As time goes on, the line between healthcare and technology becomes more blurred. Technology and healthcare have worked together for decades, with many machines like CT scanners, sterilizers and automatic surgical tables becoming staples in hospitals and other medical environments.
Now, however, medical technology is presenting itself in new, less recognizable forms: wearable health monitors, smart scales and health-tracking applications, to name a few.
This relatively new type of medical technology is not usually created or manufactured by large companies made up of thousands of employees like medical equipment of the past. They’re made by smaller independent teams on tighter budgets. In fact, over 80 percent of the 6,500 medical technology companies in the U.S. have fewer than 50 workers.
Healthcare Technology and Small Business
As of 2017, the United States medical device market has a market size of around $156 billion and is responsible for around 2 million jobs with that number expected to increase in the future.
The growth is projected to take place mostly in sub-industries of the medical technology market in fields like:
- Irrigation apparatuses
- Surgical appliances and supplies
- Medical instruments
- In-Vitro diagnostics
- Dental equipment and supplies
- Electro-medical equipment
- Wearable health devices
- Software, apps and computer programs
The smaller companies that create, program and manufacture these new healthcare technology devices and software do not have access to as much funding as larger, more established medical technology companies do – but still are responsible for preventing, diagnosing and monitoring the health of their customers.
This is where medical technology factoring comes in.
Healthcare Technology Factoring
The field of medical technology is no longer being dominated by large corporations to push the limits and create new products. Small healthcare technology companies are the ones paving the way, creating devices, software and other tech that is more effective and less expensive than the traditional equipment from the past. From large machines that scan entire bodies externally to microscopic robots that diagnose health issues internally, medical technology startups have taken over.
Medical technology factoring, also known as healthcare technology factoring, is the process of selling unpaid invoices in exchange for funding. This funding can provide healthcare technology companies with the money needed to pay their employees, prototype their device and market their work to potential clients like hospitals, big-box electronics stores or online retailers.
In addition, healthcare technology factoring helps smaller business in the industry keep their cash flow regulated, working to offset the net 30 to net 90 payment system adopted by the majority of medical establishments.
If your company works in the medical technology sector and needs funding to offset business expenses, balance cash flow or market your product, give us a call or fill out the online form below.