Practice drawdown loans - bring your ideal practice to life 

Avant Finance’s practice drawdown loans help doctors turn their practice vision into a reality.

Medical reception

No matter whether you are renting or buying the space for your consulting rooms, you’re likely to start out with a blank canvas. 

This gives doctors an exciting opportunity to create the practice suites they have always wanted. 

The downside is that fitting out a commercial property can be expensive.  

Even if doctors have the cash available to fund a complete fit-out, it can make better commercial sense to consider a practice drawdown loan.  

Put simply, a practice drawdown loan can be very cashflow-friendly. 

But the benefits go further. 

How practice drawdown loans for doctors work 

Daniel Pike is one of Avant Finance’s NSW Relationship Directors. He brings 10 years of experience to his clients, and as he explains, there are multiple benefits to using Avant’s practice drawdown loan. 

“With Avant Finance’s practice drawdown loan, a doctor will be given approval for a set borrowing limit. This approval lasts for a fixed period, which can be up to 12 months,” says Daniel.  

As the builder completes various stages of the fit-out, they send their invoice for that stage to Avant Finance. Once paid, the invoiced amount is drawn down from the doctor’s practice drawdown loan.

Avant Finance recognises that medical professionals do not earn revenue on a fit-out while the project is underway, so, it is an option to make no repayments until the fit out is complete.  

As a further plus for cashflow, interest only accrues on the balance drawn down.  

When the fit-out is complete, Avant Finance tallies the invoices paid, and converts the balance to a term loan, usually with a repayment term of seven years.  

Daniel explains, “Avant Finance typically splits the loan into two, with one component covering any practice equipment, and the second loan relating to fit-out costs such as floor coverings, internal and external painting and so on.” 

Avant Finance takes this approach because these two components can often be depreciated differently (always speak to your tax professional regarding depreciation claims). By splitting the loan, tax reporting can also be simplified. 

Practice drawdown loan helps Sydney GP grow her practice 

Avant Finance’s practice drawdown loan for medical professionals can be used to establish a new practice or renovate an established practice.  

Daniel recently arranged a practice drawdown loan for a GP whose long-established practice had outgrown its current premises.  

The doctor, a single practitioner, found an appropriate space that offered improved street presence plus increased floor size.  

Danial explains, “The conversion of the property to medical suites was seamless as Avant Finance was able to recommend an experienced fit-out company. We managed all the invoice payments leaving the doctor free to concentrate on her practice.” 

“The doctor was also able to negotiate a contribution to the fit-out costs by the property owner, which helped to reduce the cost. This is something we are seeing a lot of at present given the softness in some commercial property markets.” 

As Daniel notes, “Not upgrading to a new practice space can see doctors left behind. Even something as simple as changing existing floor plans can see medical professionals add consulting rooms or make spaces more functional, which can drive increased revenue.”  

For more information on creating your ideal consulting space, call Avant Finance on 1300 99 22 08, or request a free consultation with one of Avant Finance’s medical finance specialists. 

Interested in a practice drawdown loan for a practice fit-out?


*Eligibility criteria, terms and conditions, fees and charges apply. Contact us for further details.

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