The Problem that Needed Solving
A growing start-up veterinary practice faced a significant hurdle: securing funding for a mobile veterinary surgery. Despite their rapid growth, having been operational for less than two years, obtaining financing proved difficult. The envisioned mobile surgery involved a standard van accounting for 25% of the total cost, with a specialised conversion making up the remaining 75%. Compounding the challenge was the fact that the base vehicle, although only having 10,000 miles on it, was 13 years old.
The Process
Initially, we encountered several obstacles in finding suitable financing options for this unique case. Feedback from lenders varied:
Some were willing to finance only the standard van portion.
Others would fund only half of the required amount due to the vehicle's specialised nature.
Several lenders were hesitant to provide full funding as no security was offered for the loan.
Our diverse panel of lenders, including large institutions and individual investors, allowed us to explore various avenues. Through persistence and detailed discussions, we identified a lender who was willing to look beyond the initial concerns. This lender proposed acquiring a newer van and collaborated closely with both the practice director and the surgery manufacturer. Together, they pinpointed a model that satisfied both the lender’s requirements and the practice's budget.
The Results
This collaborative and strategic approach took a few weeks but ultimately enabled the veterinary practice to secure the necessary surgery. With the new mobile unit, the practice could perform on-site operations and continue to grow its business, fulfilling its mission of providing accessible veterinary care.
Next Steps
If you require asset finance or any lending solutions within the health industry, Knights Row is here to assist. Our expertise and wide network of lenders ensure we can find tailored solutions to meet your unique needs. Contact us today to explore your options and achieve your business goals.
Knights Row specialises in innovative financing solutions, helping businesses overcome financial barriers and achieve their aspirations.
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