Setting up Your Own Medical Practice

Mar 01, 2017

Tara is a very ambitious woman.

She completed her schooling with flying colours. After that, she got into the best medical college and graduated with a distinction. But that was not the end of her dreams. Becoming a doctor was not enough for her.

She went on to complete her post-graduation and started working with a private hospital. Her work was great and she enjoyed meeting a lot of patients on a daily basis. As a doctor, she always found her work noble and fulfilling. Given her ambitious nature, she did not believe that this was the end; she wanted to do something more like setting up a medical practice of her own.

Tara did not come from an affluent family. So, she did not have any collateral she could use to secure a loan. Thankfully for her, she knew that borrowing at a high cost through informal sectors was not a wise option. She hit a road block.

As life savers, doctors should go on with their profession-expand their services and do more good. Limited funds should not be the reason a good doctor cannot do his/her service! This applies to Tara too!

So, what can she do to finance her medical practice?

How to Finance Your Own Medical Practice

In any given scenario, the best way to finance your business is to use the money you already have. However, many ambitious young doctors like Tara want to set up a medical practice of their own, and it may be too early in their careers to expect them to have savings. The next best option would be to get money against your investments. But not everyone has property, collateral or financial support from family and friends.

In this case, waiting to save before starting your practice may only cause a loss of time and competitive advantage. Instead, a personal loan can be a really effective way of achieving the goal.

Many personal loans are available for doctors to finance their medical practice. Here's why personal loans are a good idea:

How Can Personal Loans Help You?

  1. Flexibility
    Some Personal Loans offer the flexibility of repayment. Tara can secure a personal loan and keep paying the EMI. In case she receives some extra money, she can immediately use that to repay a part of her loan. This kind of flexibility makes personal loan an easy financing option.
  2. Cheaper Cost of Borrowing
    Personal loans are generally considered to be expensive. However, in scenarios such as Tara's, they can be one of the most effective forms of financing. This is because Tara may not be able to get a secured loan without any collateral. She may then have to resort to other forms of financing. This could be borrowing money in the unorganized sector or using her credit cards to finance a part of her venture. However, she would end up paying a much higher interest!
  3. Ease of eligibility
    For doctors like Tara, a personal loan from a good bank or NBFC is a dream-come-true. These loans are often given based on two simple requirements-the borrower's debt history and their educational qualification. Many ambitious young graduates want funding that can fuel their dreams. These personal loans do just that. Especially for a medical practice, banks are more than happy to lend money to doctors. After all, a medical practice is recession-proof!
  4. Tailor Made
    Often, setting up your own medical practice is not like other professions. There might be higher capital requirements to finance medical equipment and so on. It is important that the loan and the repayment options are tailor-made to suit the doctor! After all, how can Tara succeed if she worked with a financing institution that did not understand her dreams?

Bottom line:

Tara was plagued by doubts before she ventured into taking a personal loan for financing her own medical practice. However, after she took the plunge, she realized it was the right decision to not waste any time.

If you are a doctor like Tara, don't let funding stand between your dreams. With flexible personal loans made just for doctors, all you have to worry about is serving your patients. The rest is taken care of!