Deciding how to invest your facility’s income when your practice needs new equipment can be intimidating, especially in the medical industry’s current climate of shrinking profit margins. However, a lack of revenue does not decrease the need for new tools and equipment, so many department managers and facility owners are left with an important decision. Which is better to invest in—new or renovated equipment?
To help you better allocate your facility’s monetary resources, let’s take a look at how to choose between new versus refurbished medical equipment.
Equipment Availability
Whether you choose a new or refurbished piece of equipment will depend heavily upon its availability. Sometimes, you may have no choice but to buy either a new or refurbished piece, depending on the market. There may come a time when supply and availability are low, but you urgently need that piece of equipment.
If your typical medical equipment supplier can’t meet current demands with new equipment, consider buying from a supplier with an inventory of refurbished equipment. If there is a large availability of what you’re looking for, then you can analyze other factors.
Overall Savings
Your budget is also a huge deciding factor, as your facility may not be able to afford new, top-of-the-line models. This may go without saying, but refurbished equipment will almost always cost less than new equipment.
Keep in mind that just because the equipment is refurbished doesn’t automatically mean it’s of lower quality. It simply means that the device was used by a previous owner, and the manufacturer has replaced the worn-down parts. If you work with a reputable supplier, you’ll still receive a functional piece of equipment, but it may not have all the bells and whistles of a new model.
Warranty Quality
The overall warranty length will vary depending on the type of equipment you choose. Typically, new equipment will have a longer warranty, usually around a year or so. Refurbished equipment will likely have a shorter warranty, and this length can change drastically from supplier to supplier.
Some refurbished warranties will only last about 90 days, while others may last up to six months. Depending on what you’re comfortable with and how much you paid for the equipment, you may want to search for a supplier that offers a longer warranty.
Level of Risk
People often think that the words “refurbished” and “used” are synonyms, but they’re not. Used medical equipment has not had worn-down parts replaced by the manufacturers. As mentioned, refurbished equipment will have the same level of functionality as new equipment because the necessary parts have been replaced.
However, that does not mean there isn’t some level of inherent risk that comes with refurbished equipment. With new equipment, you don’t have to worry about the supplier using shoddy replacement methods to make a quick buck. That’s why you have to work with a supplier you know you can trust if you’re buying refurbished medical equipment.
At Future Health Concepts, Inc., there’s a reason why we’ve been in the business for over 40 years—we make it easy to choose between new versus refurbished medical equipment. That’s because we continuously supply facilities with medical equipment they can rely on, regardless of the price. We’ll always do our best to get you the tools and equipment your practice needs, all within your budget.