Business funding can be a tricky proposition for many service providers in the healthcare sector, due to the nature of cash flow, invoicing and NHS contracts. GPs, dentists and many NHS contractors operate as independently funded businesses, and must finance their operation in the same way as enterprises in other sectors, while being largely dependent on income from NHS contracts.
At the same time, private healthcare providers – including care homes, physiotherapists, private hospitals, independent doctors and community pharmacies – face enormous costs for asset acquisition, drug purchases and commercial property.
Faced with these challenges, a lot of healthcare providers find it difficult sourcing business funding through the traditional avenues; namely cash bank loans, overdrafts and commercial mortgages.
What Is The Solution?
Fortunately, the banks and traditional lenders aren’t the only options when it comes to healthcare funding. There are established and reliable niche lenders who specialise in funding healthcare businesses, whether through commercial loans or other means.
- Non-conventional funding options include established methods such as invoice financing, which can be used by community pharmacies to cover their inventory costs and overheads while waiting for the NHS to clear its subscription invoices.
- High value medical assets, the costs of which can run into the tens or even hundreds of thousands of pounds in some cases, can be acquired by independent practitioners and small businesses through asset finance – a system of leasing or hire purchase that avoids the need to take out enormous, secured cash loans.
- Flexible commercial mortgages, through niche healthcare funding firms, can help GP partnerships, private clinics and care homes acquire, refurbish or redevelop the property required to provide their valuable services.
How We Help
Without access to these specialist funding instruments, healthcare professionals are frequently forced to find personal collateral for inflexible loans, or struggle to provide their service without access to the appropriate premises or latest equipment.
At Business Finance Solutions (UK) Ltd, we work with a diverse range of healthcare professionals to help them acquire the funding they need from the most appropriate source. We have an established network of healthcare lenders we work with, many of whom have lent millions to the sector over many years.
Sourcing and applying for the right funding can be confusing and time-consuming if you don’t know where to turn, so we’ve written a plain English guide to healthcare funding you can download for free by clicking here.
The guide explains the main types of funding available, how each is used and what you need to apply. We also offer a free initial consultation to any healthcare professional interested in funding to expand their business, so please give us a call on 0345 5050 888.