Running a medical practice of any kind can be challenging. Not only will you need to establish yourself as a medical provider, but you will also need to hire, train, and manage employees while setting up and running equipment safely and effectively. In addition, ensuring your practice is profitable will also be a priority. Thankfully, help is available especially in regards to your medical equipment, such as diagnostic testing machines, computers, and laboratory equipment. Here are a few benefits of investing in professional appraisal of your medical equipment.
Know Most Accurate Equipment Value
Knowing the actual value of your equipment is important for a few reasons. Even though you have receipts stating what you paid for each piece of machinery and equipment, knowing its current value is imperative.
Having the current value of your equipment documented by a professional appraiser will ensure you have the legal proof of value, which can be important if you need to file an insurance or warranty claim. It can also be helpful if you need to sell the equipment when closing your practice or upgrading the equipment.
Know Depreciated Value
Your medical equipment will not appreciate in value over time. Age, constant use, wear and tear, and an expired warranty will cause the items to lose value, no matter what their make and model is. Having the equipment appraised will ensure you know how they are depreciating, which can be beneficial for your medical practice/business.
Medical equipment is a tax deduction for your business, so you will want to be able to deduct as much as possible, especially if the equipment has depreciated. Having an appraisal in hand will ensure you deduct the depreciated value from your total business expenses. This will reduce the amount of taxes you pay at the end of the year.
Proof for Insurance Purposes
A professional appraisal will benefit you in regards to any insurance purchases and claims you need to make.
For example, when you are first starting up your practice, you will need property and business insurance. This insurance will protect you and your finances if any issues arise that threaten your actual business, equipment, and medical license.
Knowing an exact value of your equipment, which is accomplished through an appraisal, will help you determine if you have enough insurance coverage. The appraisal will also be helpful when filing a claim with the insurance company, which will increase the likelihood that you are paid properly if any of the equipment is damaged or stolen.
Accurate Value of your Practice
Lastly, having a professional appraise your equipment will help you determine the most accurate value of your entire practice. This appraisal will be useful if you are selling not only the actual equipment but also the entire practice.
The appraisal can also help appeal to potential investors, who want to work with you to grow your practice. A higher appraised value will be more attractive to investors who are wanting to continue growing and increasing the practice's value.
Knowing the value of your entire practice is also useful if you are considering offering stock ownership and other benefits to your employees.
Finally, knowing the entire value of your medical practice is important for estate-planning purposes. The appraisal can be used to minimize estate taxes to increase what your heirs or beneficiaries will keep/inherit from your estate.
No matter if your medical practice is big or small, new or established, profitable or unsuccessful, an appraisal of your practice, property, and equipment is essential. This guide will help you understand the reasons to invest in a professional medical equipment appraisal.