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Today’s capital budget and financing practices were developed to acquire traditional “brick and mortar” facilities. It goes thru meticulous detail to avoid a mistake, since recovery is so painful. Besides, one is betting they know what the value of the asset will be 30 years from now.
Is your facility an asset or a liability? Do you know what happens when a concrete legacy is converted into a recoverable asset thru RAD’s innovative design? Well, it changes just about everything about how a capital planner views and treats it. The new radiotherapy cancer center, medical oncology facility or clinical/lab space is now personal property, or equipment, which can be depreciated under accelerated formulas. It can be rented instead of purchased and moved as easily as one moves a piece of equipment like an accelerator.
The 20 or 30 year view of the planners is now shortened to the 3 to 7 year view of the current business plan. The location is no longer as vital since it can change. Capital dollars are no longer needed and internal rate of return formulas are enhanced to the point of “unbelievable”.
When you are tired of hearing why it will take so long, why it will take another budget cycle or how the situation is just too fluid for a decision….