Let’s imagine an extreme scenario. A doctor, dentist, veterinarian or optometrist is financing a practice. The medical professional goes to their bank and gets offered a $300,000 loan at 0% interest. They are overjoyed and enthusiastically apply, without thinking twice. Wouldn’t you? They are turned down, immediately. The standards for this imaginary loan are an 800 credit score, a down payment of 70%, $1 million in cash on deposit at the same bank, and a debt-to-income ratio of 5%. The result would be that very few individuals could acquire such financing and the results of acquiring this imaginary financing would make very little financial sense for most healthcare practices.
The point of this extreme, imaginary financing product is to show that interest rate is not the most important part of financing a practice.
Interest rate is important, but it’s not everything. The standards the lender uses are an equally important piece of the right financing. Next, how your practice debt is structured and your monthly cash flow are equally important parts of the package.
Taking your financing needs to a niche lender like MedTrust Capital Group makes sense for doctors, dentists, optometrists, and veterinarians because we understand this complex matrix of factors and can explain it to you in a way that makes sense. We do what your bank does, but can give you more useful information and consultation. It’s even possible we’ll send you to a big bank, if that’s the best financing option for you.
If you talk to us, you’ll see why big banks actually usually refer clients to us, rather than the other way around. We have flexible standards, competitive rates, and know healthcare business financing and the best practices for maximizing cash flow and ultimately wealth.
Interest rate is not the end of the line when it comes to financing. Talk to the experts at MedTrust Capital Group about your entire financing package and the innovative, flexible solutions we provide to healthcare professionals of all specialties.