Articles

Top 5 Benefits of a Working Capital Business Loan for Dental Small Business Owners

Business Success for Your Dental Practice – Henry Schein Financial Services

As with all small businesses, running a successful and profitable dental practice requires access to capital and the flexibility to use it the way your business needs it.

While revenues and cash flow are not always the easiest to project, a business loan can help practices maintain more stable month-to-month operations. Many small to medium business owners look to working capital loans*, to maintain a healthy financial position for their practice.


Take a look at the top 5 benefits of these business loans for dental small business owners.


1. Helps you maintain your current cash flow levels

Even the most successful dental practices can find themselves facing a strain on cash flow. From periods of rapid growth and booked schedules, where you may need to purchase supplies more quickly than you anticipated or invest in hiring more staff, to less than expected patient volume and cancellations that put a strain on your cash flow. These funds can help you maintain a healthy cash flow level, while you wait to receive payment from patients or insurance. These funds are flexible and can be used for any business expense, from paying bills, issuing payroll, or even marketing activities to acquiring new patients.


2. Funds your short-term practice needs, how you see fit

A big benefit of a working capital loan is they are relatively easy to secure than other forms of financing and have a quick approval process – days compared to weeks or even longer. This positions them as an ideal solution to help practices meet short-term expenses.


3. Makes it easier to get financing when needed

More so than other small businesses, dental practices often need to upgrade and purchase expensive equipment and technology on a somewhat regular basis. These types of purchases often require loans to be implemented without placing a financial burden on your practice while you start seeing a return on those investments.

With a working capital loan, you can easily apply and get the financial cash flow flexibility your business needs, without many of the hassles and red tape of traditional lenders. These loans do not appear on a personal credit report, so you can get the funding you need without the worry of possibly jeopardizing your future funding requirements.


4. Eliminates the need for collateral

Unlike many other loans, which are secured forms of financing, a working capital loan is unsecured, which means they don’t require collateral, such as your business assets or placing a lien on your practice to acquire them. A working capital loan doesn’t require personal collateral, providing the cash flow breathing room without creating an additional financial stress.


5. Provides an almost instant line of credit, that you can repay quickly

Speed is a huge plus with a working capital loan. They are designed to give the financial boost practices may need quickly, with funding in days vs weeks or longer. This can allow a practice to pay for the business purchases they need, stabilize their cash flows, and without the need to budget repayment plans for years at a time.


Summary:

Top 5 Benefits of a Working Capital Business Loan for Dental Small Business Owners

  1. Helps maintain current cash flow needs
  2. Funds short-term practice needs & spend the money how you want for your business
  3. Makes it easier to get financing when you need to
  4. Eliminates the need for collateral
  5. Provides an almost instant line of credit, that you can repay quickly

Henry Schein Financial Services offers financing* solutions and programs, including Working Capital Business Loans for dentists and practice owners.


The information contained herein is intended to be informative in nature and is not intended to be a substitute for professional advice. The information was obtained from sources we believe to be reliable but is not guaranteed. Henry Schein does not undertake any obligation to update or revise any statements contained herein, or correct inaccuracies whether as a result of new information, future events, or otherwise. Dental professionals must make their own business decisions and may wish to seek professional advice before acting with regard to the subjects mentioned herein. Nothing contained herein should be treated as legal, business, accounting, international, insurance, tax, or other professional advice

* Rates and programs are subject to change without notice. All transactions are subject to the satisfaction of underwriting guidelines, credit approval by third-party lenders, and documentation requirements, and not all applicants will qualify. Certain other restrictions and additional terms and conditions may apply.

©2022Henry Schein, Inc. Neither Henry Schein, Inc. nor Henry Schein Financial Services provides financial advice. Please consult your financial advisor. Neither Henry Schein, Inc. nor Henry Schein Financial Services is a bank and neither represents itself as such, nor conducts banking activities. Henry Schein Financial Services may receive a marketing fee from the vendor for products/services purchased. All other trademarks, registered trademarks, and logos are the property of their respective owners. All other trademarks, registered trademarks, and logos are the property of their respective owners.