You’ve launched your career as a medical professional and you’d like to own your own medical practice. Starting a practice is a huge goal, both professionally and financially. How do you go about funding this dream?
Medical practice loans can help provide the necessary funding to reach your goals. Bank of America Practice Solutions, for example, offers medical professionals loans to fund various projects, whether just starting out or expanding a growing practice.
Here’s what you should know about Bank of America Practice Solutions.
What is Bank of America Practice Solutions?
Practice Solutions is the healthcare division of Bank of America (BofA). It offers lending solutions for people in the dental, medical and veterinary spaces. BofA has been lending to healthcare professionals through Practice Solutions for over 20 years.
What can Bank of America Practice Solutions loans be used for?
Loans from BofA provide the necessary funding to healthcare professionals for a host of needs. BofA offers loans for:
- Startup financing
- Acquisition loans for existing practices
- Commercial real estate loans
- Remodeling or expansion
- Debt consolidation loans
BofA has loans to fit most practice needs, whether you are starting a new practice, expanding a practice or acquiring an existing practice.
Bank of America Practice Solutions loan types
One positive aspect of BofA’s structure is that it has dedicated staff for each type of medical professional. This is by design and provides borrowers with help from someone who has an understanding of the specific profession.
Bank of America dental loans
Dentists looking to start their practice can turn to BofA for financing through dental practice loans. Within the Practice Solutions division, there’s a dedicated team of BofA representatives working specifically in the dental space.
Dentists who take out a loan through BofA’s Practice Solutions receive more than just financing. BofA prides itself on providing comprehensive help to healthcare professionals, including dentists. Dental representatives understand all of the ins-and-outs of operating a dental practice, including:
- Understanding the cash flow of a dental practice versus a specialist’s practice
- Standard operating costs
BofA reps also have an extensive network of partners that can assist you, such as contractors, distributors, certified public accountants, dental-specific attorneys, architects, marketing firms, and more.
Bank of America physician loans
BofA also offers loans for physicians and optometrists. For startup loans, you’ll have a dedicated project manager to help you as you plan for your future practice.
Other loans are available too. Whether you need to purchase new equipment, remodel your office or get some working capital, BofA Practice Solutions loans can help.
Medical loans have either interest-only or graduated payment structures, and 100% financing is available on startup loans. Loan amounts are available up to $5 million.
Bank of America veterinary loans
Similar to other BofA loans, there are loans for veterinarians to meet financing needs. New veterinarians looking to open a new practice can get funding and much more from BofA. Dedicated staff work with you to understand your target market, find the perfect location for your practice, and how to attract ideal clients.
As new equipment is needed, you can use a BofA loan to get your practice where it needs to be to compete and stay profitable.
If you’re thinking of adding another location or want to consolidate debt, there are loans to help with that as well.
Bank of America borrower requirements
Like any loan, Practice Solutions has some benchmarks for prospective borrowers. For medical professionals, here are the basic requirements to receive a Practice Solutions loan:
- Have a license as a dentist, veterinarian or medical doctor with one year of practice experience
- Have a clean license with no adverse action against you
- Show liquidity for a potential buyer around 10% of the purchase price for new or existing practice
- Keep personal debt less than $30,000
- Maintain an average credit score above 680
Not meeting all of the following requirements doesn’t necessarily disqualify you from receiving a loan. BofA utilizes representatives called Practice Specialists to work with medical professionals on securing loans.
Details you should know about BofA Practice Solutions loans
Because of the varying nature of Practice Solutions loans, Bank of America doesn’t publish details of rates, terms and fees online Here’s what we do know about BofA’s medical practice loans:
- $5 million maximum amount that can be borrowed for medical practice loans
- No traditional origination fee, unlike most lenders. This is a fee charged when the loan is first originated. There is a $600 administrative fee with most BofA practice loans. This fee may be waived in some cases if you’re affiliated with select professional organizations.
- Prepayment penalties apply to some BofA loans, which are paid for five years.
- No administrative fee for credit line loans. But there is a $200 activation fee.
- You can customize your loan terms, though most BofA medical practice loans are between 10 to 15 years. Practice specialists can work with you if you need customized loan terms outside that range.
- Other fees and discounts may apply, depending on the type of loan and various loan details.
BofA works with medical professionals to find the best loan solution possible. To get detailed information on interest rates and terms, contact BofA directly. Practice Solutions is separate from the banking division, so you won’t find information on these loans at a local BofA branch.
Where can I get more information?
Whether you are interested in applying for a medical practice loan or want more detailed information about the loan process, you’ll need to contact Bank of America Practice Solutions directly.
To get more information, you can speak to a Practice Specialist on their toll-free phone line at 877-666-0818 and mention Student Loan Planner as the referral source. They can help you determine your specific financial needs and whether you qualify for a medical practice loan.
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