How Can A Professional Loan Help to Expand Your Medical Business?

A study suggests that the Indian healthcare industry is estimated to touch $372 billion by 2022. Ideally, the healthcare sector comprises hospitals, medical tourism, telemedicine, medical device and equipment, and health insurance policies, among others, which is critical as well as indispensable to the overall economy and citizens alike. 

As per a report on Indian healthcare industry analysis –

• In India, the industry accounts for 80% of the healthcare segment.
• Indian medical tourism market is predicted to grow at a rate of 18% year-on-year by 2020 and will reach the US$ 9 billion mark.

In view of achieving this estimated growth, the availability of quality healthcare services to patients on a larger scale becomes indispensable. Consequently, medical professionals must also equip themselves with information about integrating technology-based diagnostics into their practice towards this end. It will not only improve the quality of services but also allow professionals to cater to the ever-evolving medical care requirements.

To facilitate a smooth transition to telemedicine and advanced medical practices, one can avail of a professional loan and meet requirements accordingly. Regardless, to streamline the same, professionals must also gain a clear understanding of how to utilise such funds to advance their current practice.

Uses of a professional loan – In brief

These pointers highlight how professionals in the healthcare sector can use this credit facility –

• To expand or renovate medical care services

Medical practitioners who have been planning to expand their practice bases can avail professional loans to finance the same seamlessly. With the help of the funds availed, professionals can fund the cost of construction, furnishing and installation of medical equipment, and the likes. Similarly, doctors can avail a loan for professionals to renovate their clinics, replace furniture, etc.

• Incorporating telehealth services

Greater convenience, coupled with the current demand for immediate healthcare facilities, has encouraged more individuals to avail the telehealth services for timely medical advice. 

• The national telemedicine service has provided more than 1.5 lakh teleconsultation services up until recently.

The growing figure indicates that incorporating telemedicine services into medical practice has become the need of the hour for practitioners.

However, the cost of purchasing equipment and software to support telehealth services can prove quite expensive, especially when one plans on availing the latest tools and technology. Nevertheless, a doctor loan can help professionals to get the best medical equipment. 

• To meet overhead expenses

A loan for doctors allows individuals to account for operational costs as well. Medical professionals can meet expenses like paying wages and salary to staff, clearing utility bills, and maintaining office equipment regularly with the help of the funds availed. 

Other than that, medical professionals can also appoint more staff and account for their salary and resulting expenses with this credit.

• Installing administrative technology

Some of the latest administrative technologies like medical practice and billing software, medical ERP Software, etc. have become a must in the medical profession. Such administrative technology helps to optimise the quality of practice to a great extent. Notably, the average cost of ERP software can range from Rs.20 lakh to Rs.40 lakh.

Medical practitioners can finance the purchase of such software conveniently and affordably with a loan for professionals. Nevertheless, they first need to ensure that they are buying the right medical equipment with a thorough market analysis and comparison for their availability and effectiveness of use for an informed decision.

Besides these, a medical practitioner can apply for a professional loan like a loan for doctors from NBFCs like Bajaj Finserv as well at affordable rates to set up a private practice. 

They also provide pre-approved offers to customers that make the entire process of financing less cumbersome. Such customized offers are available on multiple financial products, including personal loans and business loans. You can check your pre-approved offer by entering details like your name and mobile number.

Nevertheless, medical practitioners need to find out if they are eligible for such a professional loan in due advance. Financial institutions direct medical practitioners to submit – Medical Registration Certificate and KYC documents, among others, to confirm suitable borrowing eligibility.

Though there are several reasons to apply for a business loan for doctors, professionals must consider a few things before applying for these advances for affordable financing. For instance, the interest rate and other charges, terms of repayment, processing time and need for collateral, among others need to be considered.

Doctors must also weigh in their repayment capability before applying for a professional loan. It is ideal to refrain from applying for multiple loans at once as it tends to hamper their credit score and impacts their ability to avail funds in the future.