To Rent or Not to Rent There is always a lot of debate on the topic of owning or renting, whatever. We all immediately assume that owning it is the right choice, because why rent it when you can own it, right? Or maybe wrong? I will further discuss the advantages and disadvantages of renting a doctor's office, medical equipment, and office furniture. Medical Office or Headquarters The advantage of renting a medical office versus owning one is the release of working capital. With the money freed up from rent and not property payments, you can focus more on other aspects of the business. Additionally, there is the option to borrow funds if needed, unlike a commercial mortgage. A second advantage of renting a medical office is that you can choose where to rent. The rent can and should be lower than if you purchased the property. Leaving you with the option to rent in a great location with high traffic and away from the competition.Finally, when you are not the owner you are not responsible for maintenance on the outside of the building and for some leases you are not responsible for the inside. In any case, you will not be responsible for at least the exterior part of the building, once again freeing up more working capital. The downside to renting a medical office is that you lose out on the tax deductions that come with having a business office. mutual. Deductions include mortgage interest and property taxes. Another disadvantage of leasing is the possibility of obtaining additional income by becoming a building owner, i.e. owning the building and renting the offices. Owning an office space can also fund your retirement. By owning the office you can let the p...... middle of paper ...... a decision. After reviewing the advantages and disadvantages of renting a medical office, I recommend moving forward with selling the headquarters building and returning it to the owners. There are more benefits to renting a doctor's office than owning one. I also recommend that medical equipment be rented and not owned. Technology moves quickly for any medical company to keep up with new medical equipment. But I recommend buying all office furniture and not renting it. The risks involved in leasing furniture and not purchasing it are too uncertain. In conclusion, leasing has numerous advantages and disadvantages. Leasing works for some things but not for all. In the healthcare industry, it is to our advantage to rent a doctor's office and medical equipment, but it is not to our advantage to rent medical office furniture.