Even more than many other industries, medical offices need a wide range of equipment in order to properly do their jobs. Having the right state-of-the-art equipment not only ensures the best care and treatment for your patients, but also makes it easier for your practice to expand. The vast majority of doctors are able to obtain the proper tools they need through medical equipment financing.
The Basics of Equipment Financing
The acquisition of new high-quality equipment is imperative for medical offices. Besides the precise equipment you require to meet the needs of your medical niche, this includes computers, desks, chairs, and other items. If you are unable to outright purchase the medical equipment that you require, financing companies provide a range of equipment loans and leases with various interest rates and terms. You don’t need to put up any collateral other than the equipment itself. It is easiest to obtain financing for equipment that retains its value and is important for the daily functioning of your business.
The Difference Between Equipment Leases and Loans
Equipment loans are similar to other types of traditional bank loans. They involve the borrowing of a predetermined amount of cash from a financial institution for negotiated lengths of time, interest rates, and options for repayment. The primary factor that sets an equipment loan apart from other loans is the stipulation that the money borrowed must be spent for equipment.
On the other hand, when you lease equipment, you rent it from the lender. When you come to the end of your lease, you can give back the equipment and terminate the lease or continue borrowing the equipment by extending the terms of the lease. You also have the option of purchasing the equipment that you have been renting.
The Importance of Equipment Financing for Medical Practices
To run a medical practice properly involves considerable expense. When your patients trust you with their health, they expect you to use the best technology and medical instruments that money can buy. Equipment financing enables you to purchase the items you need and at the same time have sufficient cash flow to be able to run your business.
For more advice on medical equipment financing, contact Proactive Funding Solutions.