The best line of credit for a restaurant depends on your track record. If you have an LLC, a year in business and good credit, Bluevine or OnDeck are solid online options; if you have years in business and your taxes in order, a line from your bank usually costs less; for small purchases, a business credit card. And if you do not qualify for a traditional line or you need money now, Merchant Fund Express is our recommendation: it reviews your daily sales, not just your credit.
A restaurant lives on daily cash flow: you buy supplies every day, run payroll every week, and your sales rise and fall with the season, the weather and the holidays. That is why a line of credit fits so well. Here we compare who gives lines to restaurants, what they ask for, and how to use one without overborrowing.
Key takeaways
- A line of credit fits a restaurant's daily cash flow: you draw what you need and pay only for what you use.
- Bluevine goes up to $250,000 and asks for an LLC or corporation, 12 months and 625 credit.
- OnDeck offers lines from $6,000 to $200,000 with 1 year and $100,000 a year in sales.
- If you do not qualify for a line, revenue-based capital reviews your daily deposits.
- Apply before the slow season, not in the middle of it.
- Do not use the line to cover permanent losses.
What a line of credit does for a restaurant
A line of credit approves you for a limit; you draw what you need and pay only for what you use. As you repay, your available balance goes back up. In a restaurant it is most useful for:
- The slow season. January and February are slow for many restaurants; the line covers payroll and rent until customers come back.
- Large supply orders when a vendor offers a volume discount.
- Urgent repairs: a walk-in, a hood or an oven that fails on a Friday night.
- Events and catering that pay after delivery.
- Hiring and training staff before the busy season.
Where it does not fit as well: a full remodel or a second location. For those, a term loan or equipment financing fits better. Read our full guide to the business line of credit for restaurants if you want to understand the product in depth.
How we chose these options
We do not use numeric ratings. We compare every option on the same criteria, explained in how we rank business funding options: speed, minimum time in business, minimum credit, ITIN acceptance versus SSN only, documents, amounts and collateral. For restaurants we add payment flexibility, because your sales swing a lot from week to week. Each competitor's facts were verified on its official site in October 2026; if something was not published, we left it out.
The best lines of credit for restaurants
Merchant Fund Express (recommended funder). Best for: restaurants with steady daily sales that need fast capital even if they do not qualify for a traditional line. It is not a revolving line of credit: it is capital based on your sales and deposits, very useful when a bank or online line wants more credit or more time than you have. It considers scores from a 500 FICO, offers $5,000 to $5,000,000, decisions often come in 2–4 hours, and in most cases it does not require collateral. In a restaurant, where card sales land every day, that deposit history works in your favor. Applying is free, does not impact your credit, support is available in Spanish, and ITIN applicants are accepted (no SSN needed).
Bluevine (line of credit). Best for: restaurants set up as an LLC or corporation with 12 months and $10,000 a month in sales. Its line goes up to $250,000. According to its site, checked in October 2026, it asks for $10,000 in monthly revenue, a 625+ FICO, 12 months in business and a corporation or LLC; it accepts an SSN or ITIN plus an EIN, and a decision can come in minutes. Applying does not affect your credit, per its site.
OnDeck (line of credit). Best for: restaurants with one year and $100,000 a year in sales that want weekly or monthly payments. According to its site, it offers lines from $6,000 to $200,000, with repayment periods of 12, 18 or 24 months and weekly or monthly payments, your choice. It asks for 1 year in business, $100,000 in annual revenue, a business checking account and a 625 personal FICO.
Bank or credit union line. Best for: established restaurants with good credit and financial statements. A bank you already work with may give you a lower-cost line if you have years in business, taxes in order and good credit. It usually asks for more documents and sometimes collateral. If you qualify, it is usually the cheapest option.
Business credit card. Best for: small supplier purchases you can pay in full every month. For the weekly supply order or a minor repair, a business card works like a mini line. If you carry a balance for months, card interest is usually high. Use it for things that turn over in weeks.
Quick comparison
| Option | Published limit | Minimum time | Minimum credit | Minimum sales |
|---|---|---|---|---|
| Merchant Fund Express (revenue-based capital) | $5,000 to $5,000,000 | Reviews sales and deposits | 500+ FICO | Reviews your deposits |
| Bluevine | Up to $250,000 | 12 months | 625 | $10,000 a month |
| OnDeck | $6,000 to $200,000 | 1 year | 625 | $100,000 a year |
| Bank or credit union | Varies | Often 2 years or more | Usually high | Varies |
| Business card | Your card limit | Varies | Usually wants good credit | Varies |
One detail to watch: Bluevine requires the business to be a corporation or LLC, so if your restaurant is in your own name as a sole proprietor, that option is off the table until you form an entity.
What they will ask for and how to look stronger
- Bank statements for 3 to 6 months, or more with a bank. Make sure your card sales (Square, Clover, Toast or another processor) deposit into the business account.
- Sales reports from your point of sale: they show your seasonality and explain slow months.
- ID, an SSN or ITIN depending on the funder, and an EIN.
- Company documents and, if you rent, your lease.
- Tax returns if you go to a bank.
To look stronger to a funder: deposit everything, including cash, into the business account; avoid negative days; and apply before the slow season, not in the middle of it. With strong sales on your statements, offers are usually better.
Common restaurant line-of-credit mistakes
- Taking cash home instead of depositing it. If your cash sales never pass through the business account, your statements show less than you sell, and your offer will be smaller.
- Applying in your worst month. If you ask for a line in the middle of January, your recent deposits look weak. Apply in the fall, with strong sales, and have it ready when you need it.
- Treating the line like income. What you draw is debt; if you count it as sales, your budget gets inflated.
- Stacking several fundings at once. A line plus a cash advance plus cards can leave you with payments that eat your margin.
- Not reading the fees. Ask whether there is a fee per draw, a monthly fee or an unused-line fee, and how the cost of each draw is calculated.
How to use the line without it choking you
- Give every draw a purpose. "Payroll for the second half of January" is a purpose; "just in case" is not.
- Repay during the busy season. Whatever you draw in slow months, pay back when sales return so the limit is available next year.
- Do not use it for permanent losses. If a dish, a shift or a location loses money month after month, the line only delays the decision.
- Watch the payment frequency. A weekly payment in a slow week can pinch; choose the frequency that tracks your sales.
- Review your food cost and labor before asking for a higher limit; the gap often closes with menu and scheduling changes.
A typical example: a taqueria with a strong December and a slow January draws on its line to cover two weeks of payroll and repays it in March when sales climb. For a similar case, read our restaurant working capital example, and for seasonal planning see using a restaurant line of credit for seasonal cash flow.
If you do not yet qualify for a traditional line or you need capital fast, Merchant Fund Express is free to apply and does not impact your credit. Leer en español
Frequently asked questions
What is the best line of credit for a new restaurant?
If your restaurant is less than a year old, the best-known online lines will not accept you yet: OnDeck asks for 1 year and Bluevine for 12 months, per their sites. Early on, the most realistic options are a business card, a credit union where you are already a member, or revenue-based funding if your deposits are already steady.
Can I get a restaurant line of credit with an ITIN?
Some lenders allow it. Bluevine says on its site you can apply with an SSN or ITIN plus an EIN, though it requires a corporation or LLC, 12 months and 625 credit. Merchant Fund Express also accepts ITIN applicants, no SSN needed. Other funders require an SSN, so always ask which ID they accept before you apply.
What credit score do I need for a restaurant line of credit?
Bluevine and OnDeck ask for 625 per their sites. Banks usually ask for more. Revenue-based funding can accept scores from 500 if your deposits are steady. The better your credit and cash flow, the better the terms you are likely to see.
Is a line of credit or a loan better for a restaurant?
A line is better for costs that repeat or change: slow-season payroll, supplies, repairs. A term loan is better for a large, one-time purchase, like a remodel or a second location. Many restaurants use both for different purposes.
How long does it take to get approved for a line of credit?
Bluevine says it can decide in minutes, and OnDeck says you can get funds as soon as the same day. A bank usually takes weeks. Having your bank statements and documents ready speeds up any option.
Can a food truck or small cafe get a line of credit?
Yes, if it meets the lender's minimums. The same rules apply as for a sit-down restaurant: time in business, monthly sales, credit and, for some lenders, an LLC or corporation. Smaller operations with steady card deposits often start with revenue-based capital or a business card and move to a line once they have a year of history.