A restaurant business term loan delivers a lump sum of capital upfront, repaid through fixed monthly payments over 1 to 5 years. For Toast POS restaurant operators needing substantial capital with consistent cash flow patterns, term loans often deliver the best total cost in our product mix.
Toast Funding structures restaurant term loans from $25,000 up to $5,000,000. Funds typically deploy within a few business days — dramatically faster than traditional bank term loans (60-120 days).
What Restaurant Term Loans Are Used For
- Major equipment purchases — combi ovens, full kitchen overhauls
- Restaurant renovations and rebuilds
- Second location buildout for Toast POS chains
- Acquisition of competitor restaurants
- Refinancing higher-cost existing business debt
Toast Capital vs Term Loan
Toast Capital caps at around $250K and is typically structured as revenue-based. A term loan extends to $1M with fixed monthly payments — better when you need substantial capital and value payment predictability over revenue flexibility.
Qualifications
- Operating restaurant on Toast POS — minimum 6 months
- Monthly revenue $20,000+
- Personal credit score 500+ accepted
- Active business bank account
