The medical supply industry is booming in this country, and it figures to become even more important in the future. However the majority of companies that make up the overall industry are small businesses rather than giant corporations, and that has led to a very competitive environment. Here is some of the information you might need if you’re a medical supplier seeking a business loan.

Types of Loans Available to Medical Supply Companies

If you apply for a traditional bank loan, you can expect to receive funding between 14 and 30 days if approved, and the terms will generally cover between three and seven years. Interest rates will be somewhere between 6% and 10%. An SBA loan would be very similar, with the same 6% to 10% interest rate, the same three to seven-year term, and you would once again have to wait between 10 and 30 days before receiving funding.

If you are approved for a line of credit, your medical supply company could expect a coverage term between one and three years, funding would be available somewhere between seven and 30 days, and you might expect to pay an interest rate of somewhere between 5% and 15%. An alternative lender would be able to put funds in your hands much more quickly, probably between five and seven days. This would cover a period of repayment between one and five years, and the interest rate could be anywhere from 6% to 25%.

A cash advance from some source could be handled very quickly indeed, sometimes as fast as 1 to 3 days. The repayment period would cover somewhere between three and 24 months, and the interest rate would be somewhere between 1.16% and 1.55%. As you look at the features of each of the loan types above, it’s obvious that some have specific features which have their own appeal. Whichever of these features is most important to your medical supply company, that will probably be the determining factor on which type of loan you should seek.

Are You a Medical Supplier in Need of Funding? 

We are supporters of the healthcare industry, so if you’re a medical supplier who needs funding, we’d like to hear from you. Contact us at Ambition Funding Solutions so we can discuss some funding options which might be available to you.