Crestmont Capital Blog

Loans for Restaurants and Cafés in Tacoma and Spokane

Written by Mariela Merino | July 7, 2025

Loans for Restaurants and Cafés in Tacoma and Spokane

Tacoma and Spokane each have vibrant dining scenes—urban cafés near the waterfront, craft brew pubs in historic neighborhoods, farm‑to‑table kitchens, and cozy breakfast spots. Whether you're launching fresh concepts or expanding existing venues, access to capital is key to opening doors, hiring talent, upgrading equipment, and driving growth.

This guide covers loan options for restaurants and cafés in Tacoma and Spokane—from SBA programs and local grants to equipment financing and flexible credit lines—helping you find the right path to fund your hospitality vision.

Why Tacoma & Spokane Restaurants Need Financing

Operating a food business involves high upfront and ongoing costs:

  • Leasehold buildouts and renovations

  • Kitchen equipment and point-of-sale systems

  • Hiring and training staff

  • Initial inventory, food costs, and licensing

  • Marketing, branding, and online delivery integration

  • Seasonal variation and cash-flow fluctuations

🍽️ From summer crowds on the waterfront to winter café comfort, Washington’s mid‑sized markets require reliable funding strategies for sustained success.

1. SBA Loans for Tacoma & Spokane Food Businesses

The SBA provides several loan programs ideal for restaurant use:

💼 SBA 7(a) Loan

  • Use: Working capital, payroll, equipment, expansion, refinancing

  • Loan Size: Up to $5M

  • Terms: 10 years for equipment, 25 years for real estate

  • Rates: Prime + 2.25%–4.75%

  • Best for: Large-scale buildouts or multi-location startups

🏢 SBA 504 Loan

  • Use: Real estate purchases or significant leasehold improvements

  • Structure: 50% bank, 40% CDC, 10% borrower

  • Benefits: Fixed interest, long terms

  • Best for: Buying property or major renovations

🧾 SBA Microloan

  • Use: Small equipment, initial inventory, signage, licenses

  • Loan Size: Up to $50K

  • Administered by local nonprofit lenders like Business Impact NW or Spokane SBDC

  • Ideal for: Café startups or food trucks

📍 Apply via Seattle-area SBA-approved partners like the Seattle SBA District Office which serves Tacoma and Spokane.

7-Step Loan Process for Tacoma & Spokane Restaurants (Featured Snippet Section)

  1. Define the purpose (e.g., buildout, equipment, staffing)

  2. Choose your loan type (7(a), 504, or Microloan)

  3. Gather business plan, financials, lease/vendors quote

  4. Approach SBA-approved lender or CDC

  5. Submit application and documents

  6. Undergo underwriting and review terms

  7. Accept funds and begin your expansion or launch

2. Equipment & POS System Financing

Modern kitchens require significant investment in gear and tech:

🛠️ Equipment Loans

  • Purchase ovens, refrigeration, POS systems, and HVAC

  • Secured by the equipment itself

  • Fixed repayments over 2–7 years

  • Providers: U.S. Bank, KeyBank, Deschutes Brewery Lending, Balboa Capital

🔄 Equipment Leasing

  • Lower upfront costs, potential tax advantages

  • Leave, upgrade, or buy at lease end

  • Ideal for seasonal needs or fast-evolving menus

3. Business Line of Credit for Cash Flow

Seasonality and delivery services cause cash-flow fluctuations:

💳 Benefits of a Line of Credit

  • Draw as needed for payroll, inventory, marketing, or repairs

  • Interest only on amounts drawn

  • Revolving access for ongoing flexibility

  • Providers: Wells Fargo, KeyBank, Boomtown GBF (Spokane), Heritage Bank (Tacoma)

4. Local Grants & Supporting Resources

While grants are limited, regional programs help offset costs:

Tacoma Fund for Business Resilience

  • Supports small businesses with grants for rent/mortgage assistance

  • Prioritizes minority- and women-owned foodservice operators

  • [City of Tacoma Office of Economic Development]

Spokane CARES & Recovery Grants

  • One-time grants to aid small businesses impacted by economic shifts

  • Include grants specific to hospitality and food sectors

  • [Spokane City Office of Sustainability]

SCORE & SBDC Support

  • Business Impact NW (Tacoma) and Spokane SBDC offer free loan prep assistance, menu cost modeling, and growth strategy

  • SCORE chapters provide mentoring and local expertise

5. Alternative & Tech-Enabled Financing

📦 Merchant Cash Advances (MCAs)

  • Quick funding based on future credit-card sales

  • High repayment costs—best used sparingly

🧾 Invoice Factoring

  • Convert B2B payments (catering, event contracts) into immediate cash

  • Providers: BlueVine, altLINE

🌐 Crowdfunding & Community Support

  • Launch new menu concepts or locations with Kickstarter, Harvest Hosts, or Mainvest

  • Great for building community buzz, especially in Tacoma’s local-food culture or Spokane’s foodie scene

Real Example: Expanding a Café in Downtown Spokane

Business: Maple & Mint Café
Project: Buildout of second location, new espresso machine, delivery integration
Funding Strategy:

  • $200K SBA 7(a) loan through Heritage Bank

  • $40K equipment financing for kitchen and POS systems

  • $30K Spokane Recovery grant

  • Used PSA mentorship from Spokane SBDC
    Results:

  • Successful second opening within 6 months

  • 50% boost in total revenue

  • Added 8 new staff members

External Authoritative Links

Pros and Cons of Dining Business Loans

Pros Cons
SBA loans provide low interest and long repayment terms Approval can take 30–90 days
Equipment financing preserves capital and updates tech Leases may be more expensive long-term
Local grants reduce debt burden during expansions Highly competitive and limited funding pools
Businesses retain flexibility with lines of credit MCAs and factoring carry high costs

Conclusion: Grow Tacoma & Spokane Food Businesses with Confidence

Tacoma and Spokane’s food scenes offer enormous opportunity—fueled by local demand, community support, and strong regional funding networks. Whether you're breaking ground on a second location or upgrading your kitchen, the right mix of SBA loans, equipment financing, local grants, and expert advisory can empower your growth.

Ready to fund your Tacoma or Spokane restaurant or café?
Connect with an SBA-approved lender, apply for city or recovery grants, or book a coaching session with local SBDC or SCORE mentors to get started today.