Chiropractic Equipment Financing
Do You Need To Finance Chiropractic Equipment Through an Equipment Loan Or Lease?
Chiropractic equipment financing can be sourced from a number of different Canadian equipment financing and leasing companies that have focus on medical equipment within their portfolio.
Both new and used chiropractic equipment can be financing via equipment loan or lease, depending on the financing company and what they offer.
From an equipment loan point of view, most equipment loans are provided through banks and institutional lenders for “A” credit clients. Equipment leasing companies also provide comparable financing programs for “A” clients, but unlike the institutional lenders, there are leasing companies that will work with lower or weaker credit and financial profiles.
For chiropractic equipment financing amounts under $50,000, the financing approval process will likely be predominantly based on business and owner personal credit and guarantee as well as time in business. As the amount of financing goes up, more business financial information and financial performance will be required to secure financing.
In many cases, equipment financing companies will be able to quickly finance amounts under $25,000, but may not wish to proceed with too much additional exposure for this type of equipment. In cases where more financing is required for a number of different pieces of chiropractic equipment and where the business has strong credit and good cash flow, the applicant can look at splitting the financing requirement among different lenders. As long as the business has the ability to cash flow and debt service the collective amount of financing as well as any outstanding loans or leasing that already exist, this is a potential workable strategy as the leasing companies as each involved would be comfortable with their own level of risk.
Get Chiropractic Equipment Financing That Meets Your Business Needs
For financing used chiropractic equipment, its all about the make, year, and condition of the asset. The stronger the resale market is for given piece of equipment, the easier it will be to get medical equipment financing and at better rates and terms. At the same time, used equipment will typically require a higher down payment than new equipment, which can be financed at or near 100% of the purchase price in many cases.
In order to apply for chiropractic equipment financing you can either apply for a pre approval for equipment you are planning to source, or you can secure an invoice, quotation, or estimate from an equipment vendor and have the applicant processed for the actual asset and amount. Purchases of used equipment from private sellers is also possible, but there is a longer administration process to make sure that the title of the asset is free and clear for either a security registration in the case of an equipment loan or a purchase in the case of an equipment lease