Line of Credit Brisk BBQ Business
Author: Valerie Mellema
Date posted: 09.12.22

On the east coast of the United States, a woman decided she wanted to open a casual eatery. Featuring barbeque and fresh sides, the restaurant was a great way to add something new to a town that was looking for exactly that. The business took some time to market itself and become popular, but it happened. At the time of this story, the little restaurant was constantly full of patrons. It became clear that they could go farther and do more if they wanted to. That was something the owner chewed on for a while.

Opening a Mobile Location

Due to the success of the first restaurant, it was eventually decided that adding a mobile restaurant into the mix would be a great option. Their delectable barbeque was beloved in the area and offering it in parking lots of businesses or at events would give even more people the chance to try it.

 

Of course, a lot of work would need to be done to create a food truck or something similar. However, when it came down to it, it seemed like a good gamble to take. That’s what started the process of turning this idea into a reality for everyone in the town to enjoy.

 

What Would the Cost Be?

After going over the costs needed to get things on the road, it came down to $200,000. Of course, this was only an estimate and things could fall a bit higher or lower. However, this took into account the vehicle, needed equipment, and extra employees to man it.

 

In the end, they stuck with the number above and decided to choose a flexible option. That would make it possible to access extra money if they decided to upgrade the truck or send out another one if things went well with the first one.

Selecting the Appropriate Financing Option

After crossing out several financing choices due to being too rigid or not a good match, the final choice was a business line of credit. Plenty of money would be available for a food truck and if things required more capital to get going, that would be there for them to use.

 

It also met their need of having financing available in the future if things went well with the first truck. It seemed as if it was the perfect option for this endeavor.

 

Acquiring a Line of Credit

A line of credit is different from a typical business loan. It’s more similar to a credit card in some ways. It allows a business owner to take out the money as needed up to a certain limit.

 

Since money was needed at the moment, this was considered a wise choice. It was also a financing option that could be used in the future. Once the money is paid off, it’s available again for other business needs.

How Are They Doing Now?

Since receiving the line of credit, the barbeque restaurant has done the work to make its mobile restaurant work. It’s shiny, clean, and filled with great foods for everyone in the town to enjoy. It even visits areas nearby to share its food with those a little farther away.

 

The line of credit is being paid down regularly and the primary restaurant is still popular. While the owner hasn’t decided what project to tackle next, they’ll have their line of credit to take them through the process when it’s time.

About The Author | Valerie Mellema

Valerie has over 16 years of experience as a professional writer of blogs, eBooks, articles and press releases, with a focus on finance and alternative lending. Valerie resides with her family in Texas and is passionate about her horses.

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