Two New Healthcare Equipment Leasing Studies Provide Comprehensive Overview and Details of Healthcare Financing Marketplace.ARLINGTON, Va. -- $15 Billion In New Business Projected Over Next Two Years As Healthcare Equipment Sales in IT Systems, Outpatient Care Grow Two new studies were released today which provide complementary macroeconomic mac·ro·ec·o·nom·ics n. (used with a sing. verb) The study of the overall aspects and workings of a national economy, such as income, output, and the interrelationship among diverse economic sectors. overview and market-specific details for use by the equipment leasing Equipment Leasing is a financing option to lease equipment for a certain amount of time. Leasing Benefits
Revolutionary People's Struggle ), the non-profit association representing companies involved in the forecasted $248 billion equipment leasing and finance industry, and R.S. Carmichael & Co., Inc., a marketing research and management consulting Noun 1. management consulting - a service industry that provides advice to those in charge of running a business service industry - an industry that provides services rather than tangible objects firm, White Plains, New York For other places with the same name, see White Plains (disambiguation). White Plains is a city in south-central Westchester County, New York, about 4 miles (6 km) east of the Hudson River and , have released a new report, Healthcare Equipment Leasing: U.S. Market Dynamics and Outlook 2005-2006. The Equipment Leasing and Finance Foundation, a non-profit organization A non-profit organization (abbreviated "NPO", also "non-profit" or "not-for-profit") is a legally constituted organization whose primary objective is to support or to actively engage in activities of public or private interest without any commercial or monetary profit purposes. dedicated to enhancing recognition and understanding of equipment lease financing, released its study researched by the University of Virginia Darden School, Long-Term Trends In Healthcare: Implications for the Leasing Industry. Together, The Healthcare Financing Compendium com·pen·di·um n. pl. com·pen·di·ums or com·pen·di·a 1. A short, complete summary; an abstract. 2. A list or collection of various items. provides the most comprehensive information currently available on the dynamic healthcare market and its implications for the equipment leasing and finance industry. "These two studies provide thorough insights into the drivers of healthcare equipment leasing," said Ralph Petta, Vice President of Industry Services for the Equipment Leasing Association. "This is a tremendous resource for organizations in healthcare and equipment leasing to understand how the healthcare marketplace is financed and why." The ELA/Carmichael market study focuses on the leasing practices of healthcare providers, including hospitals, outpatient centers and physicians' offices. It also examines the market from the standpoint of healthcare equipment vendors and lease financing competitors. Highlights from the report include: --The estimated size of the U.S. healthcare U.S. Healthcare is a now-defunct healthcare company. The logo had an apple. The merger with Aetna In 1996, the company merged with Aetna, calling it Aetna U.S. Healthcare. The U.S. Healthcare apple logo was next to the Aetna name, and U.S. Healthcare under it. U.S. equipment leasing market in 2005 is at least $7.0 billion in terms of new volume. --The healthcare equipment leasing market is projected to exceed $8 billion in volume by 2007, attributable mainly to forecasted equipment sales growth (as opposed to significant gains in lease penetration). --Over the past five years the average annual rate of lease financing market growth in healthcare has been seven percent. --Healthcare equipment leasing is primarily a "middle-market" business, with most transactions in the $250,000 to $5 million range. --The hospital market represents a growth market for IT systems (e.g., digital radiology systems that store, retrieve, distribute and display medical images in digital format). --The outpatient care market, especially the ambulatory surgery center ambulatory surgery center A free-standing center that performs various types of surgery segment, also continues to grow as a market for lease financing. --When investment in all healthcare equipment is considered, lease financing penetration is relatively low and appears to be stabilizing due, in part, to reimbursement reductions, regulations affecting physician referrals physician referral A physician's recommendation to a Pt to consult another physician for a 2nd opinion. Cf Self-referral. , and a lack of awareness of leasing as a tool for equipment acquisitions. However, the upside potential Upside potential The amount by which analysts or investors expect the price of a security may increase. upside potential The potential price or gain that may be expected in a security or in a security average, generally stated as the dollar remains substantial although leasing companies will continue to see challenges in realizing the potential opportunities. "Equipment leasing continues to represent a fundamental source of capital financing for healthcare providers," said Richard S. Carmichael, Managing Director of R.S. Carmichael & Co., Inc., which conducted the study. "Healthcare industry conditions such as steady growth, capital budget constraints and rapid technological changes create opportunities for equipment leasing to make greater inroads inroads Noun, pl make inroads into to start affecting or reducing: my gambling has made great inroads into my savings inroads npl to make inroads into [+ ." The Equipment Leasing and Finance Foundation report features an overview of healthcare industry trends, a statistical analysis of leasing transactions and implications for leasing and finance organizations. Among the study findings: --The healthcare industry in 2004 represented a $1.8 trillion annual market that accounted for 15.4 percent of total gross domestic product (GDP GDP (guanosine diphosphate): see guanine. ). --Healthcare's share of GDP is expected to continue to increase every year to 2014 as healthcare expenditures growth are expected to outpace out·pace tr.v. out·paced, out·pac·ing, out·pac·es To surpass or outdo (another), as in speed, growth, or performance. outpace Verb [-pacing, GDP growth. --Small, professional firms are the most significant business form in the healthcare sector, followed by not-for profit organizations. --The critical element in improving the productivity of the healthcare industry and reducing its cost growth is capital investment in productivity improving technology that will substitute capital for labor. "Knowledge of both historical and future trends in the healthcare industry is key to participating in this marketplace," said Lisa Levine, Executive Director of the Foundation. "The Foundation study on long-term healthcare trends provides those and other critical perspectives on the healthcare industry." Media wishing an executive copy of Healthcare Equipment Leasing: U.S. Market Dynamics and Outlook 2005-2006, Long-Term Trends In Healthcare: Implications for the Leasing Industry, or to request future studies, please contact Suzanne Jackson at 434-972-7278, sj@FourLeafPR.com or Diane Johnson at 703-391-2056, diane@dtjorg.com. Full-color charts and graphics are available to the media for reprint reprint An individually bound copy of an article in a journal or science communication , free of charge. Organizations may download The Healthcare Financing Compendium from http://www.elaonline.com/ELAstore . About ELA Organized in 1961, the Equipment Leasing Association (ELA) is the premier non-profit association representing companies involved in the dynamic equipment leasing and finance industry to the business community, government and media. As the voice of the leasing industry, which is directly responsible for generating a minimum of three million jobs and $75 billion in GDP to the economy annually, ELA promotes the forecasted $248 billion industry as a major source of funds for capital investment in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and abroad. Headquartered in Arlington, Va., ELA has more than 750 member companies and a staff of 25 professionals. For more information on ELA, please visit www.ELAOnline.com. About The Equipment Leasing and Finance Foundation The Equipment Leasing and Finance Foundation is a 501c3 non-profit organization established in 1989 by the Equipment Leasing Association of America (http://www.elaonline.com). The Foundation develops and promotes the body of knowledge to enhance recognition and understanding of equipment lease financing. The Foundation's strategic objectives are to maximize the role that equipment leasing plays in the world economy, and to be the prime developer and disseminator of a body of knowledge of the leasing industry. Visit the Foundation online at http://www.leasefoundation.org. About R.S. Carmichael & Co., Inc. Founded in 1976, R.S. Carmichael & Co. is a leading marketing research and management consulting firm serving the equipment leasing field and other financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. industries. Based in White Plains, NY, the firm has a 30-year record of success in helping clients identify opportunities and develop actionable plans that are market-driven and factually based. Visit R.S. Carmichael & Co. at http://www.rscarmichael.com |
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