Equipment Leasing for Dental Office Upgrades

Last Updated Jul 10, 2020 | Published on Oct 26, 2018 | Equipment Loans

To succeed in any industry you must keep up with the latest technologies. This is most especially true when it comes to the medical and healthcare field.

As new research and science bring about new advances in health care, the burden to keep pace with advancements falls on individual medical offices. From a healthcare practitioner’s perspective, this means acquiring the latest equipment to provide your patients with the best of care.

Related: 5 Hurdles Dental Practices Commonly Face

If you run a dental office you have to stay on top of the latest product trends to keep your office up-to-date. Your patients want the best treatments, so you must make sure you can provide them with the treatments they desire. But constantly buying new equipment gets expensive fast.

Fortunately, equipment leasing is one way to stay ahead of the game. When costs are high it gets hard to keep up with equipment upgrades. Don’t let your patients suffer because you can’t afford the equipment to treat them properly. Consider equipment leasing for your dental office.

What is Equipment Leasing?

From X-Ray machines to sterilization tools, costs for equipment around the office add up. To keep your dental office stocked with everything it needs, you need to understand how to build an effective financing plan. Equipment leasing is one option to make sure your dental office manages expenses without having your cash reserves go into the red.

Equipment leasing is basically a rental agreement for the equipment you need. Your dental office pays a monthly fee for a predetermined amount of time, and in turn, you have the dental equipment you need. At the end of the leasing term, you can buy the equipment outright, extend the lease, or end the lease and return the equipment.

Equipment leasing is a great way to ensure you have state-of-the-art equipment minus the burden of making huge purchases right away. Instead of one big purchase, you make a monthly payment, which is tax-deductible as a business expense. This is another huge advantage of equipment leasing.

More than that, you will have the chance to upgrade your dental equipment to the latest ones. Since you’re only leasing, you’ll only have to wait a few more years to change your equipment into a much efficient one.

Qualifications for Equipment Leasing

Restrictions on equipment leasing, compared to traditional financing options are much more flexible. For traditional loans and alternative options, you must show outstanding credit. The lender carries out an extensive credit check on you and your business, and if your credit history isn’t A-1 you probably won’t be approved.

With equipment leasing, the equipment itself acts as collateral that secures the loan. There is often no money down or extra collateral needed. This makes equipment financing a great option for many dental offices that have little or no credit. This is also a good option for those who don’t have a good enough credit score that doesn’t meet the criteria necessary to gain approval at other, more traditional financial sources.

The biggest determination for qualification is the equipment itself. Lending companies will only be financing that equipment that they think will be beneficial for your company. Equipment financing companies are more flexible with rates on equipment that maintains their value and is critical to the day-to-day operation of a business.

How Equipment Leasing Can Help your Dental Office

Within a typical dental practice, equipment costs account for the largest chunk of expenses. To treat and offer patients a full slate of needed services, dental offices must possess the right equipment. Particularly if you want to have the latest technology which can more than justify your fees. This is why equipment leasing can be the perfect solution for you.

In the modern dental world, more and more offices offer a full spectrum of services. The dental field is becoming more and more competitive, too. This only makes it more vital for private clinics to keep up and make sure not to be left behind. For dentists, this means offering treatments across multiple specializations, each requiring its specific piece of specialty equipment. Having the tools to accommodate new dental practitioners and the services they provide, means purchasing the right equipment. Equipment leasing is a cost-effective, convenient way to always have the tools you need for your dental office.

Why Equipment Leasing is More Reasonable than Buying Outright

While others may consider taking out an equipment loan to buy equipment, for dental clinics, equipment is a much reasonable option. Since technology is constantly evolving, dental practitioners have to keep up to make sure that they give only the best dental services to their clients. By leasing, they have the chance to easily upgrade to much powerful equipment without affecting their cash reserves. This leads to better cash flow and more profit for your dental business.

Related: 6 Tips to Streamline Your Equipment Financing Application

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