Newport, CA Healthcare Financing Solutions for Working Capital

April 30, 2018 by CNH Finance, LP in category “Financing”

Newport, CA healthcare financing solutions come in many forms. For practices of all sizes, finding an adequate source of working capital can be challenging, and traditional debt-based loans are not always the best answer. Fortunately, there is a better option for medical practices in the Newport area.

Newport, CA Healthcare Financing with Loans

The seemingly eternal cycle for healthcare providers in Newport, CA is to take out loans to cover gaps in financing or to correct cash flow issues. The cost of taking out multiple loans, apart from the rigid payments and interest, comes in the form of cumulative debt. After a while, loans stop being about a boost in working capital, and simply go to repay existing liabilities. Many Newport, CA healthcare practices leave themselves open to bankruptcy or being absorbed by larger practices because of insurmountable debt.

Advances Have Their Own Drawbacks

Newport, CA healthcare financing can also come in the form of cash advances. Cash advances are more attractive than traditional loans, as local healthcare providers like the idea of debt-free financing. Cash advances offer an infusion of working capital, necessary for purchasing supplies, equipment, and maintaining overhead expenses. There are no rigid payment schedules, so the balance is repaid from a percentage of patient invoices paid via credit card. However, there are downsides to using cash advances for Newport, CA healthcare financing. Not all patients pay their medical bills with credit cards. The much-touted flexibility typically results in a very large balloon payment at the end of the agreement. Additionally, an advance has extremely high interest rates, as well as fees which could very easily leave Newport healthcare providers back at square one, taking out loans to repay the remaining balance on the advance.

A Better Newport, CA Healthcare Financing Solution

Asset based lending provides Newport practices with a reliable source of working capital, flexibility, and none of the drawbacks of either loans or cash advances. Asset based lending is an unsecured business line of credit structured around the value of vehicles, equipment, receivables, and more. The revolving line of credit can be accessed as needed, and the amount available is replenished when the balance is repaid. As a medical practice grows, the amount of financing available increases, giving Newport healthcare providers the funding needed for long-term success.

CNH Finance is dedicated to providing the most comprehensive Newport, CA healthcare financing. Our asset based lending program ensures local medical practices have the capital they need grow without debt.

Image for 'Newport, CA Dental Practices: Finding Capital without Loans'
Newport, CA Dental Practices: Finding Capital without Loans

Newport, CA dental practices are rethinking funding models. Gaining a strong foothold in today’s economic landscape can be challenging, and debt-based financing doesn’t help. More…

Image for 'Manufacturers And ABL: Growth Without Loans'
Manufacturers And ABL: Growth Without Loans

Manufacturers who are trying to position themselves for growth require a good source of working capital. Large and unexpected orders can place a strain on finances and require a shift in…

Image for 'Traditional Lending: A Big Risk for Businesses'
Traditional Lending: A Big Risk for Businesses

Traditional lending used to be the “go to” solution for businesses. Loans offered everything from startup money to growth capital and everything in between. In recent years,…

Image for 'Borrowing for Small Businesses: Is it Worth the Risk?'
Borrowing for Small Businesses: Is it Worth the Risk?

Small business owners are inundated with the philosophy that they cannot thrive or grow without borrowing capital from traditional lending channels. Loans, merchant cash advances, and…

CNH Finance
24 East Ave #1285
New Canaan, CT 06840
Phone: (203) 266-3210

Business Development
Long Beach, CA 90803
Phone: (562) 833-7815

Business Development
3334 E. Coast Hwy, Suite 541
Newport Beach, CA 92625
Phone: (714) 520-1788

Melinda Ficek

Maryland Office
3 Bethesda Metro Center, Suite 723
Bethesda, MD 20814
Phone: (301) 529-9993

Steve Silver

Business Development
5050 Quorum Drive, Suite 700
Dallas, TX 75254
Phone: (972) 687-9157

Rossi Felix