4-min read Apr 12, 2022

How Pizza Shops Can Benefit From Payroll Financing

How Pizza Shops Can Benefit From Payroll Financing

Both franchised pizza shops and small, family-owned pizza stores can have their fair share of cash flow issues. While pizza is a notoriously popular food, having a pizza shop means competing with every other pizza place in your area. If you operate in a city, you may have to compete with dozens or perhaps even hundreds of similar businesses in your area.

The Ebb and Flow of Pizza Shop Income

Steep competition is not the only problem facing pizza shop businesses. While pizza is a popular food year-round, the truth is that pizza business income fluctuates during certain parts of the year. On average, pizza shops make roughly half of their total income on the weekends. Nonetheless, they need to stay open during some or all of the week to be convenient to their regular customers.

Additionally, people tend to buy the most pizza around certain holidays, like Halloween and New Year’s Eve. Sports also play a factor in pizza sales, as many Americans buy pizzas for tailgating, cheering on their favorite team, or throwing a Super Bowl party. Thus, pizza shops are more likely to see huge spikes in demand on certain days of the week or year, while experiencing significantly decreased income the rest of the time.

Needless to say, this can lead to cash flow issues that can affect your business’s ability to function efficiently. When payday comes around, you may not have the cash on hand to pay your staff wages and ensure that your pizza shop can continue serving customers. For these and many other reasons, pizza shops can benefit from a small business loan for payroll, also known as “payroll financing.”

The Benefits Of Payroll Financing For Pizza Shops

Payroll funding and financing can benefit a wide range of businesses, but they are particularly beneficial for pizza shops and similar eateries. Since many pizza shops have both short and long-term fluctuations in cash flow, they can use an influx of funds to make sure that every employee, whether full-time or part-time, gets their paycheck on time. Here are just a few of the benefits of payroll funding over other financing solutions:

  • Accessible – Traditional business loans often require a lot of extra paperwork, two years of solid business revenue, and excellent credit history. Alternatively, payroll financing is far more accessible, as a payroll funding loan company does not have the same stringent requirements as a traditional lending institution. So, whether your pizza shop has been open for 6 months or 6 years, there’s a good chance that you can qualify for a small business loan for payroll.
  • Affordable – If you choose something like payroll factoring, you will likely have to pay interest and fees on a very large loan. This could end up putting you in an endless cycle of debt. With payroll financing, you only borrow what you need to cover basic payroll expenses and get some of the lowest interest rates on the market.
  • Collaborative – You probably already have some kind of payroll system in place for your pizza shop. Fortunately, payroll funding works in conjunction with your existing payroll provider, ensuring that the funds are always in your account in time for payday.
  • Flexible – Many other types of business financing force you to pay a fixed rate, locking you into interest payments, regardless of how quickly you pay off the loan. With a payroll financing loan, you can pay off the loan early and only pay for the amount of time that you actually used the lent funds. This is especially useful for pizza shops that may only need the funds for a short while and can quickly pay back the loan when your business picks up again.

Cash flow issues may affect many pizza shops, but it doesn’t have to be the case for your business. If your organization requires a small business loan for payroll to operate efficiently, call Payro Finance today to see how we can help.

Morris Reichman


Morris Reichman is the founder and CEO of Payro Finance. Former Vice President at Infinity Capital Funding an alternative finance company, Morris possesses a versatile background in the finance industry. Having spent 7+ years working across global macro operations and start up corporate finance Morris's expertise is in business accounting, risk management and investment analysis. Morris founded Payro Finance to support business owners and ensure their business continuity.

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