Drive Thru in Midwest


New member
Aug 25, 2004
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I am currently in the process of starting a drive thru coffee/espresso in the midwest. I have picked out an awesome location, visited another very successful drive thru business in another state (5 locations, open 11 years), and submitted an application for the possible lease at the location. I have also visited with the local city planning and zoning commission in which I believe that I will not have a huge hassel (not yet anyway) in getting everything approved. I still do have 2 questions however that I need some help on.
1. I do not have enough capitol to start the business completely without a loan. What is the best avenue to pursue, naturally I am sure a local bank is the best bet but am up for suggestions.
2. I am looking for a 10 X 12' shop with a log type of siding, any suggestions on who to visit with?
Sounds like you're in the right direction- I've been working on miy drive thru for about 3 months now and I think they are starting construction Monday!!!! The way we financed ours was a home equity line of credit - we had about $125K of equity and got our loan at 3.75% - with interest only :) for 6 months. Check it out as the rates are still low. Good Luck!

I was say a sizeable percentage of people finance their first biz through the home equity line approach. Most bankers get glassy eyed when you approach them. Two words they do not want to hear are "start-up" and "restauraunt". Another good Source is Don Johnson at if you are going that route.
Here are some questions banks ask themselves when considering startups and restaurants.

How much equity can the borrower put down?
How much experience does the borrower have in the industry?
Does the borrower have sufficient collateral to pledge?
Is the borrower willing to put up other forms of collateral like real estate or securities or livestock?
Does the borrower have the means to pay the loan if the business cannot?

Sometimes banks are more open to these types of loans if there is a SBA guarantee with it. The fees to the borrower are higher but it may be worth it.

I would not go to a large bank for this type of loan. In my experience a smaller lender might be more open to taking a risk on a startup or a restaurant.

Good luck to you.