Where Can a Woman Get the Money to Open a Restaurant?

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Many women dream of opening up their own restaurant, but do not have the cash on hand to start the business on their own. Starting a restaurant takes a large amount of capital. Women need funding to lease or buy a space for their restaurant, purchase furniture, supplies and food and hire employees. Fortunately, women can find loans and investors through the Small Business Administration, angel investors or even friends and family.

Small Business Loans

The Small Business Administration offers loans to women who want to open a small business, such as a restaurant. For example, the Microloan Program gives women a short-term loan they can use as start-up capital, to purchase furniture such as bar stools, tables and chairs, or to buy supplies such as dishes and food stock. The Small Business Administration reports that women can receive up to $50,000, but most microloans average around $13,000.

Peer-to-Peer Loans

Women can use several sources of funding to open their restaurant. Many women combine the cash they have in savings accounts or investments with small loans from their friends or family, known as peer-to-peer loans. With peer-to-peer loans, you can borrow the funds you need outside of using a corporate bank or lender. You will need to create loan documents detailing the loan amount, your plan to return the money and any interest the peer-to-peer lender will earn.

Angel Investors

An angel investor acts as a silent partner in a new business, such as a restaurant. The angel investor makes a cash contribution that allows you to fund your new restaurant venture. In return, the investor will have equity in the restaurant and will earn returns on profits. Most angel investors do not involve themselves in the day-to-day business operations, leaving you free to manage your restaurant how you would like.


Create a business plan detailing how you plan to open your restaurant. Fully describe the type of restaurant you will open, how you will manage employees and order stock, and how you plan to turn a profit in your restaurant. Show your business plan to potential investors and lenders. Having a plan will help lenders and investors see you as a lower-risk applicant.