Ono Hawaiian BBQ has built a devoted following across California and beyond, serving up generous plates of Hawaiian-style comfort food that blend Japanese plate lunch traditions with island flavors. With locations continuing to expand and strong same-store performance, more entrepreneurs are exploring what it takes to open an Ono Hawaiian BBQ franchise - and, importantly, how to finance one.
Whether you are evaluating the brand for the first time or have already signed a franchise agreement, understanding your financing options is one of the most critical steps you will take. This guide covers everything from startup costs and SBA loans to equipment financing and working capital strategies, so you can walk into the funding process with clarity and confidence.
Before applying for financing, you need a clear picture of the total investment required. Opening an Ono Hawaiian BBQ franchise involves several layers of upfront and ongoing costs.
The initial franchise fee for Ono Hawaiian BBQ typically falls in the range of $30,000 to $45,000, depending on the territory and agreement terms. This fee grants you the right to operate under the brand's name, use proprietary recipes and systems, and receive initial training and support.
According to the brand's Franchise Disclosure Document (FDD), the total estimated investment to open a single Ono Hawaiian BBQ location ranges from approximately $350,000 to $700,000. This wide range reflects variables such as location type (inline strip mall vs. end-cap), real estate market conditions, and whether you are building out a new space or converting an existing restaurant.
Key cost components typically include:
Most lenders require franchisees to contribute at least 20 to 30 percent of the total project cost from their own liquid assets. That means you should plan to have $70,000 to $200,000 in verifiable liquid funds before approaching lenders.
Beyond the initial investment, Ono Hawaiian BBQ franchisees pay ongoing royalty fees (typically around 5 to 6 percent of gross sales) and contribute to a marketing fund. These recurring costs factor into your cash flow projections and affect how much working capital financing you may need.
No single financing product fits every franchisee. Your best approach will depend on your credit profile, business experience, liquid assets, and the total amount you need to borrow. Here are the most common financing paths for Ono Hawaiian BBQ investors.
The SBA 7(a) loan program is the most popular choice for franchise financing. Backed by the U.S. Small Business Administration, these loans offer competitive interest rates, long repayment terms (up to 10 years for working capital, up to 25 years for real estate), and lower down payment requirements than conventional bank loans. Amounts range up to $5 million.
If you are purchasing real estate or major equipment, the SBA 504 loan pairs a conventional first mortgage with an SBA-guaranteed second mortgage, allowing you to finance up to 90 percent of the project cost. This structure is particularly useful if you plan to own the building that houses your restaurant.
Traditional bank loans are available for established franchisees with strong credit and existing business history. Banks typically require larger down payments and shorter repayment terms than SBA loans but can close faster and have fewer paperwork requirements for borrowers who qualify.
Restaurant equipment - commercial grills, rice cookers, steam tables, refrigeration units, and more - represents a major line item in your startup budget. Equipment financing lets you borrow specifically against the equipment being purchased, often with no additional collateral required. Terms typically range from 24 to 84 months. Learn more about equipment financing options for your restaurant.
A business line of credit provides flexible access to funds you can draw on as needed, making it ideal for managing day-to-day cash flow, seasonal fluctuations, or unexpected expenses. Once approved, you only pay interest on what you actually borrow.
If you have retirement savings in a 401(k) or IRA, a ROBS structure allows you to invest those funds into your franchise tax-free and penalty-free. While complex, ROBS can provide a substantial capital infusion without taking on additional debt. Always consult with a qualified ERISA attorney before pursuing this strategy.
Some franchise brands partner with preferred lenders or offer internal financing options for qualified candidates. Check with Ono Hawaiian BBQ's development team to see if they have any preferred lending partners or programs that could streamline your approval.
Crestmont Capital specializes in franchise financing. Our team can help you identify the right loan structure and get funded fast.
Apply Now - Get Your QuoteThe SBA loan program remains the gold standard for franchise financing, and for good reason. Government-backed guarantees allow lenders to offer terms that would not be possible with purely private capital.
Franchise businesses have historically performed well under SBA scrutiny because the brand affiliation provides lenders with a proven business model, established operating procedures, and a track record of financial performance across existing locations. The SBA's loan programs are specifically designed to support small business owners who might not qualify for conventional financing.
Key advantages of SBA loans for Ono Hawaiian BBQ franchisees include:
The SBA maintains a Franchise Registry that identifies brands with pre-approved franchise agreements, which speeds up the loan approval process. Brands on the registry have already had their FDDs reviewed, so lenders do not need to conduct an independent legal review before approving your loan. Check with your lender to confirm Ono Hawaiian BBQ's status on the registry.
To qualify for an SBA 7(a) loan, you will generally need:
Read more about SBA loans for small businesses and how to determine if you qualify.
SBA loan approval timelines vary by lender and program. SBA Express loans can be approved in as few as 36 hours, while standard 7(a) loans typically take 60 to 90 days from application to funding. Starting the process early - ideally 6 months before you want to open - gives you the best chance of having funds ready when construction and buildout begin.
The kitchen is the heart of any Ono Hawaiian BBQ location. Outfitting it properly requires significant capital, but equipment financing allows you to preserve cash for other startup costs while spreading payments over the useful life of the equipment.
A typical Ono Hawaiian BBQ kitchen requires:
With equipment financing, you borrow money to purchase equipment outright and own it at the end of the loan term. With equipment leasing, you pay to use the equipment but return it at the end of the lease or negotiate a buyout. For restaurant equipment that will be heavily used and customized for your build-out, financing (and owning) is usually the better choice. Learn more about your equipment financing options.
Equipment loans for restaurant startups typically offer:
In many cases, the equipment itself serves as collateral, which means lenders may not require additional personal or business assets to secure the loan. This makes equipment financing particularly accessible for first-time franchise owners.
Even the best-run restaurant can face cash flow gaps, especially in the first 12 to 18 months of operation. Having access to working capital financing is not a sign of trouble - it is a smart business strategy that protects your operation against unexpected costs and allows you to seize growth opportunities.
According to the U.S. Census Bureau's business data, restaurant businesses consistently report thin margins in their first years of operation. Inventory costs, staffing needs, and marketing expenses all compete for limited cash. A working capital reserve or credit line helps you bridge gaps between revenue cycles and payroll obligations.
Small business loans designed for working capital typically offer terms from 6 to 24 months, with faster approval than SBA loans. They are ideal for covering opening inventory, hiring and training costs, and marketing pushes around your grand opening.
A revolving business line of credit gives you an approved credit limit you can draw from as needed and repay over time. Unlike a term loan, you only pay interest on what you borrow. For ongoing cash flow management, a line of credit is one of the most flexible and cost-effective tools available.
For franchisees who have been operating for at least 3 to 6 months, a merchant cash advance provides a lump sum repaid through a percentage of daily credit card sales. MCAs have higher effective rates than traditional loans but offer near-instant funding for short-term needs. Use them strategically, not as a primary financing vehicle.
Crestmont Capital has helped hundreds of franchise owners access working capital with competitive terms and quick funding decisions.
Apply NowLenders evaluate franchise loan applications using several key criteria. Understanding what lenders look for allows you to prepare a stronger application and potentially negotiate better terms.
For SBA loans, most lenders want a personal credit score of at least 680. For conventional loans, 700 or higher is preferred. If your score is lower, focus on paying down balances, disputing any errors on your credit report, and waiting 3 to 6 months before applying.
Even with imperfect credit, options exist. Explore bad credit business loan alternatives if your score is below the standard threshold.
Lenders want to see that you have enough personal financial cushion to weather early-stage challenges. For an Ono Hawaiian BBQ franchise with a total investment of $400,000 to $600,000, expect to need at least $100,000 to $150,000 in liquid assets (cash, brokerage accounts, accessible savings).
Restaurant experience is not always required, but it helps - especially with SBA underwriters. If you lack direct food service experience, highlighting related management, retail, or customer service experience can strengthen your application. Some lenders also accept completion of the brand's training program as evidence of operational readiness.
A strong business plan is essential for any franchise loan. It should include:
According to research cited by Forbes, businesses with formal written plans are significantly more likely to receive funding than those without one.
The loan application process for a franchise investment is more involved than applying for a personal loan, but it follows a predictable path. Here is what to expect.
Most lenders will ask for:
Based on your credit profile, available equity, and timeline, select the financing structure that best fits your needs. For most new franchisees, an SBA 7(a) loan covers the bulk of startup costs, supplemented by equipment financing for kitchen build-out.
Work with a lender who specializes in franchise financing. Provide all requested documents promptly and respond quickly to underwriter questions. Delays in document submission are one of the most common reasons franchise loans take longer than expected.
Once approved, review the loan term sheet carefully. Pay close attention to the interest rate, repayment schedule, prepayment penalties, and any personal guarantee requirements. If you need faster funding, explore fast business loan options that can close in days rather than weeks.
SBA loans require closing with a title company or attorney. Once closing documents are signed and recorded, funds are typically disbursed within 1 to 3 business days. For equipment loans and lines of credit, funding can happen within 24 to 72 hours of approval.
Also see our guide on financing a Club Car Wash franchise loan for additional perspective on how franchise financing works across different QSR and service brands.
The total estimated investment to open an Ono Hawaiian BBQ franchise typically ranges from $350,000 to $700,000. This includes the franchise fee ($30,000 to $45,000), leasehold improvements, kitchen equipment, technology, working capital, and pre-opening expenses. Costs vary based on location, size, and local construction rates.
Can I get an SBA loan for an Ono Hawaiian BBQ franchise?Yes. SBA 7(a) and SBA 504 loans are both viable options for financing an Ono Hawaiian BBQ franchise. The SBA 7(a) loan can cover up to $5 million and is the most flexible, while the 504 program is better suited for real estate or large equipment purchases. You will generally need a credit score of 680 or higher, verifiable liquid assets, and a signed franchise agreement to qualify.
What credit score do I need to finance an Ono Hawaiian BBQ franchise?Most SBA lenders require a personal credit score of at least 680. Conventional lenders often prefer 700 or higher. If your score is below these thresholds, take 3 to 6 months to pay down credit card balances, resolve any collections or derogatory marks, and review your credit report for errors before applying.
How much cash do I need to invest personally?Lenders typically require you to contribute 10 to 30 percent of the total project cost from your own liquid funds. For an Ono Hawaiian BBQ location with a $500,000 total investment, plan to have at least $50,000 to $150,000 in personal liquid assets available before applying for financing.
Does Ono Hawaiian BBQ offer any financing assistance?Some franchise brands partner with preferred lenders who are familiar with their business model. Contact Ono Hawaiian BBQ's franchise development team directly to ask whether they have preferred lending partners or any internal financing programs available to qualified candidates.
How long does the franchise loan approval process take?SBA 7(a) loans typically take 60 to 90 days from application to funding. SBA Express loans can be approved in as little as 36 hours for amounts up to $500,000. Equipment loans and business lines of credit can fund in 2 to 10 business days. Plan to start the financing process at least 6 months before your target opening date.
Can I finance the franchise fee itself?Most lenders will not finance the franchise fee separately since it represents the "goodwill" component of your investment. However, it can be rolled into a larger SBA 7(a) loan that covers your total startup costs. Some alternative lenders offer unsecured loans specifically for franchise fees, though these typically carry higher rates.
What documents are needed to apply for a franchise loan?Lenders typically require 2 to 3 years of personal tax returns, a personal financial statement, 3 to 6 months of bank statements, a detailed business plan with financial projections, a copy of your signed franchise agreement or letter of intent, and a professional resume or biography highlighting your relevant experience.
What is an SBA Franchise Registry and why does it matter?The SBA Franchise Registry is a database of franchise systems whose franchise agreements have been pre-reviewed and approved by the SBA. When a brand is on the registry, lenders do not need to conduct additional legal review of the FDD, which speeds up the loan approval process by several weeks. It is worth confirming whether Ono Hawaiian BBQ is listed on the current registry.
Can I use a ROBS to fund an Ono Hawaiian BBQ franchise?Yes. A Rollover for Business Startups (ROBS) allows you to invest qualified retirement funds (401(k), IRA, 403(b)) into your franchise without triggering taxes or penalties. ROBS can fund your entire down payment or be combined with an SBA loan for a blended financing structure. Always work with a qualified ERISA attorney and tax advisor to set this up properly.
Do I need restaurant experience to qualify for a franchise loan?Restaurant experience is not always required but is viewed favorably by lenders and underwriters. If you lack direct food service experience, highlight transferable skills in operations management, retail, or customer service. Completing the brand's training program and hiring experienced restaurant managers can also help demonstrate operational competence to lenders.
What are the ongoing financial obligations of an Ono Hawaiian BBQ franchisee?Beyond your loan repayments, Ono Hawaiian BBQ franchisees pay ongoing royalty fees (approximately 5 to 6 percent of gross sales) and contribute to the brand's national or regional marketing fund. You will also be responsible for rent or mortgage payments, employee wages, food and packaging costs, utilities, insurance, and routine maintenance expenses.
Can I get financing for multiple Ono Hawaiian BBQ locations?Yes. Multi-unit franchise financing is available through SBA loans, conventional loans, and private lenders. Lenders evaluating multi-unit applications will want to see strong performance at your existing locations before approving additional financing. An established track record of profitability significantly improves your approval odds and interest rates for expansion loans.
What happens if I have bad credit - can I still get a franchise loan?Having poor credit does not automatically disqualify you from franchise financing, but it significantly limits your options. Alternative lenders and certain CDFI programs may work with scores below 650, though at higher rates. A stronger down payment (25 to 40 percent) and substantial liquid assets can compensate for lower credit scores in some cases. Explore bad credit business loans for options available to franchisees with imperfect credit histories.
Are there alternatives to SBA loans for franchise financing?Yes. Alternatives include conventional bank loans, equipment financing, business lines of credit, ROBS (retirement fund rollovers), home equity lines of credit (HELOCs), private equity investors, and crowdfunding. Many franchisees use a blended approach, combining two or more financing products to cover different portions of their total investment. A franchise financing specialist can help you design the optimal capital structure for your specific situation.
Pull your personal credit reports from all three bureaus (Equifax, Experian, TransUnion), calculate your liquid assets, and identify any financial issues that need to be addressed before applying. The stronger your financial foundation, the better your loan terms will be.
Contact Ono Hawaiian BBQ's franchise development department to confirm availability in your target market, request the current FDD, and ask about their preferred lending partners. Getting aligned with the brand early helps you avoid surprises later in the financing process.
Develop a detailed business plan with market analysis and 3-year financial projections for your target location. If you need help, franchise consultants and CPAs who specialize in food service businesses can guide you through this process efficiently.
Work with a lender who specializes in franchise financing. Crestmont Capital has experience funding franchise investments across dozens of brands and can help you identify the right loan structure, complete your application, and navigate the approval process efficiently.
Once financing is secured, work closely with your landlord, contractor, and the Ono Hawaiian BBQ support team to complete your build-out on schedule. A well-executed opening sets the tone for your long-term success as a franchisee.
Crestmont Capital works with franchise investors across the country to secure the funding they need. Apply now for a no-obligation quote and get connected with a franchise financing specialist.
Apply Now - Free QuoteDisclaimer: The information provided in this article is for general educational purposes only and is not financial, legal, or tax advice. Funding terms, qualifications, and product availability may vary and are subject to change without notice. Crestmont Capital does not guarantee approval, rates, or specific outcomes. For personalized information about your business funding options, contact our team directly.