Who we work with
Cafes and hospitality
Hospitality carries heavy upfront costs and takes time to build the trade that pays for them. A fit-out, a coffee machine, a cool room and a kitchen have to be paid for before the venue has any trading history at all.
Takings are usually daily, which suits some finance structures well, and seasonality is often pronounced, which matters when repayments are set.
What owners in this industry come to us for
- Fitting out a new venue or refreshing a tired one
- Kitchen equipment, coffee machines and refrigeration
- Covering quieter months in a seasonal trading pattern
- Stock ahead of a known busy period
- Taking over an existing venue and its equipment
What lenders tend to look at
Daily takings give lenders a clearer and more current picture than annual statements do, and several lenders in this space assess on exactly that.
- Daily and weekly takings, and how they move across the year
- How long the venue has traded, and under which ABN
- The lease: how long is left and what it commits you to
- Equipment owned outright against what is already financed
- Whether directors own property
- Credit history, including recent dishonours
A situation we see often
A cafe that has traded well for a year needs to replace refrigeration that is failing, and cannot afford the downtime a breakdown would cause. The equipment is a known cost and the trade is steady, but the cash sits in the float rather than in reserve.
Equipment finance is the usual starting point, because the asset supports the facility. This is an illustration of a common enquiry rather than a client case study, and outcomes depend on the business and the lender's own assessment.
Finance that commonly suits
Common questions
We have only traded for eight months. Is it too early?
Not necessarily. Some lenders assess recent trading rather than requiring two full years, which is often what makes options available to a newer venue. Time trading does affect what is available, so it is worth understanding the position before committing to a purchase.
Our trade is very seasonal. Does that count against us?
It is not a problem in itself, but repayments should be matched to how your money actually arrives. Raise the seasonality early so the specialist factors it in rather than discovering it later.
See which lenders fit your business
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