Gaining ground: Modern financing instruments for hospitals
Cars, cranes, IT - leasing has become a very popular method of financing. And it is about to conquer the ICUs, ORs and imaging departments of hospitals and clinics. According to the association of German leasing companies (Bundesverband Deutscher Leasing-Unternehmen e.V.), in 2005 the leasing volume for medical technology increased by 20 percent compared to the prior year.
Although in general medical technology makes up only a small portion of all leased items in Germany, the trend for hospitals to reduce committed capital and expand their room to manoeuvre for large equipment is undeniable.
Fast innovation cycles require fast action
Driven by the structural changes in the healthcare system which demand enhancing quality while reducing costs, innovative financing instruments are particularly sought after for high-tech clinical areas such as ICU or OR. Fast innovation cycles often require equipment to be replaced or upgraded long before the mandatory depreciation periods for medical technology have lapsed. If thus a hospital always wants to offer its patients state-of-the-art equipment it has to invest an ever larger portion of its budget in medical technology. This usually means that in a shrinking budget more and more capital is committed and therefore not available for other urgent investments.
Medical technology companies have recognised the signs of the times and expanded their portfolio: MAQUET, for example, subsidiary of listed Swedish GETINGE AB, offers its medical technology customers tailor-made financing solutions provided by MAQUET Financial Services GmbH. In cooperation with one of the worldwide leading healthcare financing partners - De Lage Landen International B.V., a subsidiary of Dutch RABO-Bank – individual concepts are developed for and implemented in the hospitals.
Compared to your run-of-the-mill leasing contract concluded with a financing institute, this type of direct financing via a subsidiary has one crucial advantage: technical and financial know-how complement each other and are provided by a single source. MAQUET can offer partial or complete financing concepts for entire OR areas, such as VARIOP, and ICUs or individual purchasing financing for all products of the MAQUET portfolio or financing for the central sterilisation unit.
Reinhard Mayer, CFO of the MAQUET Group explains: “Flexibility, investment protection and cost transparency are the top priorities of our clients. Pooled know-how in terms of financing and medical technology allows us to offer our clients financing solutions that are optimally tailored to their needs. Certain financing concepts for example, avoid the risk of outdated equipment since the products can be returned at the end of the contract term.“