Having access to the latest and greatest advancements in the medical field greatly increases the quality of patient care, but it can be expensive. Leasing medical equipment helps small hospitals and medical offices stay current and efficient. Here are a few reasons why medical practices are leasing medical equipment and why we can expect this practice to continue to grow.
Conserve Capital
Medical equipment is one of the largest investments a medical practice makes, if not the largest, but it is incredibly expensive. By leasing their equipment practices are able to mitigate the need to borrow money by taking out a loan that will require a large down payment. They are agile to budget and bundle their needs into one, much smaller monthly payment.
Maintenance & Upgrades
Leasing medical equipment allows practices the opportunity to upgrade to new equipment without necessarily waiting or paying large amounts of money for it. Leasing companies are also responsible for maintaining and repairing the equipment as needed. This becomes a bonus when new parts or add ons are available and practices receive them for no additional charge.
Revenue
If the medical practice had purchased the equipment, there would be an extended period of time where any revenue they would have made by using the equipment would be completely absorbed by the cost of financing it. With leasing medical equipment, practices pay as it is used so whenever patients are billed for a procedure, the practice automatically makes money because they don’t have to recover any costs associated with the purchase.
Flexible
The medical practice and leasing company make arrangements for a particular term and when the term is over that’s it. Neither party is obligated to renew. Should the medical practice want to renew, they have the option to extend, upgrade the equipment or, purchase the equipment based on fair market value.
The flexibility that comes with leasing medical equipment allows medical practices to maintain operational efficiency. For more information on leasing medical equipment, contact Capital Crown Investments today.