Opening your private medical practice calls for a solid amount of start-up capital. But just how much capital, you ask?
Most new practices require:
- At least $100,000 for the initial infrastructure and equipment.
- An additional $100,000 to cover the first several months of operational costs.
All things considered, starting a new medical practice is a massive financial undertaking. Luckily, there are a number of lenders that serve the healthcare market.
A great place to start is Wells Fargo Practice Finance, one of the largest providers of healthcare lending solutions in the country. Read on to learn more in our latest company review.
About Wells Fargo
Wells Fargo & Company is an American multinational financial services company that provides:
- Consumer finance.
- Commercial finance.
Wells Fargo & Company was established in 1852 by Henry Wells and William Fargo. The San Franciscoo-based corporation was initially formed to provide banking and express services to residents of California. Over time, however, the company has made numerous acquisitions, allowing it to diversify its portfolio of financial services nationwide.
Today, the Wells Fargo name is known around the globe. Wells Fargo is currently the fourth largest bank in the United States by total assets and the fourth largest bank in the world by market capitalization. As a result, Wells Fargo & Company has time and again been recognized as one of the best of its kind.
- As of 2019, Wells Fargo ranks No. 29 on the Fortune 500 list of America’s largest companies by total revenue.
- In 2016, the company was ranked No. 7 on the Forbes Magazine Global 2000 list of the world’s biggest public companies.
- In 2014, Wells Fargo came up as the most valuable bank brand in the world for the 2nd consecutive year in a study report of the top 500 banking brands by The Banker and Brand Finance.
- In 2015, Wells Fargo was ranked the 7th most respected and 22nd most admired company in the world.
- In 2008, Wells Fargo was ranked the No. 1 Small Business Lender in the United States in total dollar volume.
- In 2007, Wells Fargo was (for a brief period) the only AAA-rated bank in the U.S., reflecting the highest credit rating from 2 firms.
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Wells Fargo Practice Finance basics
In October of 2010, Wells Fargo officially rebranded it practice finance line of business from Matsco to Wells Fargo Practice Finance. With two decades of market experience under its belt, the company wanted to create a better experience for healthcare professionals. The goal was to allow them to access the all of the financial resources they need to start, expand and purchase a medical practice in one place.
Today, Wells Fargo Practice Finance is particularly active in the medical, dental, optometric and veterinary fields. The company is the only practice lender chosen particularly for members of the American Dental Association and approved by ADA Business Resources for practice financing. Wells Fargo is also the preferred lender for members of the American Animal Hospital Association and the American Medical Association.
As clients of Wells Fargo Practice Finance, healthcare professionals enjoy seamless access to a variety of loan products, including:
- Practice loans. Wells Fargo offers competitive, fixed-rate practice loans with terms of up to ten years. You can obtain medical practice financing to help you start or buy your medical practice.
- Expansion loans. The company also offers competitive, fixed-rate loans that you can use to expand, renovate, upgrade or relocate your medical practice.
- Equipment loans. Wells Fargo offers this type of loan so you can acquire important equipment for your practice.
- Commercial real estate loans. The company offers loans up to $5,000,000 with competitive variable and fixed rates. You can use this loan to fund new building purchases, construction and renovations.
- Consolidation loans. Wells Fargo's business refinance program can allow you to consolidate business debt from credit cards, business acquisition, equipment loans and trade lines of credit.
- Practice equity loans. The company typically offers this type of loan for gap financing or down payment for commercial real estate purchase.
- Business line of credit. Wells Fargo's business line of credit can be used to manage large practice expenditures and cash flow fluctuations.
Other financial products and services for healthcare professionals include business checking and savings, patient financing, business credit cards and credit card processing.
All financing from Wells Fargo is subject to credit approval. Loan limits vary per industry, and additional criteria may apply for loan applications exceeding $850,000.
Alright, that was a lot of information to process. In review, Wells Fargo Practice Finance is all about access:
- Access to a variety of fixed rate loans with competitive interest rates and a range of repayment options to choose from enables you to choose the right fit for your medical practice.
- Access to consolidation loans helps you consolidate practice debt, which can help you free up resources to invest in your practice and improve operational efficiency.
- Access to complimentary planning tools, as well as practice and project management support enables you to make smart decisions for your practice.
From the moment you open your private medical practice, it's clear that Wells Fargo has the tools and support you and your business need to succeed long-term.