Bed and Breakfast Financing Nationwide for Owner-Occupied Inns, SBA and Conventional
🛏️ Financing Built for B and B and Inn OwnersI’m Kevin Kermeen, a nationwide commercial loan broker, not a bank. Bed and breakfast financing works differently from a big hotel, and I’ll be straight about that. A B and B or country inn is usually small, owner-occupied, and part home and part business, and that profile is a textbook fit for SBA financing… SBA 504 and 7(a) offer a lower down payment and long fixed terms, which is exactly what most innkeepers want. So here SBA genuinely leads, and I’ll tell you when it’s the best tool rather than pretend otherwise. For larger inns, non-owner-occupied properties or a value-add play, I also have conventional and bridge financing. First-time innkeeper buying your dream property? You do not need a hospitality résumé. I match you to lenders who fund inns.
Bed and Breakfast Financing for Every Step of Owning an Inn
Whether you’re buying your first inn, refinancing the one you run, or renovating a historic property, there’s a path built for it… and for an owner-occupied B and B, SBA is often the best tool. Here’s what bed and breakfast financing commonly covers.
Buy an Inn (SBA-Friendly)
SBA 504 or 7(a) for an owner-occupied B and B or inn, with a lower down payment and long fixed terms, the most common path.
First-Time Innkeeper
Buying your first inn as a career change? Financing built for owner-operators, you do not need a hospitality résumé.
Historic Property Renovation
Many inns are historic homes. Finance the renovation, preservation and updates that keep the character and the bookings.
Refinance and Cash-Out
Lower your rate or pull equity out of the inn you already own with an SBA or conventional refinance.
Larger Inns and Value-Add
For a larger inn, a non-owner-occupied property or a value-add play, conventional and bridge financing too.*
Mixed-Use Home and Business
An inn is part home, part business. I match you to lenders who finance the owner-occupied, mixed-use property correctly.
A Career-Changer Bought Her First Country Inn With an SBA Loan and a Low Down Payment
A couple leaving corporate careers found a historic country inn to buy and run, but they had no hospitality background and the bank balked at lending on a part-home, part-business property to first-time operators. They had solid credit and savings, just not an industry résumé.
They called me. I matched them to an SBA loan built for owner-occupied lodging, with a lower down payment and long fixed terms, underwritten on the inn’s documented revenue, their credit and their business plan rather than a hospitality résumé. They bought the inn, moved in, and stepped straight into running it.
That’s what the right inn match looks like. Don’t Beg the Bank! Get funded instead.
Bed and Breakfast Financing, the Right Tool for Each Need
Bed and breakfast financing isn’t one product, and for an owner-occupied inn the SBA route is usually the best tool, not the backup. You also have conventional and bridge options. The right structure depends on what you’re doing. I match you to the one that fits, tap any to explore it.
Commercial Real Estate
Conventional, non-SBA financing to buy or refinance a hotel up to $100 million* on qualified deals.
See SBA 7(a)SBA 7(a)
Flexible SBA financing for the inn purchase plus working capital, often with limited money down.
See SBA 7(a)SBA 504 and Real Estate
Own the hotel you operate with long-term, fixed-rate commercial real estate financing.
See SBA 504Conventional (Larger Inns)
For a larger or non-owner-occupied inn, conventional commercial real estate financing on the property.
See commercial real estateWorking Capital
If you want it, the lower-down-payment SBA 504 route for a smaller or owner-occupied hotel up to $5M.
See working capitalLine of Credit
Revolving capital for seasonal swings and operations, draw only what you need.
See lines of creditQualifying for Bed and Breakfast Financing
Bed and breakfast financing is friendlier than most buyers expect, because the SBA was built for exactly this kind of owner-occupied small business. SBA lenders underwrite the inn’s documented revenue, your credit and your business plan, not a hospitality résumé, so a solid inn and a committed owner-operator is a strong borrower even on a first purchase. I qualify deals honestly.
✅ What helps you qualify
- ✔An owner-occupied B and B or inn to buy, refinance or renovate, and a plan to run it.
- ✔A solid property and decent credit, the foundation a hotel lender wants.
- ✔A hotel with solid, documented revenue and occupancy.
- ✔A down payment or contribution, which a parent or family member can help with.
💡 Straight talk
- →SBA 504 and 7(a) fit owner-occupied inns: lower down payment, long fixed terms.
- →First-time innkeepers qualify; lenders weigh the inn, your credit and your plan, not a résumé.
- →Credit is flexible, there’s no single hard FICO floor; stronger credit means better terms.
- →A past bank rejection does not disqualify you; the deal and your credit matter more.
Get Your Inn Financing Options
A quick, no-pressure pre-qualification. I personally review every submission, no call center, no junior rep.
Got it. I’m on it.
Your inn financing request landed in my inbox. I personally review every submission and most responses go out within one business hour.
Watch for a call from me, Kevin Kermeen, I call directly, I don’t text.
Recent Bed and Breakfast Financing From My Desk
A snapshot of the bed and breakfast financing I match to lenders nationwide, inn by inn. Every hotel and deal is different, yours starts with a conversation.
Bed and Breakfast Financing · SBA Purchase
A first-time innkeeper bought an owner-occupied country inn with an SBA loan and a low down payment.
Historic Renovation
An owner financed the renovation of a historic inn, preserving its character while refreshing the rooms.
Larger Inn Acquisition
An operator bought a larger 20-room inn on conventional financing where SBA limits did not fit.
How I Match Bed and Breakfast Financing to the Right Lender
Inn lending is its own niche, and the right lenders are comfortable with small, owner-occupied, mixed-use lodging that scares off a generic bank. I work with many, so I match your bed and breakfast financing to the right one, usually an SBA 504 or 7(a) loan for an owner-occupied inn, or conventional and bridge financing for a larger or value-add property, and I review the options with you before you commit.
Here’s the reality for a bed and breakfast or inn owner, and I’ll be straight rather than steer you wrong. A B and B is usually small, owner-occupied and part home, part business, which is precisely the profile the SBA was designed for. SBA 504 and 7(a) loans offer a lower down payment and long fixed terms on owner-occupied commercial property, so for most innkeepers the SBA route is genuinely the best tool, not a fallback, and I will tell you that plainly even though it is a government program with more paperwork than a conventional loan. First-time innkeepers fit too, because SBA lenders underwrite the inn’s documented revenue, your credit and your business plan rather than demanding a hospitality résumé. Many inns are also historic homes, so renovation and preservation that keep the character and the bookings can be built into the financing. For a larger inn, a non-owner-occupied property, or a value-add purchase you intend to reposition, conventional and bridge financing are on the table as well. According to the U.S. Small Business Administration, its 504 program is specifically designed for owner-occupied commercial real estate, which is why it fits inns so well.
The right structure depends on what you’re doing. Buying a hotel fast usually runs through a conventional SBA 7(a) loan, and broader options live across the SBA loan programs. For an owner-occupied inn, the best fit is usually an SBA loan, either 504 or 7(a), while a larger or non-owner-occupied property runs on a conventional commercial real estate loan, and a historic renovation through renovation financing. If you want to own the building, an SBA 504 loan or commercial real estate loan gives long-term, fixed-rate terms. A brand-mandated renovation points to hotel renovation and PIP financing, and the ramp-up months are covered by working capital loans or a business line of credit.
So tell me what you’re doing with the inn, buying your first one, refinancing the inn you run, or renovating a historic property, and whether you’ll live on-site, and I’ll tell you honestly which bed and breakfast financing fits, SBA or conventional, match you to the right lender, and stay with you through closing. Running a larger destination property instead? See resort financing. For other property types or hospitality financing, see my hotel and hospitality financing hub, or compare every option on my loan programs page. Don’t Beg the Bank! Get funded instead.
Sources: U.S. Small Business Administration, 7(a) loan program and 504 loan program.
Straight Answers Before You Apply
What is bed and breakfast financing?
Is SBA really the best loan for a bed and breakfast?
Can I buy a B and B as my first hospitality business?
Can I finance the renovation of a historic inn?
How much bed and breakfast financing can I get?
What does it cost to work with you?
A Broker Who Tells You When SBA Is the Right Call
I’m Kevin Kermeen, the nationwide commercial loan broker behind 75BizLoans.com, not a bank and not a lead-selling portal. Some brokers push you toward whatever pays them best. For an owner-occupied inn, the honest answer is usually SBA, lower down payment and long fixed terms, and I will tell you that plainly, while still bringing conventional and bridge options when a larger or value-add deal calls for them. Knowing which tool genuinely fits your inn is the whole point of working with me. I personally review every application, I call you directly, and I never text. For program details, see the SBA’s 7(a) loan program.
Don’t Beg the Bank!
Get Funded Instead.
Banks hand out umbrellas when the sun is shining, not when you’re weathering the storm … and they’ll turn away a first-time innkeeper with great credit and a great inn. I match you to bed and breakfast financing built for owner-operators … SBA 504 and 7(a) with a lower down payment for an owner-occupied inn, conventional and bridge financing for larger or value-add properties, and renovation financing for a historic home. First-time innkeeper welcome. Get a same-day callback from a broker who reviews every deal himself.
Bed and breakfast and inn financing is most often arranged through SBA 504 and 7(a) loans for owner-occupied properties, with conventional commercial real estate available for larger or non-owner-occupied inns up to $100 million on qualified transactions. *90% leverage applies only to qualified commercial real estate, development and construction transactions generally between $5 million and $100 million (loan-to-value on stabilized properties; a blended loan-to-value and loan-to-cost on ground-up construction); large-deal terms generally run 12 to 60 months with closings typically in 15 to 30 days, and stabilized permanent financing runs 5 to 30 years. Owner-occupied bridge financing generally runs $150,000 to $100 million, 60 to 75% loan-to-value, interest-only, 6 to 60 month terms, with a permanent or SBA takeout exit. All figures are illustrative and not a commitment to lend; actual rates, leverage, terms and timing vary by lender, creditworthiness, property, revenue, collateral and structure. SBA 504 and 7(a) loans are capped at $5 million and are separate government-backed programs with their own eligibility, terms and timelines set by the SBA. No upfront fees refers to fees payable to 75BizLoans.com; I am paid by the lender at closing. Some partner lenders may require a commitment deposit when you accept their term sheet.