As a therapist, you know the importance of having a safe and comfortable environment for your patients. But what do you do when your office is in need of a refresh and you don’t have the cash on hand to fund it?
A revolving line of credit is one way to get the funding you need to bridge cash flow gaps. From refreshing your office and managing monthly expenses, to bringing on new team members or launching a marketing campaign, working capital can help your practice thrive.
Applying for a line of credit is usually a fast and easy process, and funds can be available as soon as the next business day. Read on to learn more about how working capital can benefit your practice.
The benefits of a revolving line of credit
Private practices can be considered small businesses, and as such, they can apply for and use working capital. Working capital is extra money that a business has on hand to use for various purposes, such as day-to-day expenses, updates, or expansion. A line of credit offers financial flexibility, allowing you to spend more time focusing on your patients — not on cash flow gaps.
One of the biggest benefits of having a revolving line of credit is that it can help stabilize your practice between when expenses are incurred and when revenue is received. Private practices often use a line of credit to fund payroll, update their space or equipment, pay everyday expenses like insurance, and hire new employees. A business line of credit can also be used to cover expenses that cannot be put on a credit card like leases, payroll, and invoices from vendors.
A revolving line of credit allows you to borrow funds repeatedly without reapplying, and your available credit replenishes as you repay. With a line of credit, you only pay for what you use.
Using your line of credit
Working capital can be used to give your office a much-needed facelift. New furniture, updated décor, and modern amenities can make a world of difference to potential and existing patients.
In addition to improving the appearance of your office, working capital can also be used to hire additional staff. A new employee can help with administrative tasks, scheduling, and patient care, so you can free up time to focus on providing quality services. If unplanned repairs and unexpected bills pop up, having a line of credit available to cover these impromptu costs can help keep your practice running.
Working capital can help you invest in your business by building a new website or by launching new marketing campaigns to attract new clients. You can also invest in your career by taking courses, certifications, and conferences to stay up-to-date on the latest research and developments in your field.
