8 Reasons to Lease Medical Equipment
Equipment is a necessary part of many businesses. However, it can sometimes be difficult for businesses to purchase the equipment they need due to financial struggles. This can be especially true for healthcare organizations that face budget constraints and uncertainty. Healthcare equipment can be quite expensive, but it is necessary for these organizations to operate. For such organizations, there is the option to lease medical equipment. Leasing comes with numerous advantages that should be considered.
One reason to lease medical equipment is the 100% financing you will get. Generally, leasing does not need a down payment. With the money you save from not having to make a down payment, you can invest in another area of your business.
A second reason to lease is that a lease is seen as a tax-deductible expense. Because it is not considered a purchase, you can deduct the payments from your income.
A third benefit of leasing is flexibility. Because a lease is not a purchase, you may be able to upgrade your equipment at any time. This can come with several long-term advantages, including savings. You will not have to constantly buy new equipment when yours becomes outdated.
Another reason you may want to lease medical equipment is better asset management. Leasing allows you to use equipment for a certain amount of time. During that time, the leasing company will manage the risk of the technology ownership. After your lease is up, you can opt to return the equipment and the leasing company will be responsible for disposition.
A fifth reason to consider leasing is the improved cash forecasting that comes with it. Healthcare organizations that lease are able to accurately predict how their cash will be used, as they know how much their payments are and how many there will be.
A sixth reason leasing is beneficial is that there are flexible options for you when the term is up. You can either return the equipment, extend the lease or purchase the equipment. Leasing the items for a certain amount of time before you buy is a great way to see if they will properly meet your needs before putting out the money.
Seventh, leases are easier to get than other types of financing. Leases do not have requirements such as large down payments, client list reviews and compensating balances.
Lastly, you may want to lease medical equipment because it is a quick process. Typically, a leasing company will approve your application in as little as a few hours. So, before purchasing, consider these advantages to see if leasing is right for your organization.