Loans for restaurants in Myrtle Beach, SC come in three shapes on this site: an equipment loan for kitchen machines, a line of credit for food and staff costs, and a card-sales advance collected as a share of daily sales. One invented kitchen is priced all three ways, so the payment pattern and the dollar cost of each can be read side by side.
One invented kitchen finances $18,290 of fryers, a charbroiler and a reach-in over 48 months, draws $8,700 on a line for food and staff hours and pays it down over three months, and sets both beside an $11,500 advance at a 1.33 factor. Gas connections stay outside the request as property work.
Loans for Restaurants: Two Fryers, a Charbroiler and a Reach-In on One Kitchen Loan
A kitchen loan, in this post, means equipment financing: the term is set in months against a quote, and the machines can serve as the collateral.
Illustration only, invented figures: a Myrtle Beach, SC restaurant replaces two fryers at $3,980 each, a charbroiler at $5,460 and a two-door reach-in at $4,870, $18,290 in all. Over 48 months at a 10.95% annual rate, this invented package costs $472.27 a month, and the 48 payments reach $22,668.96 ($4,378.96 of it interest).
Connecting the fryers and the charbroiler to the gas line is property work outside this site; the request covers the units on the quote. Equipment financing is the product page for kitchen machines, and the restaurants page has the Horry County, SC and ZIP 29577 counts for full-service and limited-service restaurants.
Restaurant Loans as a Credit Line for Food Costs and Staffing Weeks
A line of credit suits costs that come and go: a distributor invoice for seafood and produce, or extra staff hours for a private party. The funding partner sets a limit, interest runs on the amount drawn, and paying a draw down opens that room again for the next one.
Staff hours are one cost a line can carry. Full-service restaurants in Horry County, SC reported 13,987 paid employees and limited-service restaurants 6,938 in the pay period that included March 12, 2023 (CBP, NAICS 722511 and 722513).
Illustration only, invented figures: the restaurant draws $8,700 for a distributor invoice and two weeks of extra hours, then pays it down in 3 equal monthly payments at a 14.85% annual rate. In this invented case each payment is $2,972.07, the three total $8,916.21, and the draw costs $216.21 in interest.
When the need is one fixed amount with a known end date, a working capital loan does the same job on a set schedule.
Restaurant Cash Advance: The Holdback and the Total Collected
Unlike the loan and the line, a card-sales advance is not a loan at all: the provider pays today for a slice of the restaurant’s future card sales. The factor sets the total that will be collected, and the holdback sets how much of each day’s card sales goes to the provider until that total is reached.
Illustration only, invented figures: the restaurant takes an $11,500 advance at a 1.33 factor with a 13% holdback. The total collected is $15,295.00, so the advance costs $3,795.00 in this invented case.
At $1,870 of card sales a business day, the invented holdback comes to $243.10 a day, and the total is reached on business day 63 (the last day takes less). The merchant cash advance page explains the holdback in more detail.
| Option | Amount received | How it is paid | Total paid or collected | Dollar cost |
|---|---|---|---|---|
| Kitchen equipment loan | $18,290 | 48 monthly payments of $472.27 | $22,668.96 | $4,378.96 |
| Line of credit draw | $8,700 | 3 monthly payments of $2,972.07 | $8,916.21 | $216.21 |
| Card-sales advance | $11,500 | About $243.10 a business day for 63 business days | $15,295.00 | $3,795.00 |
The amounts differ, so the table shows what each option asks of the kitchen’s cash, not which one is cheaper. Per dollar received, the advance costs $0.33 and the 48-month loan about $0.24 (our arithmetic on invented figures), but the loan runs four years and the advance about three months. Unless the contract offers a discount for early collection, the advance’s dollar cost stays the same however many days it takes.
Statements a Myrtle Beach, SC Restaurant Lines Up Before Comparing Offers
Two offers can be compared only when each is read on the same terms. Before the calls start, these papers put a restaurant’s numbers in one place:
- Recent business bank statements that show the daily card deposits
- Card processor statements, which show sales before fees and refunds
- The equipment quote with model numbers, unit prices and delivery
- A list of every loan, lease or advance already open, with its balance and payment
- This year’s profit and loss report, even a one-page version printed from the bookkeeping program
For each offer, write down three numbers: the amount received, the total that will be paid or collected, and how many days or months that takes. Fees withheld from the amount received change the first number, so ask for them in writing. A funding partner may ask for some or all of the papers above and sets its own list.
To start, call (843) 256-2591 or send the request form; Cedarbend Capital passes each request to funding partners. More posts are on the articles page.
By Cedarbend Capital · Updated
