Helping hospital companies to buy a competitor

Turning a business based on a single hospital, surgery or clinic into a profitable group means many challenges. If your plans include acquisition, the largest of those challenges include finding a high level of funding to buy competitors with the facilities and potential you need. 

 At Rangewell, we can help you find the finance you need for your plans.

Remortgaging your premises

Your current facilities represent a major investment. Remortgaging those premises could be a simple way to provide the level of funding you need to buy a competitor. Commercial Mortgages work much like a residential mortgage and can provide large-scale funding at competitive rates, and let you spread repayments over up to 20 years. They are arranged on an individual basis - making expert help essential to get the most competitive deal.

Bridging and Auction Finance

Bridging Finance is a short-term finance solution which provides a quick way to finance the purchase of a property or business. Like a remortgage, the funds are secured on your property. The lender will take a first charge and will seek repayment once the loan has come to term. It is usual to refinance Bridging Finance with a mortgage.

Commercial Loans for hospital operators

There are two types of commercial loan - Secured and Unsecured - which could provide the funding you need.

Secured Loans are supported by security, such as property, that the lender would take and sell if you became unable to make repayments. This reduces the risk to lenders and allows them to reduce the cost to you, with rates that can be as low as 2% above base rate, and ten or more years to repay.

Unsecured business loans are a straightforward way of borrowing and operate much like a personal loan. The loan is usually repaid in either monthly or quarterly instalments, and over an agreed term of under 5 years. Decisions can be fast but you will need to provide a personal guarantee meaning that you will become personally liable for the debt if your business was unable to pay.

Asset Refinance - re-using the investment in your equipment

Asset Refinance allows you to use the value invested in your business assets - your hospital equipment, fixtures and fittings - to use again. You sell your assets to a finance company. They provide an agreed sum and then let you pay back the amount while continuing to have full use of every piece of equipment.

Mezzanine Finance - a higher level of finance

Mezzanine Finance sits in the middle area between debt and equity finance. A lender will offer a high level of funding, but you will need to repay their debt and interest charges or the lender will have the right to take an agreed proportion of equity interest within the company.

Because the equity option provides the security on the funds, Mezzanine lenders can provide very high levels of finance for acquisitions, where costs and risks can be too high for other, more conventional borrowing.

‘Jigsaw’ Finance

Acquiring a competitor's practice may mean a range of funding is required. We can provide something called 'Jigsaw' Funding, which is a bespoke package made up of the most appropriate type of funding for each need. We have found that 'Jigsaw' Funding can help people who are ready to make the most of their business access a higher level of funding that could otherwise be provided by one single finance option - and reduce overall costs.

The finance you need to buy a competitor 

At Rangewell, we will work with you to understand your business plans and use our expertise to help find the funding that meets your needs. We can find the most competitive rates for all types of finance, including Professional Loans, Unsecured and Secured Loans, Invoice Finance, Asset Finance, Merchant Cash Advance, Commercial Mortgages, Growth Finance and more.

To find out more about setting up the finance you need to buy a competitor, simply call us. Our experts are ready to help.