Learn how to get a coffee shop business loan in four simple steps. This Balboa Capital infographic is filled with helpful advice and real-world tips that you can benefit from. In addition, it features an entire section with facts, figures, and trends about the United States coffee shop industry.

1. HOW TO GET A
COFFEE
SHOP
BUSINESS
LOAN
IN 4 EASY STEPS
KNOW YOUR
FINANCIAL HEALTH
Check your credit score
Review your debt ratio
Estimate your cash flow
Evaluate your borrowing risk
Tip: Your debt payments should not
be more than one-third of your
coffee shop's gross monthly income.
STEP #1:
COMPARE
LENDING OPTIONS
Small Business Administration
Alternative lenders
Conventional banks
Credit unions
Note: The Small Business
Administration doesn't provide
loans; it helps coffee shops get
loans from its lending partners
and micro-lending institutions.
STEP #2:
Financial statements
Income tax returns
Bank statements
Business license
Business plan
Proof of ownership
Form of valid ID
Tip: Alternative lenders typically have
fewer qualification requirements.
This makes it easier and faster to
apply for a coffee shop business loan.
PREPARE YOUR
PAPERWORK
STEP #3:
Follow application instructions
Apply for the right type of loan
Include necessary documents
Avoid mistakes
Read loan terms before signing
Tip: Make sure the information you
submit is complete and free from
mistakes. A small oversight can
result in your loan being rejected.
SUBMIT YOUR
LOAN APPLICATION
STEP #4:
COMMON USES
OF COFFEE SHOP
BUSINESS LOANS
Marketing
Store signage
Business insurance
Technology
Barista payroll
Coffee beans & other inventory
Rent & utilities
Expansion
Business taxes
Espresso machines
Coffee grinders
Security systems
TYPES OF
COFFEE SHOP
BUSINESS LOANS
LONG-TERM LOAN
This type of loan is generally used to fund a long-term
project, or an expensive strategic growth initiative.
The term length is years rather than months.
UNSECURED LOAN
This option has easier qualification requirements.
Because no collateral is needed to qualify, the rates
are generally higher than other types of loans.
SHORT-TERM LOAN
This type of loan is a good option when funds are
needed to address short-term cash flow issues. As its
name states, the payoff time is short. Term lengths of
up to 18 months are common.
LASTLY, HERE'S WHAT'S
BREWING IN THE U.S.
COFFEE INDUSTRY
$50+
BILLIONAnnual revenue of the
U.S. coffee market.
$61 BILLION
Projected annual
revenue of the U.S.
coffee market in 2021.
6% Annual growth rate of
the U.S. coffee market.
65%
Of consumers drink one
cup of coffee per day. 1 in 4Consumers drink three
cups of coffee per day.
38,000+
Number of specialty
coffee shops in the U.S.
6 in 10
Consumers visit a coffee
shop at least once a month.
40%
Of coffee shop revenue is
generated in the morning.
$1,350
How much the average consumer
spends on coffee each year.
60%Of consumers purchase
pastries, muffins, or other
foods at coffee shops.
58%
Of coffee consumed daily is
classified as "gourmet."
This infographic was created by Balboa Capital,
a technology-driven financing company that
provides business owners with fast, hassle-free
solutions to fuel their growth and success.
Sources: Daily Coffee News, Statistica, Forbes,
National Coffee Blog, Beverage Daily, Coffee Talk,
Allegra WCP, Mintel, Food and Wine Magazine
www.balboacapital.com