Finance for cosmetic surgeons

It is not simply a matter of providing premises and equipment and paying for staff. You work in a highly competitive sector. You need to be able to offer the latest treatments, and attract patients with effective marketing and by providing an attractive environment with the latest facilities.

At Rangewell, we help you find solutions to your finance needs, whether you are already running your own cosmetic practice or considering setting up.

Funding options for every stage of your Cosmetic Surgery practice

Whatever stage your cosmetic surgery career has reached, we can help you find the right type of funding to:

• Set up a new practice
• Buy an existing practice
• Acquire premises
• Acquire equipment and assets
• Provide working capital and finance growth
• Deal with tax

Setting up a Cosmetic Surgery practice

Once you have begun to establish your reputation as a cosmetic surgeon, setting up your own practice may be the logical next step in your career.

There are a number of routes you could consider. You may be able to work as a specialist consultant within a larger clinic, you may be able to set up an independent practice with your own consulting rooms, or you may feel that the time has come to set up a complete clinic, perhaps with partners, that can offer all of the facilities for procedures on your premises.

You may become a specialist, offering non-surgical interventions, or a range of facial, breast and body procedures.

Whatever stage your plans have reached, Commercial Finance will be essential. Premises, equipment and operating costs will all need to be funded.

And, unfortunately, the costs do not stop there. Remember that simply opening the door for business will not bring in patients. You will need marketing and funding until your new venture has become established and built a patient list.

The rewards may be substantial, but you may need expert help to deal with the hurdle of start-up finance. Conventional lenders can be reluctant to provide funding for new ventures, even in areas such as cosmetic surgery. At Rangewell, we know the lenders who are able to make a more entrepreneurial approach and can advance the large-scale finance that you may need to succeed.

Solutions such as Secured Loans can provide sums of £250,000 and upwards with repayments spread over 15 or more years. Another approach may be ‘Jigsaw’ Funding, which provides a package of lending types, using the most cost-effective solution for each item in your list of start-up needs.

Finding the most appropriate finance for your plans can start with a call to our experts, who can discuss the possibilities with you and use their expertise to help find the solutions you need.

Funding to buy an existing Cosmetic Surgery practice

Buying into an existing practice as a partner, or buying it outright, can be an alternative way to move forward in your career.

Costs may be high - depending on the value of the practice as assessed by its turnover, premises and assets. However, as a going concern, many lenders may find it easier to understand the potential of this type of business.

Here to help

We can help you arrange a number of solutions to let you buy into an established practice. A Secured Loan is one answer, with the security provided by the practice itself. Another alternative may be a Partner Equity Loan. This can take the form of an interest-only loan with a term of up to 25 years, which can often be the most cost-efficient way to buy into a practice.

Contact us to find out more about Partner Equity loans. 

Funding for your Cosmetic Surgery equipment

Whether you are starting up, buying into an existing practice, or ready to move your current business on, you will need a wide range of equipment.

If you are simply setting up a consulting room, your needs may be relatively modest. However, you will need furnishings and lighting, and IT, perhaps with visual equipment to help patients understand the procedures you offer and the kind of results that can be achieved.

Basic procedures, such as fillers, botox, peels and laser treatments, will require a treatment room and the appropriate equipment, together with lighting, sterilisation and safety provisions.

If you are ready to set up a full-service clinic offering surgical interventions, your equipment needs will include the full range of theatre equipment, from anaesthesia and resuscitation to specialised equipment for liposuction.

Most, if not all equipment costs can be covered by Asset Finance. Asset Finance is a blanket term for a variety of Hire Purchase and Leasing arrangements, which are designed to let you spread the cost of equipment, and reduce the cost of providing the equipment you need, by securing the cost of the finance on the asset itself.

Hire Purchase – buying your cosmetic surgery equipment

Hire Purchase (HP) offers a straightforward way to spread the cost of equipping your practice. You will need to put down a deposit, usually between 5%-25% of the total price, and repay the remainder, together with the interest, over an agreed period from 6 to 60 months.

You pay a fixed rate of interest and agreed monthly payments, making budgeting simple.

You may also have the option to structure your payments to fit your projected cash flow. You may be able to arrange smaller monthly repayments by agreeing to pay a final lump sum, known as a balloon payment, at the end of the loan period. This can help you reduce the cost in the early stages of your practice.

Equipment manufacturers and dealers will often offer HP arrangements during the sales process. These can look very attractive, and can even include 0% options. However, these deals often mask hidden costs. You may be able to save money by paying cash, and arranging finance with our help. See how we can help you beat 0% finance deals.

Hire Purchase may be most suitable for items that will give years of service. Your consulting room equipment, for example, will receive very little wear and tear and might be a cost-effective choice for HP

Leasing – cosmetic surgery equipment without capital costs

With a lease, the equipment is owned by the finance company. You hire it for the period of the agreement. It remains their property, avoiding any need for capital expenditure from you. Monthly payments are fixed for the duration of the contract and you can pay for your equipment from the income it generates each month. You may also be able to choose a lease which makes maintenance and repair the responsibility of the finance company.

Leasing may be suitable for complex equipment which may need to be replaced in a relatively short time frame. Liposuction and Cryolipolysis devices might be examples of equipment suitable for leasing.

Funding to buy your Cosmetic Surgery premises

Premises in a good location, ideally with parking and public transport nearby, will be essential for your cosmetic surgery practice.

You may start with a room in an existing clinic, but as your practice and your ambitions develop, you may be ready to think about premises of your own.  Renting rooms may be your first step and you may need to borrow for a deposit on a long-term lease.

Alternatively, you might want to buy your own premises with a Commercial Mortgage. Commercial Mortgages are available for property purchases from around £75,000 and have no set upper limit, making them suitable whether your plans are for a small suite or for a full surgical clinic. Repayments can be spread over a substantial period and terms of 25 years are common.

Commercial Property Finance is arranged on an individual basis. A Commercial Mortgage could help you find solutions, whether you want to acquire your existing premises from a landlord or look at a new location.

Running and growing your Cosmetic Surgery practice

Your existing practice will present a range of ongoing costs. There will be the inevitable overheads as soon as you open, which may place a strain on your cash flow until your practice becomes established.

When you have become recognised in the profession you may face another round of funding needs. You may want to refurbish your premises, for example, or buy smaller pieces of equipment. You might want to fund growth, take on more staff or set up a treatment room for a junior partner.

There are a number of loan products to help you deal with the cash flow and working capital needs of your practice.

Working Capital Finance

Working Capital Finance is designed to boost the working capital available to your business. It's often used to provide cash to pay staff during the early weeks and months of opening a practice or during a period of growth and is designed to be repaid in the short- to medium-term.

Our finance experts can help solve your working capital needs.

Growth Finance

Large-scale finance can be vital if you have major plans for your Cosmetic Surgery practice, such as acquiring a competitor or moving to a prime location. Growth Finance is a special type of funding designed to fund your growth plans.

Even if your practice doesn't yet have the established profit record that lenders usually require, we can help you find the solutions you need to grow.

Funding with a Practice Loan

You might also consider a Practice Loan - this type of lending recognises your professional status and can provide a relatively high level of funding without requiring security, and at a preferential rate of interest. You can use the funds for any purpose connected with your practice, including extending or refurbishing, taking on staff, training, or bringing in additional facilities to allow you to offer new treatments.

Practice Loans can be used for many purposes including:

• Refurbishment
• Capital injection
• Buy-ins
• Cashflow support

Tax Loans

Large quarterly VAT bills or annual tax demands can cause problems with your cash flow, particularly when that falls at the same time as other costs. Tax Loans help you to spread the cost of your tax demands into affordable monthly payments, ensuring that your business does not have to go through cash flow difficulties because of a minor tax liability.

See how a Tax Loan can mean better control of cash flow with fixed monthly payments.

Goodwill Loans

Goodwill Loans, also known as Cash Outs, use the value in your cosmetic surgery practice as the security for a loan and may provide a sum comparable to that of your annual turnover. This type of lending is suitable for any purpose inside or outside the business, and many medical professionals use it to fund investments or property purchases.

Find out more about Goodwill Loans here. 

Why you need Rangewell to help you capitalise your practice

Your professional status can help you secure attractive rates for the funding you need.

But not all lenders will offer you the most competitive terms, and finding the most competitive deal across the entire market takes time and expertise. We know the lenders who can offer the most competitive rates for all the types of finance you may need, including funding with Professional Loans, Unsecured and Secured Loans, Asset Finance, Commercial Mortgages, Growth Finance and more.

As well as conventional loan products, we can help you find Alternative Funding, using new loan providers and innovative funding solutions.

Whether you have a straightforward, small-scale funding need, or require a complicated ‘Jigsaw’ Funding plan made up of a combination of financial products, we can work with you to find the answers

For medical professional and doctor financing of any kind, call us now to get our experts working for you.