7 Reasons to Take a Professional Loan for Doctors

In the beginning of their careers, doctors may require some funds to establish and grow their clinics. However, since they’re just in the beginning of their careers, they might not have the funds required to start their practice readily. 

In these cases, a professional loan can be a lifesaver. A professional doctor loan is a personalised credit offering that’s offered to professionals such as chartered accountants and doctors that are looking to start or grow their practice. 

Here are some reasons why a doctor should take out a professional loan: 

  • Setting up a New Practice 

If you’re a qualified doctor, chances are you might be considering opening up your own practice. This could be a huge professional milestone. However, it could also get expensive as setting up a new practice requires a lot of money. You might not always have access to this kind of money, but don’t let that discourage you. Given your professional qualifications, you will be able to get a professional loan to fund the setting up of your practice. 

  • Staff Upkeep

A good clinical practice requires experienced and dedicated staff. Hiring and retaining staff can be an expensive affair but of course, it eventually pays off. A number of types of manpower is required to keep a clinical practice running, this includes housekeepers, receptionists, technicians, nurses, etc. In order to help fund the hiring, training and retaining of good staff, it might be a good idea to take a professional loan. 

  • Expansion or Renovation

A clinical practice often requires the best-in-class equipment and infrastructure to ensure smooth operation. However, this can get quite expensive. By opting for a professional loan, doctors can fund the expansion and renovation of their clinical practice which will help take their business to new heights. 

  • Purchase of Medical Equipment

One of the biggest expenses that you might incur while setting up or expanding your clinical practice is purchase of equipment. Medical equipment can be extremely expensive and as a result, are impossible to purchase without some financial assistance. At a time like this, you can get a professional loan which will give you access to the funds required to purchase the essential equipment. 

  • Administrative Costs

There are a number of costs associated with running a clinical practice. This can include purchase of licences, cleaning and maintenance costs, rent, utility bills, etc. These costs may sometimes be difficult to tackle without some financial assistance. To help you cover such operating costs, you can take out a professional loan. 

  • Train Existing Staff

The medical field being a highly technical one, requires medical professionals to be up to date with the latest medical practices and treatments. Post education, it’s difficult to enforce continued and standardised learning. To ensure that your staff are keeping up with the latest industry standards, it’s important to invest in training and educational programmes that will benefit your staff and your business. 

  • Advertising and Marketing 

Your practice might have the best in class treatments and facilities but if it’s not in front of the right kind of audience, all your efforts might be in vain. This is it’s important to take up some marketing and advertising exercises which will help improve your as well as your practice’s brand image. This will not only help bring in new customers but also retain existing customers. 

Eligibility Criteria for a Professional Loan

Whether you’re a self-employed medical professional or a salaried medical professional, there are some eligibility parameters that you must meet in order to qualify for a professional loan. Here’s the eligibility criteria for availing a professional loan as a qualified doctor: 

  • Must be between the ages of 22 and 65
  • Must have a minimum work experience of one year
  • Must earn a minimum monthly salary of ₹15,000

Other than this, depending on the loan provider and type of professional loan you choose, there might be other eligibility criteria such as high credit score and satisfactory credit repayment history. 

Documents Required to Apply for a Professional Loan

The documentation process for a professional is very simple and requires a few essential documents. Here are some documents that would be needed to help you get started on your professional loan application process:

  • KYC Documents
    • PAN Card
    • Address Proof 
  • Income Documents 
    • Financials for the past two years
    • IT Returns
    • Balance Sheet
    • Form 26 AS for the past 2 years
  • Bank Statements
  • Professional and Qualification Documents
    • Certificate of Practice 
    • Degree Certificate

If you’re a qualified doctor looking for funds to start or grow your clinical practice, a personal loan for doctors or professional loan might be ideal for you. It can help you set up your new practice, fund the hiring, training and maintenance of staff, renovation, purchase of new equipment and much more!

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