Reviewed by
A physician practice owner recently came to me needing to fix his broken X-ray machine without draining his cash reserves while waiting on insurance payments. I've spent years helping dentists, doctors, and veterinarians secure business loans when they need financing for gaps like these. Below, I'll cover the medical practice loans that fit each practice type.
Apply today with Clarify Capital to see your options.
| Loan type | Best practice use | Funding speed | How you repay |
|---|---|---|---|
| Short-term business loans | One-time costs like an operatory buildout, a practice buy-in, or a renovation | As fast as same day | Fixed weekly, biweekly, or monthly payments over 6 to 36 months |
| Business line of credit | Covering payroll and supplies while insurance claims are processed | As fast as same day | Weekly or monthly payments over 6 to 36 months; you only pay interest on what you use |
| Equipment financing | Imaging, dental chairs, surgical tools, lasers, and other medical equipment | 1 to 5 days | Fixed monthly payments over 12 to 72 months |
| U.S. Small Business Administration (SBA) loans | Practice acquisition, commercial real estate, and large expansions | As fast as two weeks, typically 30 to 90 days | Monthly payments over 10 to 25 years |
| Invoice factoring | Turning unpaid insurance claims into quick cash | 1 to 2 weeks | No fixed payments; you get an advance on the claim, then the remainder minus fees once the insurer pays (typically 30, 60, or 90 days) |
Medical Practice Financing by Specialty
Physician and Doctor Practices
Independent physicians who operate their own medical practices often reach for financing to buy into a group, add a provider, or replace equipment. Short-term business loans and SBA loans tend to fit when you're looking into a practice acquisition or a buy-in, while a business line of credit fits cash flow gaps.
Your degree won't change what you qualify for. Lenders treat Doctors of Medicine (MDs) and Doctors of Osteopathic Medicine (DOs) the same way.
Dental and Orthodontic Practices
Many dentists own their own practices, and this means there's a steady market in this space for practice acquisitions. SBA loans tend to fit practice acquisitions if you can wait. If not, a short-term business loan can get you financing more quickly.
I also see dental and orthodontic practices expanding by adding more operatories or equipment. Equipment financing covers that kind of purchase.
Veterinary Practices
Veterinary practices tend to have a cash flow advantage over other medical practices because clients pay at the time of service, and pet insurance reimburses the client directly. I typically see veterinarians leaning on financing for equipment and expansion.
Digital radiography systems, for example, typically cost between $25,000 and $50,000. Equipment loans fit most of these types of purchases, while adding boarding spaces, exam rooms, or a second location usually fits a short-term loan or an SBA loan.
Med Spas
Med spas also don't have to wait on insurance reimbursements. Their high cost usually comes from equipment and inventory. An aesthetic laser can cost as much as $250,000. Inventory, like injectables, is another recurring cost for med spas.
Equipment financing works for laser and other body contouring devices, while a business line of credit fits recurring inventory purchases and slower months.
Chiropractic, Wellness, and Allied Health Practices
Chiropractors, physical therapists, acupuncturists, and counselors tend to operate smaller offices with lower equipment costs than a dentist or a physician. But many of these practices do bill insurance, so they face the same reimbursement lag as a physician's office.
Equipment financing covers tables and imaging tools, while short-term business loans and business lines of credit cover cash flow gaps during reimbursement lag.
Don't see yours listed? That doesn't mean financing is off the table. Find out what you qualify for with Clarify Capital's two-minute application.
