How money moves in this industry
A venue opening or refit consumes cash before normal trade resumes. Holiday peaks can require more stock and staff before sales are received.
A practical example
A cafe refurbishes its kitchen and dining area and must cover rent and wages during a shorter trading period.
This illustrates a funding need; it is not a lender eligibility claim or a recommendation to borrow.
Common reasons to explore finance
- Kitchen equipment
- Venue fit-outs
- Seasonal working capital
- Buying an established venue
Equipment and assets that may be financed
Asset finance depends on the lender's product, the asset, its condition and the proposed term. Examples in this industry include:
- Commercial kitchens
- Coffee machines
- Furniture and refrigeration
Questions to prepare for a lender discussion
These are useful preparation questions, not a statement that any particular lender accepts this industry.
- How do takings vary by season and day?
- What are lease terms and fit-out approvals?
- Will the business keep trading during works?
Insurance and business continuity
Finance is one part of a business decision. This industry may also need to consider public liability, property, business interruption cover, depending on its activities, contracts and legal obligations. Our business insurance guide explains the concepts and links to official Australian sources.