Finance Medical Equipment: Explore the Benefits and Drawbacks

Medical equipment financing can be an excellent strategy for healthcare facilities to acquire the advanced technology necessary to deliver the best patient care without overburdening the budget. But like any financial strategy, it's important to understand both the advantages and disadvantages associated with medical equipment financing. This blog post will delve into the pros and cons of financing medical equipment and provide information about a variety of financing options you might want to consider.

The Pros of Medical Equipment Financing

• Easy Access to Advanced Equipment: Financing allows healthcare facilities to acquire the latest medical equipment without having to pay the full price upfront. This ensures that medical practices can continue to offer top-tier services to their patients by having access to advanced and efficient technologies.
• Improved Cash Flow: Instead of spending large amounts on a piece of equipment, financing allows for smaller, manageable payments over time, thereby improving cash flow and budgeting.
• Tax Advantages: In many jurisdictions, the interest paid on financing can be tax-deductible, reducing your tax liability.

The Cons of Medical Equipment Financing

• Total Cost: While financing offers an easier way to acquire equipment, it may result in higher overall costs due to interest payments over the length of the finance term.
• Risk of Obsolescence: With rapid advancements in technology, there's a risk that the equipment may become outdated before the end of the financing term, leaving the facility with obsolete equipment.
• Contractual Obligations: Financing agreements typically require a commitment to a set term. Breaking these agreements early can lead to penalties or fees.

Recommended Finance Options

Below are some recommended finance options to finance medical equipment needs:

1. 'APPROVE' on the MFI Medical Website:

APPROVE allows you to submit one application and receive multiple finance offers from top lenders competing for your business. This competition motivates lenders to work swiftly and present their best offers. They serve businesses in the United States and Canada. Submit your application at this link: APPROVE Application

2. Your Preferred Bank, Credit Union, or Finance Company:

MFI Medical can work with your preferred lender to help facilitate a seamless transaction. By working with a lender you trust and have a relationship with, you can ensure a smooth process and potentially receive more favorable terms.

3. PayPal Credit:

PayPal Credit offers no interest if paid in full within six months on purchases of $99 or more. With this option, you can quickly checkout using your PayPal Credit account from the MFI Medical checkout screen. For more information and to apply, please visit the PayPal Credit Website.

4. ShopPay Installments (Powered by Affirm):

ShopPay Installments allow you to split your purchase into regular payments. Purchases between $50 USD to $17,500 USD are eligible for Shop Pay Installments, with options to pay in 4 for purchases $50 to $999, with interest-free payments every two weeks and no impact on your credit score. For purchases between $150 to $17,500, you can pay monthly with 3, 6, or 12-month terms at rates from 0-36% APR. Learn more about ShopPay at this link: ShopPay Information

Final Thoughts

Financing medical equipment presents a viable opportunity for healthcare facilities to keep up with the latest technology without significant upfront costs. By carefully considering the pros and cons and exploring multiple financing options, healthcare organizations can find a plan that suits their unique needs and budget.