Finance for Physiotherapists

As a physiotherapist, you operate a practice that saves your patients from pain and suffering, and which increases their quality of life - but you are also operating a business.  The equipment you use and the premises you work from are key to the success of your business.

That means, whether you are working with NHS funding, running a private practice or working within a larger team, you need access to effective business financial solutions.

Getting the right funding really is essential, not only because it can help you provide the best treatment and attract more clients, but because it can be the key factor in the success of your practice.

At Rangewell, we help you find the solutions to all your finance needs.

Funding options for every stage of your physiotherapy career

Whether you are already working in private practice or considering setting up your own surgery or specialised clinic, we can help you find the right type of funding option to:

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

Setting up a new physiotherapy practice

Becoming your own boss, and enjoying all the rewards of your hard work could be a major step forward in your career - but remember, setting up your own practice will mean costs. There will be premises to pay for. You may need a vehicle if you are operating a mobile service, serving care homes or individual clients.

There will also be equipment costs, such as a TENS machine and ultrasound equipment, or even digital x-ray systems. You’ll also have staff and operating costs to provide for. A receptionist will be essential, and you are likely to need an assistant. Electricity and business rates will have to be paid for too

Remember, simply opening the door for business will not bring in patients. You will need funding until you become established and build a patient list.

You will also want to borrow working capital to get your practice up and running. Having a simple way to and deal with the expenses until your physiotherapy business becomes fully profitable, can help you avoid worries, and get your business off to a better start.

Funding for physiotherapy equipment

Whether you are starting up, buying into an existing practice, or ready to move your current business on, a wide range of diagnostic and other physio equipment will be required.

Your equipment needs may include:

• Lighting
• X-ray equipment
• Ultrasound equipment
• TENS system
• IT equipment – from handheld devices to a centralised booking and billing system

Asset Finance is a blanket term for a variety of Hire Purchase and Leasing arrangements, which can let you spread the cost of equipment.

Hire Purchase – buying your equipment

Hire Purchase 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 of the asset in question, 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 business.

Equipment manufacturers and dealers will often offer HP arrangements during the sales process. These can look very attractive, and can even include 0% options. 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.

HP can be the most appropriate solution for items such as your treatment bench, which will be working hard for you long after it is paid for.

Leasing – equipment without capital costs

With a lease, equipment is owned indefinitely 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.

Technology-based equipment such as TENS which can require skilled maintenance and can become obsolete can be best suited to leasing. Replacement and updating can be easy.

New or used?

Good quality used equipment can be a sound investment, especially if you are setting up a new practice. However, many physiotherapists miss out on the potential savings because they believe they need to find cash to pay for it.

At Rangewell we can help you spread the cost of used as well as new assets with Asset Finance. Find out more here.

Vehicle finance for physiotherapists

Contract Hire can be the most cost-effective asset finance solution to provide a business vehicle, which could be essential if you want to run a mobile service, visiting patients in their homes.

See how Asset Finance and Vehicle Finance could help you cut the cost of the vehicles you need.

Funding to buy premises for physiotherapy

Premises in a good location, ideally with parking and public transport nearby, will be a big plus for your practice, helping clients find you. You might need to pay a little more, but the benefits to your growing business will be huge.

You may need to borrow for a deposit on a long-term lease.

Alternatively, you might want to buy with a Commercial Mortgage. Not only will buying your premises protect your practice from rent increases, but it could also provide you with a valuable asset.

We can provide all the answers you need for Commercial Property Finance. Whether you want to acquire your existing premises from your landlord or look at a new location we can help you find the most cost-effective solutions.

Funding to buy a physiotherapy practice

Buying into an existing practice as a partner, or buying it outright, perhaps from a practitioner who is retiring, may require a substantial investment. It’s important to assess the performance of the business to understand its current value. The patient base, premises and equipment, and the value of any NHS contract need to be understood and assessed before you negotiate.

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 be the most cost-efficient way to buy into an established practice.

Contact us to find out more about Partner Equity Loans and physio competitor buyout and buy-in finance.

Buying a physiotherapy franchise

Franchising is becoming more popular among physiotherapists. A franchise will mean a substantial initial fee, and a monthly fee subscription. Conventional business lenders, such as banks, may not be able to help, as your business is technically a start-up, lacking a business history.

A Franchise Loan package may provide the solution.

Running and growing your physiotherapy practice

Your existing practice will have ongoing costs that you need to deal with. You may want to refurbish your premises, for example, or buy smaller pieces of equipment. You might want to fund growth, taking on staff or setting up a treatment room for a junior partner. You might also need to deal with more cash flow issues, especially in the early stages of a new practice.

There are some solutions especially suitable for physiotherapists including:

Funding with a Practice Loan

This type of lending recognises your status and does not require security. It can provide a relatively high level of funding at a preferential rate of interest, which you may use for any purpose connected with your practice: extending or refurbishing your practice, taking on staff, training or acquiring a competitor, or bringing in facilities to allow you to offer new treatments.

Practice Loans can be used for many purposes, including:

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

Contact us to find out more.

Tax loans

Large quarterly VAT bills or annual tax demands can cause problems with your cashflow, particularly when they fall 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 cashflow difficulties because of a minor tax liability.

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

Working Capital Finance

Working Capital Finance is designed to boost the working capital available to a 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. It 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 practice, such as acquiring a competitor. Growth Finance is a special type of funding designed to fund your growth plans.

Even if your practice does not have an established profit record that lenders usually require, we can help you find solutions.

Get our help in finding the most competitive lending for your needs.

Goodwill Loans for physiotherapy practices

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

We can help you find the most appropriate lending, including Goodwill Loans for physiotherapists.

Why you need Rangewell to find finance for your physiotherapy practice

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

But not all lenders will offer 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 types of finance, including Professional Loans, Unsecured and Secured Loans, Invoice Finance, Asset Finance, Commercial Mortgages, Growth Finance and more.

As well as conventional loan products, we can also 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.

Call us now to get our experts working for you.