The medical industry in this country has traditionally been extremely steady, primarily because there is a never-ending market for medical care required by people in need of medical services. When you require additional medical equipment in order to properly service your clientele, you’ll have several options for acquiring the necessary funding.
If your medical practice has been unable to obtain a traditional loan from a bank to purchase medical equipment, you may be able to acquire the necessary funding through an SBA loan. Since the SBA will guarantee some part of the loan so as to reduce risk to a lender, your chances of being approved by a bank will be much greater.
Medical Supply Company Bank Loans
These types of loans are more in the line of conventional business financing, and the loans themselves are provided by community banks, credit unions, and sometimes smaller national banks. They could come in the form of lines of credit or traditional term loans, but they are specifically intended for medical companies, often for the purchase of new medical equipment.
Merchant cash advances are comprised of sales of the future receivables of some medical practice, in exchange for current financing. The real advantage of a cash advance is that it puts money in your hands immediately, and only has to be paid out incrementally as a percentage of future receivables each month.
Medical companies that are unable to secure approval for a traditional loan will also have the opportunity to apply with alternative lenders for needed funding. Rates may be slightly higher than they would be with a traditional lender, but that’s because there is a significantly greater risk to the alternative lender that the borrower may default on the loan.
Need to purchase medical equipment?
Contact us at Rotay Capital Finance if you’re interested in purchasing new medical equipment which will help your practice to grow. We have some financial options which you may qualify for, so you’ll be able to acquire whatever equipment you may need.