Loan Structures & Repayment Options for Dental Practices

Comprehensive guidance on structuring dental practice loans, choosing interest types, repayment periods, and understanding security requirements in the UK.

Understanding Loan Structures

Dental loans can be structured to suit practice needs, including fixed or variable interest rates, short or long-term repayment periods, and secured or unsecured options.

Interest Types

Fixed interest: predictable monthly repayments
Variable interest: may fluctuate with market rates
Blended options combining stability with flexibility

Repayment Periods

Short-term: faster repayment, lower total interest, higher monthly cost
Long-term: lower monthly payments, higher total interest

Security Considerations

Loans may require security against:

Practice property or assets
Equipment purchased via finance (Dental Equipment Finance)

Integration with Practice Finance

Loan structures should integrate with cash flow (Cash Flow Management), working capital (Working Capital Strategies), and acquisition or refurbishment plans (Refurbishment & Expansion Loans).