How we picked
Filtered to lenders that fund the bakery and pastry shop vertical. POS-embedded options (Toast, Square) ranked first because most independent bakeries run one of them at the counter. Equipment financing prioritized for the heavy ovens, mixers, proofers, and refrigeration that dominate bakery capex. SBA reserved for build-out, wholesale kitchen expansion, or acquisition.
Top picks at a glance
| Lender | Best for | Amount | Speed | Min credit | Action |
|---|---|---|---|---|---|
| Toast Capital | Best for Toast-using bakeries with cafe/seating | $5,000 – $300,000 | Funds in 1 – 3 business days after approval | No published floor — Toast underwrites against POS history, not FICO | Apply → |
| Square Capital | Best for Square-using bakeries (counter-service) | $300 – $250,000 | Funds as soon as next business day | No FICO pull — Square underwrites entirely against your Square sales history | Apply → |
| Beacon Funding | Best for bakery equipment (ovens, mixers, proofers) | $5,000 – $1,000,000 | Funding in 1 – 5 business days | 550+ | Apply → |
| Credibly | Best fast non-POS-embedded working capital | $5K – $600K | As fast as 4 hours | 550+ | Apply → |
| Greenbox Capital | Best for credit-recovering bakery operators (500+) | $5K – $250K (MCA); other products vary | 24 – 48 hours | Flexible — accepts down to 500 on some programs | Apply → |
| Live Oak Bank | Best SBA 7(a) for bakery build-out / wholesale kitchen / acquisition | $25,000 – $25,000,000+ | 30 – 90 days underwriting (SBA standard) | 680+ typical | Apply → |
Advertiser disclosure: Fundnode may earn referral fees from funders listed on this page when you apply through us. This does not affect editorial rankings — see our methodology.
Detailed reviews — our 6 picks
#1 · Best for Toast-using bakeries with cafe/seating
Toast Capital
Max amount
$300,000
Cost
Factor 1.13 – 1.36 (single fee, no compounding)
Speed
Funds in 1 – 3 business days after approval
Min credit
No published floor — Toast underwrites against POS history, not FICO
Why we picked it
Toast is common in bakeries with cafe seating, breakfast service, or full coffee programs. Toast Capital offers pre-qualified loans inside the Toast dashboard — no external application. Single fee, no FICO check, repayment as a percentage of daily Toast card sales. The cleanest first option if you're on Toast.
The strength
Embedded in the Toast POS dashboard — eligible restaurants see a pre-qualified offer with no application. Repayment is auto-deducted as a fixed percentage of daily Toast deposits, so cash flow stays proportional to revenue. Single fee disclosed up front; no daily compounding factor games.
The watch-out
Only available to Toast POS customers — you have to be running their hardware/processing already. Loan amounts cap at roughly 70% of trailing 12-month Toast volume. If you switch processors, the agreement requires you to pay off the remaining balance immediately.
Qualifications
6 months
Toast POS volume drives offers — typically $10,000+/mo processed
No published floor — Toast underwrites against POS history, not FICO
#2 · Best for Square-using bakeries (counter-service)
Square Capital
Max amount
$250,000
Cost
Single fixed fee (typically 10 – 16% of loan amount)
Speed
Funds as soon as next business day
Min credit
No FICO pull — Square underwrites entirely against your Square sales history
Why we picked it
Square is the dominant POS in counter-service bakeries, pastry shops, and patisseries. Pre-qualified offers in the Square dashboard. No FICO check. Single fee 5-14% priced off Square processing volume. Fast deposit.
The strength
Most merchant-friendly headline structure in the industry: one fixed fee, no APR equivalents, no daily/weekly debits — repayment is a flat percentage of daily Square card sales until paid off. Eligibility check appears in your Square dashboard with no application. Approval typically arrives in minutes.
The watch-out
Square chooses who they offer to — you can't apply if Square doesn't surface an offer. Loan amount usually caps at ~1.4× monthly Square sales. The single fixed fee on a 9-month payback typically works out to 30–60% APR-equivalent, similar to mid-tier MCA. Only available to active Square sellers — if you stop processing, repayment converts to fixed daily debits.
Qualifications
12 months
$10,000+ in Square card sales typical floor for meaningful offers
No FICO pull — Square underwrites entirely against your Square sales history
#3 · Best for bakery equipment (ovens, mixers, proofers)
Beacon Funding
Max amount
$1,000,000
Cost
APR 8 – 25%
Speed
Funding in 1 – 5 business days
Min credit
550+
Why we picked it
Beacon is one of the few specialty equipment lenders that funds bakery equipment — deck ovens, rotating rack ovens, planetary mixers, dough sheeters, proofers, refrigeration. 550+ credit acceptable. Section 179 friendly. Cheaper than MCA for any equipment buy over $15K.
The strength
Equipment financing with broader industry acceptance than larger competitors. Will fund specialty equipment (food trucks, photography gear, fitness equipment, salon equipment). Lower credit threshold (550+).
The watch-out
Higher rates than bank equipment financing for prime credit. Smaller deal cap. Industry specialization can mean less depth in any single vertical.
Qualifications
12 months
$10,000+
550+
#4 · Best fast non-POS-embedded working capital
Credibly
Max amount
$600K
Cost
Factor 1.11+ (MCA)
Speed
As fast as 4 hours
Min credit
550+
Why we picked it
When your POS doesn't have an embedded lender (or you've maxed out Toast/Square offers), Credibly is the cleanest fallback. 550+ credit, 6+ months TIB, $15K+/mo revenue. Multi-product (MCA + LOC + term) covers wholesale ingredient pre-buys, oven repair emergencies, or holiday-season inventory ramps. Funds in as fast as 4 hours.
The strength
March 2026 API V2 + Cloudsquare integration — most modern submission UX in MCA. $3B+ deployed, 60K+ SMBs. Publishes factor rates honestly (starting 1.11 for A-paper).
The watch-out
The 1.11 headline is the A-paper floor; average factor is closer to 1.32. ISO commission terms aren't public.
Qualifications
6 months
$15,000
550+
#5 · Best for credit-recovering bakery operators (500+)
Greenbox Capital
Max amount
$250K (MCA); other products vary
Cost
Factor varies
Speed
24 – 48 hours
Min credit
Flexible — accepts down to 500 on some programs
Why we picked it
Lowest credit floor for food service and retail bakeries. Industry-flexible — will fund single-location bakeries at lower revenue thresholds than most generalist MCAs. Published ISO commission caps bound broker markup.
The strength
Five products under one roof: MCA, invoice factoring, equipment financing, collateral loans, LOC. White-label contracts let brokers run the deal under their own brand. Priority 1 status for new ISOs.
The watch-out
$250K MCA cap is below competitors. Marketing tilts broker-friendly more than merchant-transparent.
Qualifications
6 months
$15,000
Flexible — accepts down to 500 on some programs
#6 · Best SBA 7(a) for bakery build-out / wholesale kitchen / acquisition
Live Oak Bank
Max amount
$25,000,000+
Cost
SBA 7(a) APR prime + 2.75% to 4.75%
Speed
30 – 90 days underwriting (SBA standard)
Min credit
680+ typical
Why we picked it
SBA 7(a) for full bakery build-out, adding a wholesale production kitchen, buying an existing bakery, or opening a 2nd location. $150K-$2M typical. Ovens, mixers, build-out, and working capital can all be wrapped into one SBA package. Prime + 2.75-4.75% APR dramatically beats MCA on any deal over $150K. 60-90 day timeline.
The strength
Largest SBA 7(a) lender in the US by dollar volume for 7+ consecutive years. Industry-specialty teams (veterinary, dental, funeral homes, self-storage, agriculture, hotels). Deep understanding of niche-vertical underwriting. Dramatically cheaper than MCA for qualifying merchants.
The watch-out
Long underwriting timeline (45-90 days typical). Requires strong credit (680+), 2+ years operating, clean financials. Industries outside their specialty get less attention.
Qualifications
24 months
$20,000+
680+ typical
Frequently asked questions
- How do I finance a $30K deck oven or rotating rack oven for my bakery?
- Beacon Funding for equipment-secured financing (APR 8-22%, oven serves as collateral). Materially cheaper than MCA — a $30K oven on equipment financing at 14% APR over 5 years costs ~$11K total interest vs $10K+ in just 12 months on an MCA. Section 179 deduction usually applies. If part of a full build-out, wrap into an SBA 7(a) via Live Oak instead.
- Should I take Square Capital or a standalone MCA for my bakery?
- Square Capital almost always wins on convenience for retail bakeries (no application, deposited inside Square) and frequently wins on price for established shops. Standalone MCA wins when you've maxed out Square's pre-qualified offer or need larger capital than Square will extend. Compare both — Square publishes the fee directly in your dashboard.
- Can I get a loan to open a wholesale bakery production kitchen?
- SBA 7(a) via Live Oak is the cleanest path — wholesale kitchen build-out is exactly the kind of $250K-$1M capex SBA was designed for. Wrap ovens, mixers, refrigeration, build-out, and 6 months of working capital into one package. Need a real business plan, 10-15% down, and personal credit 680+. 60-90 day close.
- How much can I borrow as a 2-year-old bakery doing $30K/mo?
- Toast Capital: $10K-$75K based on Toast sales history (if on Toast). Square Capital: similar based on Square volume. Credibly: $20K-$90K MCA. Live Oak SBA: $100K-$400K if you can wait 60-90 days. Beacon equipment financing: full cost of any oven or mixer purchase, separate from working capital. Match yourself at /match to compare offers side by side.
Related reading
Methodology
How we chose
Ranking criteria
- Use-case fit — funder must qualify the merchant profile this page targets (credit, time-in-business, revenue, industry).
- Pricing transparency — published factor-rate or APR-equivalent disclosure outweighs marketing-only quotes.
- Speed-to-fund — verified time from signed contract to ACH deposit, not 'as fast as' marketing claims.
- Contract terms — daily/weekly debit structure, prepayment treatment, COJ / personal guarantee posture.
- Customer-experience signals — BBB profile, Trustpilot, ISO chatter, and direct merchant feedback collected via Fundnode applications.
Sources consulted
- Funder-published rate cards, contract templates, and disclosure pages (refreshed quarterly).
- Public regulatory filings — California DFPI commercial-financing disclosures, New York commercial-financing disclosure law filings.
- Direct merchant feedback collected through Fundnode's /qualify funnel (n > 200 since 2026-01).
- ISO desk operator interviews — anonymized commentary on approval patterns and stipulations.
Update cadence
Reviewed quarterly. Last updated 2026-06-24.
Conflict of interest
Fundnode may earn referral fees from funders listed on this page when merchants apply through us. Rankings are editorial and independent of fee economics — funders cannot pay for placement.