Best Food Truck Loans for 2022 | ACFA-Cashflow

Food truck operators may get a variety of funding alternatives to help them launch, develop, or run their operations. We rounded together the best food truck financing alternatives.

Best financing for a food truck company

Small business loans and other financial alternatives are available to help establish or develop a food truck company.

Equipment financing

Equipment loans may be used to buy commercial equipment or even another food truck. This allows food truck businesses to get critical equipment without paying the whole amount upfront. Typically, the funded food truck equipment serves as collateral for a loan with no checkis from credit bureaus.

Equipment might be financed or leased. Equipment loans typically cover 80% of the equipment cost. Thus a down payment is required. Equipment leases demand monthly payments over a specified time, and the lender owns the equipment.

National Funding

National Funding provides new and used equipment loans from $5,000 to $500,000. Term lengths vary from 2-to 7 years. A factor rate of 1.09 is charged instead of interest. To get the loan’s cost, multiply the factor rate by the loan’s sum. National Funding does not need a down payment, which is beneficial to company owners who may not have the funds on hand.

National Funding’s flexible conditions make it excellent for candidates with bad credit. Owners must have a credit score of 500 and be in the company for six months. No yearly income or collateral is required. National Funding also has no age or mileage limits on funded equipment. Business owners may anticipate an answer in 72 hours.

For food truck proprietors that need to upgrade or replace equipment.

  • Up to $500,000 in loans
  • Factor rates from 1.09
  • 4 – 24 month loans
  • Simple qualifying criteria
  • No collateral or deposit required


Microloans often target unserved markets like female entrepreneurs or low-income applicants. Microloans are available to entrepreneurs with little or no business history and poor credit. Nonprofits, governments, and commercial, financial institutions provide microloans. The SBA Microloan Program is a popular lending option with sums up to $50,000. Microloans may be used for working capital, equipment, and inventory. SBA Microloans generally have interest rates between 7% and 9%.

Best for Unskilled entrepreneurs or company owners from underprivileged areas.

  • $50,000
  • 0% – 20%
  • Seven-year loan terms
  • Simple qualifying criteria


Crowdfunding sites like Kickstarter and GoFundMe allow food truck owners to raise cash from the public. Even if your food truck company fails, you won’t be compelled to refund any money raised via crowdfunding.

Many crowdfunding platforms don’t have a minimum time in business or credit score criteria. Thus food truck proprietors may use crowdsourcing as an alternative to conventional financing. However, the marketing and outreach required to persuade several individuals to invest in your campaign might take a long.

Sites like Kickstarter and Indiegogo charge a percentage of your overall financing plus credit card processing costs. If you don’t accomplish your financing target, the platform will refund all monies to donors.

Profitable business entrepreneurs who can advertise a crowdfunding campaign.

  • Platform charge of 5%
  • Processing costs start at 3% + $0.20 per pledge.
  • No required business experience or credit score
  • Time-consuming

Food truck working capital loans

Working capital loans fund wages and everyday costs.

Business cards

Business credit cards allow you to cover modest to medium costs like supplies and inventory. Business credit cards have more minor criteria and speedier funding than personal credit cards. Some company credit cards also reward food truck owners for advertising and petrol costs.

Remember that late payments might hurt your credit score, affecting your future ability to get a business loan. Food truck owners should pay their bills on time to avoid credit issues.

For food truck businesses that require regular finance for minor to medium items.

  • APRs commonly vary from 9.99 to 26.49%.
  • Sign-up and continuing bonuses
  • Quick approval
  • Linked to credit

Loans for payment processors

Payment processing companies may be able to lend food truck proprietors operating funds. Work-capital loans range from $1,000 to $200,000 and are due in 18 months. A 3-month-old PayPal company account with $15,000 in yearly sales is required, but no credit score or collateral is required.

PayPal charges $1.04 to $1.55 for every dollar due and deducts 10% to 30% of your daily PayPal purchases from your payback. Percentages decrease fees. PayPal enables you to postpone payments without penalty if you can’t pay.

Best for Food truck businesses that already use PayPal or Square.

  • 1-200 000
  • Higher loan amounts may demand collateral.
  • One business day funding
  • Pay later without late fees

Business credit line

Like business credit cards, food truck operators may draw from a line of credit of up to $250,000 as required. Lines of credit are beneficial for ongoing costs (such as working capital, inventory, and staffing) and large-ticket items (like fixing your food truck after an accident). APRs typically vary from 8.00% to 80.00%.

Banks and internet lenders both provide business lines of credit. Preferably, applicants will have a 560 credit score and one year of operational experience. Some credit lines need collateral, which means pledging assets.


For up to $250,000, BlueVine provides company lines of credit online. Simple interest rates begin at 4.8%. Each drawing must be reimbursed weekly for six or twelve months. (Business owners should be aware that weekly repayments might cause cash flow issues.) The funds requested are usually deposited within a few hours to three working days, which is beneficial in emergency circumstances.

BlueVine requires a minimum credit score of 600 and a monthly income of $10,000 ($120,000 yearly). Newer firms with less than six months in existence may apply for BlueVine’s lines of credit. BlueVine has no monthly, maintenance, or account closing costs.

Best for: Business owners that need cash on hand for unforeseen needs.

  • Up to $250,000 in credit
  • 4.8 percent
  • Weekly repayment plan
  • Difficulty criterion
  • 1-3 business days to fund

Bad credit food truck loans

These internet lenders can help you get finance even with adverse credit.


Credibly provides up to $400,000 in working capital loans with six to 18-month durations. The working capital loan from Credibly may be used to buy products, pay personnel, and cover everyday operational costs.

Borrowers must have a credit score of 500 and be in business for six months to qualify. Credibly’s factor rate begins at 1.15. The origination charge of 2.5 percent is deducted from the loan amount upon financing.

Those with bad credit need a working capital loan quickly.

  • Up to $400,000 in loans
  • 1.15 factor rate
  • 6 to 18-month loan terms
  • Criteria for eligibility
  • Same-day funding

Fora Financial

Fora Financial works well for food truck entrepreneurs with bad credit and little experience. Applicants must have a credit score of 600600640620660675620620600620 and be in business for six months with Fora Financial.

Loan sizes vary from $5,000 to $500,000 with a 15-month period. These include vehicle maintenance, marketing, and personnel. Fora Financial’s starting factor rate is 1.10, with a 2.5 percent origination charge.

Food truck startups with poor monthly revenue.

  • $5,000 – $500,000
  • 1.10 factor rate
  • 15-month loan conditions
  • Simple qualifying criteria
  • Three days to fund

Finding the best food truck loans

  • The loan purpose and amount may help you find the best food truck loan choices.
  • Determine the sort of loan you need. You may pick between general and specialist finance. If you want to purchase a food truck that costs between $50,000 and $250,000, a bigger equipment loan may be better than a standard microloan. A company line of credit may be better suited for specific recurring needs like supplies and inventory.
  • Maintain company loan files. Lenders often ask for a copy of your business plan, personal and company balance sheets, and tax filings. Depending on the loan, you may also need to provide collateral. Equipment loans require a vendor quotation.
  • Compare rates and terms. Banks usually have higher criteria but frequently provide better terms and rates. Online lenders demand higher interest rates. Examine credentials to choose the best lender for your scenario.