Medical Equipment Financing Market will Reach $210.46 Bn by 2027; Rising Demand for EHR and Practice Management Services will Add Momentum to Market

The global medical equipment financing market size is predicted to reach USD 210.46 billion by 2027 attributed to the advancement of the medical sector. Medical Equipment Financing offers financial support in the form of a loan with low interests to medical practitioners, doctors, and hospitals to purchase expensive healthcare equipment. Finance companies in the medical industry are witnessing great growth opportunities with the increasing demand for Electronic Health Record systems and practice management services, coupled with diagnostic imaging and robotics technology. Continuous advancement in the medical sector has intensified the need for best-class medical equipment for excellent healthcare services. According to the report by Fortune Business Insights™ titled, “Medical Equipment Financing Market Size, Share & Industry Analysis, By Device Type (Diagnostic Equipment, Therapeutic Equipment, Patient Monitoring Equipment, and Others), By End User (Hospitals & Clinics, Laboratories and Diagnostic Centers, and Others), and Regional Forecast, 2020-2027,” the market value was USD 102.30 billion in 2019 and will exhibit a CAGR of 9.5% between 2020 to 2027.

Siemens and Wells Fargo Entered into Joint Venture to Collectively Earn High Market Revenue

Siemens Healthineers and Wells Fargo entered into a joint venture in February 2020 to offer vendor financing relationship with comprehensive financing solutions for healthcare systems and hospitals across the United States.  These financial solutions will help provide assistance to adopt new technology within the budget, improve consumer’s cash on hand, and bolster crucial growth projects. In order to help boost the sales process, Wells Fargo will provide competitive loans and lease products to Siemens Healthineers sales force and value-added services.

Jim Kelly, the head of Wells Fargo Vendor Financial Services says, “Our company is solely dedicated to help Siemens Healthineers with improved margins and higher sales. We deliver flexible financing programs, training resources, a field of sales team and marketing support for aiming ahead in the world competition of medical equipment finance programs.” Additionally, the president and head of Siemens Healthineers, America said, “With the help of the finance program of Wells Fargo, we can now offer competitive financing services to our customers with the latest acquainted technology.” Such collaborative efforts are likely to aid in the expansion of the market in the coming years.

To get a detailed report summary and research scope of this market, click here:

https://www.fortunebusinessinsights.com/medical-equipment-financing-market-102731

Drivers

Rising Need for Offering Top-Class Diagnostic Experience with Technologically Advanced Machinery will Drive Market

The increasing cases of various chronic, infectious, and other diseases and the rising inclination towards providing the best diagnostic procedures are the major factors promoting the medical equipment financing market growth. This, coupled with the rising geriatric population, their vulnerability to various diseases, and the increasing need for continuous surveillance with the help of technologically advanced machinery is also fueling the demand for expensive diagnostic equipment such as MRI scanning machines, ventilators, and other therapeutic devices. Additionally, serious issues such as the current COVID19 pandemic has led to a serious crisis of medical professionals, and healthcare equipment. This epidemic of coronavirus is thereby propelling major financing organizations to invest into medical equipment and facilities, ultimately aiding to the expansion of the market.

On the contrary, factors such as the high maintenance cost of the equipment may urge hospitals and healthcare units to withdraw from investing in new equipment and rather maintain the existing machines. This may hamper the future market. Nevertheless, the World Bank is taking major steps by providing large finances to help nations deeply affected by the Coronavirus pandemic with medical equipment such as MRI scanners, ventilators, and other therapeutic equipment. This is likely to add impetus to the market growth.

National Funding and Hero FinCorp are Dominating Market with Loan and Low Monthly Installment Schemes

Currently, two companies namely Hero FinCorp and National Funding are holding the dominant market shares. This is attributed to the well-established position of the companies and the excellent customer support with affordable financial solutions provided by the companies. These vendors are offering finance for equipment such as dental chairs, X-ray machines, ultrasound systems, and many others with a low monthly installment option and multiple loan options. Other companies are engaging in strengthening their portfolio and attracting high medical equipment financing market revenue in the coming years.

Significant Industry Developments of the Market include:

• November 2018 – GE Capital’s Healthcare Finance (HEF) business was acquired by TIAA Bank for USD 1.5 billion for the expansion of financial solutions of TIAA Bank. This collaborative effort offers loans to physicians, imaging and diagnostic centers, and hospitals across the United States.

List of Key Market Manufacturers are:

• TIAA Bank
• SMC
• Hero FinCorp
• Blue Bridge Financial, LLC.
• National Funding
• HDFC Bank
• Other Vendors

Further Report Findings

• North America held the dominant market share with a revenue of USD 45.93 billion in 2019 owing to the continuous medical innovations and well-established healthcare infrastructure.
• With respect to segmentation by device, the market is dominated by the diagnostic equipment segment with a 42.9 % share in 2019. This is attributed to the rising prevalence of infectious diseases and current innovations in the sector.

This Market is segmented into: