Pharmacy Finance

What is Pharmacy Finance?

Funding for the pharmaceutical sector covers a wide range of needs, including purchasing and fitting out a new commercial property, investing in pharmacy robotics technology, and stabilising cash flow through invoice financing.

It is reassuring to know that this type of financial support is adaptable to suit the changing needs of your sector as well as ongoing technological advancements, whilst also protecting your business’ finances.

Our healthcare team provides finance for a plethora of healthcare assets to businesses across the UK.

What types of pharmacy funding are available?

Business acquisition loans: Business acquisition loans allow you to acquire or merge with an existing pharmacy to grow your business without using up valuable capital. This type of funding offers capital and interest repayment structures as well as equity financing, in which you sell shares to private investors to raise money for the deal.

Financing pharmacy equipment: Purchasing pharmacy equipment outright can place a significant strain on business capital, but you can avoid this by using specialist funding, including hire purchase and finance leases.

Both options offer a pre-determined payment schedule with fixed repayment amounts and as flexibility is built into these products, you can choose whether you want to own the asset once the contract finishes.

Asset refinancing: If your business already owns valuable assets, you can release their value by refinancing. This is called a sale and leaseback arrangement and allows you to continue using the asset in the business without interruption. Effectively, you sell the asset to the lender and then lease it back – once the instalments are made, your business then resumes ownership.

Invoice finance: Invoice finance unlocks the value of your pharmacy’s invoices to boost business cash flow. Factoring your invoices means that you receive around 90 per cent of the value of each invoice within 24-48 hours of it being issued. The remaining sum is then released when the customer makes the payment, with a deduction involved from the lender’s fee.

Factoring offers additional benefits as the lender takes control of your sales ledger, freeing up time for you to focus on day-to-day sales and business growth. If you prefer a confidential arrangement, however, invoice discounting may be the better option.

How does pharmacy finance work?

Pharmacy finance allows your business to acquire high value assets without the need to put down a large initial sum. Through financing you will not own the pharmacy assets initially, but you can use the assets for business purposes. By financing pharmacy assets, you can select the term length and the deposit amount.

Is pharmacy finance right for your business?

These flexible funding solutions can be instrumental in helping you establish and grow your pharmacy business. Whether you have a business acquisition in mind or want to implement a business development strategy, pharmacy financing provides the tailored support you need whilst protecting your business capital.

Applying for pharmacy financing

MAF Finance Group works with a broad selection of lenders and banks to provide you with the best financial solutions.

If you would like to get a quote or require further information, fill out the form below and we will be in touch. If you want to speak to someone directly, you can call on 0115 958 6872 and we will be happy to speak to you. Alternatively, email us at enquiries@maffinancegroup.co.uk.