$3M – $10M a year

$3M to $10M: usually a group, usually a second or third room.

Groups in this band are funding buildouts, new markets, or paying down tenant improvement costs. Capital is available from several directions; the work is matching each use to the cheapest money for it.

Dining credit: core mandate

What it looks like

Bank debt for the lease and buildout, dining-credit funding for the opening cushion and the first slow season, equipment finance for the kitchen: the stack is common and sensible.

Multi-unit groups spread dining-credit redemption across rooms, which is why the product works better for them than for a single busy restaurant.

Typical raise at this size$250,000 to $1.5M

Credit to honor2× the raise

Instruments we'd model first

Dining-credit purchaseQuality full-service restaurants with empty seats funding a specific growth project
SBA and bank loansOwners with time, strong financials and the willingness to guarantee
Lending marketplacesOwners who want to compare several offers at once

Doing $3m – $10m? See whether the rest of the profile fits.

Covers Advisory is an independent capital advisory, not a lender. We do not make funding decisions, and we are compensated by funding partners when a placement we arrange closes. Our recommendation is the same whether or not a partner pays us. How we're paid.