tells a lender cash is tight.
- A healthy average balance. A cushion in the account shows you can handle a small daily or weekly payment.
- In past cases, I've seen takeout owners get a smaller offer than they should have, simply because their Uber Eats or DoorDash money was landing in a personal account. The lender can't count what it can't see.
- The strongest files I see aren't always the biggest. They're the ones with deposits nearly every single day and very few overdraft days.
4Questions lenders will ask you
Expect these. Having the answers ready speeds everything up.
- Who owns the business?
- What will you use the money for?
- Do you have any slow months or slow seasons, or any big months or big deposits coming up?
- Roughly what's your credit score, and how much do you do month to month?
- What share of your sales comes through delivery apps?
5The 5 questions that can sink your application
These come up in this order. I'd answer every one honestly, because the lender will check anyway.
- Do you have anything in collections right now?
Open collections tell a lender bills aren't getting paid. If it's small, I'd clear it before you apply. - Do you have any open bankruptcies?
An open bankruptcy usually stops the file. Be upfront about it either way. - Have you ever stopped payments or defaulted with another lender?
This is the one lenders care about most. They will find it, so it's always better to say it first. - Do you have any other loans or advances right now?
This isn't an automatic no. Outcome99 has second- and third-position options sized around what you can still carry. Lenders just need the full picture. - Do you owe any money, including to CRA?
CRA gets paid before anyone else, so government debt is a big red flag. In my experience, having it current, or at least under a payment arrangement, helps a lot.
6How much funding can you get?
The rule of thumb: takeout restaurants usually qualify for about 3% to 10% of yearly revenue.
- Closer to 10% with a higher credit score
- Closer to 3% with a lower one
Example: say your takeout restaurant does $50,000 a month. That's $600,000 a year. With a lower credit score, 3% is about $18,000. With a strong credit score, 10% is up to $60,000.
| Amount | |
|---|---|
| Monthly revenue | $50,000 |
| Yearly revenue | $600,000 |
| Lower credit score (~3%) | $18,000 |
| Strong credit score (~10%) | up to $60,000 |
These numbers are just an example. Your offer depends on your own statements.
Repayment is usually a small daily debit. That fits a business that gets paid every day, so the payment moves with your sales.
7My honest tips before you apply
- Switch every delivery-app payout to your business account now, even if you're not applying yet.
- Avoid going into overdraft in the weeks before you apply. A few clean weeks help.
- Have a clear use for the money, like "new fryer" or "second location deposit." Vague answers slow things down.
8FAQ
Get fast business funding for your takeout restaurant today
You can get fast business funding for your takeout restaurant today with just one application.
- Go to outcome99.com and open the Apply section.
- Fill out one short application. It takes a few minutes.
- Get a funding offer in about 40 minutes. Once you accept, the money can be wired in about 24 hours.
About Outcome99
Outcome99 is a fast business loan company servicing businesses across Canada. The company provides fast capital, from $10,000 to $5 million, approved in 24 hours or less, with flexible terms built around each business rather than the other way around. As a business's track record grows with Outcome99, so do its rates and limits. Credit score is not a factor; Outcome99 evaluates businesses based on revenue, not credit history.