Are There Any Potential Benefits to Leasing Medical Equipment?

Changes to healthcare coupled with the cost of starting up a new healthcare business and keeping up with constantly changing technology can be both intimidating and extremely expensive.  For most startups, medical equipment leasing is an option that presents questionably the best option both for the short term and long term financial benefit.

Here are some 4 key benefits to leasing medical equipment:

Cash Flow - By making monthly payments, you can pay for the equipment with the improved cash flow generated from their new technology. Leasing affords a variety of options to match payment terms to business cash flow, whether cash flow is project-based, seasonal, related to expansion, etc.

Obsolescence Protection - Leasing allows you to match payment plans to the equipments expected useful life. Leasing provides flexibility at the end of the term to allow you to either take ownership of the equipment or walk away and acquire new technology. The result is a managed solution that allows business to maintain the most current technology.

Tax Treatment and Benefits - You may be able to write off 100% of your lease payments from your corporate income because the IRS generally does not consider an operating lease to be a purchase. Please consult your accountant for the exact application for your business.

100% Financing - Leasing typically does not require a large down payment. You can finance up to 100% of the equipment cost. In many cases, service, supplies, installation, warranty and other soft costs can be included in the lease. This gives you more money to invest in other revenue-generating activities and makes it easier to afford multiple products or just save it for times when you need cash most.

Leasing medical equipment may or may not be the best fit for your company. However, before making any major purchasing decisions it is always best to do some research!