Best Way to Finance New Commercial Ovens

Upgrading your kitchen with new commercial ovens can completely transform your restaurant’s efficiency, speed, and food quality.

But high-performance ovens — especially convection, combination, or pizza deck ovens — can cost anywhere from $5,000 to $50,000+ per unit. Paying cash upfront isn’t always practical, especially when you’re managing payroll, food costs, and other expenses.

The good news: there are several affordable financing options that let you upgrade your ovens without hurting your cash flow.

Here’s a breakdown of the best ways to finance new commercial ovens in 2025 — whether you’re opening a new restaurant, expanding your bakery, or modernizing your kitchen.

Why Financing Makes Sense for Kitchen Equipment

Instead of draining your working capital, financing helps you:
✅ Spread payments over several years
✅ Preserve cash flow for operations and emergencies
✅ Upgrade to energy-efficient models sooner
✅ Claim Section 179 tax deductions (up to $1.22M in 2025)
✅ Build business credit

Financing ensures your equipment starts paying for itself through daily use — all while keeping your restaurant’s finances stable.

1. SBA 7(a) Loans – Best Overall Option for Restaurant Equipment

The SBA 7(a) loan program is one of the most flexible and affordable financing tools available for restaurant owners.

Loan Highlights:

• Borrow up to $5 million

• Terms up to 10 years for equipment purchases

• Interest rates typically 8%–11% (Prime + lender spread)

• Down payments as low as 10%–20%

You can use funds for:

• Purchasing commercial ovens and other kitchen equipment

• Renovating or expanding your kitchen

• Working capital and inventory

Best for: Established restaurants, bakeries, or franchises with at least two years of profitability.

Example:
A bakery secures an SBA 7(a) loan to purchase two $30,000 ovens and finance the kitchen remodel — keeping monthly payments low and freeing cash for daily operations.

2. Equipment Financing – Fast and Easy Approval

Equipment financing is specifically designed for purchasing tools and machinery — making it ideal for commercial ovens.

How it works:

• The oven itself serves as collateral

• You make fixed monthly payments

• You own the equipment once it’s fully paid off

Advantages:
✅ Approvals in 24–72 hours
✅ No large down payment
✅ Terms from 2–7 years
✅ Financing up to 100% of the equipment cost

This option is perfect for restaurants, cafés, and bakeries that need to replace old ovens quickly without waiting weeks for SBA approval.

Pro Tip: Many lenders let you finance both new and used ovens, including installation and shipping costs.

3. Equipment Leasing – Stay Current Without Ownership

If you prefer not to commit to ownership or want the flexibility to upgrade every few years, leasing your ovens can be a smart move.

Two main lease types:

• Operating Lease: You rent the oven and return or upgrade it at the end of the term.

• Capital Lease: You own the oven after your final payment (often for $1).

Benefits:
✅ Lower monthly payments than loans
✅ Minimal upfront costs
✅ Lease payments are 100% tax-deductible
✅ Easier to qualify for than bank loans

Best for: Restaurants that frequently update equipment or use seasonal setups.

Example:
A pizzeria leases two deck ovens for 48 months, then upgrades to new energy-efficient models when the lease ends — with no large cash outlay.

4. Vendor Financing – Buy Directly from Manufacturers

Many kitchen equipment manufacturers and distributors offer in-house or partner financing.

Examples include:

• Hobart Financial Services

• Middleby Financing

• Vulcan and Blodgett vendor programs

Advantages:
✅ Simplified application process
✅ Fast approval and equipment delivery
✅ Possible promotional rates or deferred payments

Drawbacks:
Rates can sometimes be higher than bank or SBA loans, and terms may be limited to specific models or vendors.

5. Business Line of Credit – Flexible Financing for Multiple Purchases

If you need flexibility for ongoing upgrades or purchases, a business line of credit may be your best choice.

How it works:

• Get approved for a revolving credit limit (e.g., $50K–$250K)

• Borrow only what you need and pay interest on the used amount

• Reuse as you repay

Use funds for:

• Buying multiple ovens or related kitchen equipment

• Paying installation costs

• Covering seasonal slowdowns during the remodel

Best for: Restaurants that make regular equipment upgrades or handle multiple locations.

6. Short-Term Loans – Quick Funding for Immediate Needs

If your oven breaks unexpectedly or you need to seize a limited-time deal, a short-term business loan can deliver fast cash.

Loan Details:

• Funding in as little as 24–72 hours

• Terms from 6–18 months

• Borrow $5,000–$500,000

• Higher interest rates but immediate access

Best for: Emergency replacements or restaurants with steady daily sales that can handle faster repayment schedules.

Best Ways to Finance New Commercial Ovens

1. SBA 7(a) Loans – Low-rate, long-term financing

2. Equipment Financing – Fast approval and full ownership

3. Leasing – Low payments and upgrade flexibility

4. Vendor Financing – Easy manufacturer-based loans

5. Business Line of Credit – Ongoing access to funds

Example: Restaurant Upgrades Kitchen Without Draining Cash

Business: The Copper Spoon Café – Austin, TX
Loan Type: Equipment Financing
Amount: $65,000

When the café’s ovens began breaking down, the owners decided to invest in two high-efficiency convection ovens. Instead of paying cash, they financed the purchase through an equipment lender with a 5-year term and 8.5% interest rate.

Results:

• Saved $60K in working capital

• Reduced energy use by 20%

• Increased baking output by 35%

Owner’s Quote:

“The ovens paid for themselves within months. Financing let us upgrade without jeopardizing our cash flow.”

How to Qualify for Oven Financing

Lenders typically look for:
✅ Credit score: 650+ (personal or business)
✅ Time in business: 1–2 years preferred
✅ Annual revenue: $50K+
✅ Quote or invoice from equipment supplier
✅ Business tax returns and bank statements

Startups may qualify through SBA Microloans or leasing programs, which are more flexible with limited credit history.

Final Thoughts: Upgrade Your Kitchen, Keep Your Cash

Financing your new commercial ovens is more than a purchase — it’s an investment in efficiency, quality, and customer satisfaction.

Whether you choose SBA loans, equipment financing, leasing, or vendor programs, the key is matching your loan type to your business goals and budget.

By financing strategically, your ovens can start generating profit immediately — while your cash flow stays intact.

Explore SBA-backed options at
👉 sba.gov/funding-programs/loans
or compare offers from restaurant equipment financing specialists today.