It depends on your ability to pay without the business loan. I mean, if you've income and can pay it anyway, turning a profit isn't as big of a concern. But th

It depends on your ability to pay without the business loan. I mean, if you've income and can pay it anyway, turning a profit isn't as big of a concern. But that's not really how it is for a lot of places. If you have a history of a healthy profit after 3 years in business, you are more likely to be able to repay it. In the case of the restaurant, sometimes the improvements will make a difference but sometimes they won't. The bank is taking more risk at this point, and if things go sour, they lose.