Ask These 3 Qs Before you upgrade Equipment
A new, high-tech ultrasound machine caught your eye at the last vet conference you went to.
It seems like a good investment.
It would replace that outdated machine your techs are always complaining about, plus you can afford it.
What you should be asking is if it is a smart investment.
You have a good feeling that getting that machine and making your techs happy would be a smart move.
But you need to do a strong once-over of your finances and processes to ensure that’s actually the case.
Here are 3 questions to ask before investing in new equipment:
Will this big purchase help me with year-end taxes?
Smart financial decisions also extend beyond immediate revenue.
Some equipment purchases may offer tax deductions or credits, providing a silver lining to the initial cost.
Consult with your accountant or a tax professional to maximize potential savings and make that big purchase a strategic move for your practice’s financials.
What will maintenance and training time cost?
Investing in new equipment involves more than just the upfront cost. You need to consider the long-term financial implications as well.
Factor in maintenance costs, including regular servicing and potential repairs, and account for staff training time. Determine if the benefits outweigh the financial setbacks over time.
Will this equipment be a time saver?
Before making a significant equipment purchase, assess its impact on internal processes. Will it streamline tasks, reduce wait times, or improve overall efficiency?
If the equipment promises to be a time saver, that will ensure it not only enhances productivity but can also translate into cost savings in the long run.
Ensure the investments you make in your practice always pay off by being conscious of your practice’s needs and diligent about profitability.
One way I track the profitability of practices is with key performance indicators (KPIs).
I list the 5 KPIs I think every practice should implement in my Guide to Tracking Practice KPIs.
