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Medical Equipment Financing Market size worth $205 Bn by 2026

  • Published Date: February 3, 2020

Medical Equipment Financing Market size is set to exceed USD 205 billion by 2026; according to a new research report by Global Market Insights Inc.

Technological advancements in medical equipment is expected to promptly impact the global medical equipment financing market growth. The rising demand for medical equipment in developing countries further compels the market growth. Additionally, inflated cost of medical equipment enforces the healthcare organization to look for medical equipment financing options to fund their increasing equipment demand. With rising unpredictability with reimbursements in healthcare sector, the healthcare organization opt for medical equipment financing whereas build up their cash reserves as a defense against reimbursement. Further, with complete ownership of the equipment, the market revenue is poised to boost at rapid pace for medical equipment financing industry in the future.

Building up cash reserves as a defense for reimbursement will increase healthcare equipment financing exponentially

The healthcare reform has become highly unpredictable with the introduction of various healthcare act. The hospitals have opted for equipment financing to acquire necessary delivery of the high-quality care to keep more cash on hand to address any possible delays in reimbursement. Also, medical finance companies proactively provide flexible financing solutions to procure medical equipment in the market. This helps hospitals to conserve the cash as well as keep up with the advancing trend in the healthcare market.

Medical Equipment Financing Market By Region

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Constant improvements in clinical outcomes compels the doctors to prefer equipment financing for diagnostic equipment

Medical equipment financing market are categorized based on equipment as diagnostic, therapeutic, patient monitoring equipment, laboratory equipment, and medical furniture. Therapeutic equipment accounted for a share of around 25% in 2019 and is expected to grow at the CAGR of 6.7% during the forecasting years. The growth of the segment is attributed to rising demand for therapeutic equipment such as electrotherapy system, laser therapy systems, shockwave therapy system, balance trainer, among others. Also, constant improvement in clinical outcome further drives the therapeutic equipment financing market.

Browse key industry insights spread across 250 pages with 531 market data tables & 14 figures & charts from the report, Medical Equipment Financing Market Size By Equipment (Diagnostic, Therapeutic, Patient Monitoring, Laboratory, Medical Furniture), By Type (New Medical Equipment, Rental Equipment, Refurbished Equipment), By End-use (Hospitals, Clinics {Dermatology, Dental, Ophthalmology}, Ambulatory Surgical Centers), Industry Analysis Report, Regional Outlook, Price Trends, Application Potential, Competitive Market Share & Forecast, 2020 – 2026” in detail along with the table of contents:

Reduced capital costs expedite the demand for refurbished equipment creating robust market growth potential

On the basis of type the Medical equipment financing market is bifurcated as new medical equipment, rental equipment, and refurbished equipment. The market for refurbished medical equipment financing is estimated to surge at considerable pace over forecast years. The cost containment pressure on the healthcare organization and increasing number of private healthcare institutions fuel demand for refurbished medical equipment which soars the financing market for the equipment in foreseeable future.

Increasing adoption of ambulatory surgical centers clinics will impact the market size

Medical equipment financing business, based on end-users is segmented as hospitals, clinics, laboratory and diagnostic centers, ambulatory surgical centers, and others. Financing of medical equipment in ambulatory surgical centers is surging, owing to increasing number of ambulatory centers and rising shift of the surgical procedures from inpatient to outpatient settings. Additionally, escalating innovation in the fields of endoscopic and laparoscopic surgical procedures have increased outpatient visits which propel the market for ASC, thereby contributing to the healthcare equipment leasing market growth in forthcoming years.

Increasing demand for medical equipment in emerging nations will accelerate Asia Pacific market growth

Asia Pacific medical equipment financing business is forecasted to progress at 8.7% CAGR during the analysis period. Increasing geriatric population pool and rising disposable income will be major factors impacting the industry revenue. In addition, booming medical equipment sector in emerging economies such as India and China will create attractive market expansion prospects in the region. Also, accelerating development of infrastructure, set-up of facilities such as laboratories and diagnostic centers, clinics, coupled with rising financing for medical equipment and medical tourism will impel Asia Pacific medical equipment financing market growth over the projection period.

Expansion is one of the chief strategies adopted for development of medical equipment financing

First American Healthcare Finance, National Funding, CIT Group Inc. and TimePayment are some of the leading players involved in medical equipment financing market share. The companies are undertaking innovation strategies for development of financing for medical equipment along with expansion to increase their foothold in the market. For instance, in November 2019, Amur Equipment Finance opened an office in Omaha, Nebraska, U.S. to support the local roots and provide an opportunity to expand their footprint in the region.

Authors: Sumant Ugalmugle, Rupali Swain

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