How To Purchase Used Medical Equipment Article

How to Purchase Used Medical Equipment

Purchasing used diagnostic imaging systems can be difficult if you haven't purchased before. Although it certainly isn't rocket science, there are a number of issues that need to be addressed to insure you receive the best possible solution at the most competitive price. We have put together a checklist of things you should address when purchasing used systems.

A) Finding a Reseller
Identify resellers who specialize in providing the specific system you wish to acquire. A quick Google search will list many potential suppliers.

You don't want to solicit an organization that primarily provides certain specific modalities but may have another modality available and offers it to you. Check supplier web sites and make sure it appears they specialize and are experienced with the system you want to purchase.

B) Checking the Reseller
Check out the resellers and verify they are members in good standing with trade organizations such as IAMERS (International Association of Medical Equipment Resellers and Services) or similar organizations who can verify they are ethical and qualified suppliers.

Often, organizations develop great web sites and talk a great game, but unfortunately many times the people work out of their garage and are not qualified to supply the system you need.

C) Identifying the System
Identify the system you wish to acquire including manufacturer, model, features, options, age and condition.

You don't want to waste your time and the supplier's investigating, for example, a 1987 Phillips BV-25 C-arm with a 6" II, standard software and in working condition when you need a GE/OEC 9800 with 12" II, vascular software and fully refurbished.

D) Creating a Budget
Establish a budget based upon the market price of the system you are considering purchasing. Although you may have to adjust the budget slightly after you have received detailed proposals, in general, you can quickly decide if the system you want to purchase is within the cost planned.

Often buyers want the latest and greatest system but only have funds available for something much less recent. You can save everyone time if you understand what you can afford to purchase.

E) Counting All the Costs
Understand if you need to consider other costs associated with the project, such as facility renovations, shielding, available power, associated equipment like tables, network/PACS interfacing, training, etc.

Avoid not understanding the entire project before you commit funds to the purchase of the system. Many times the associated project costs can be greater than the system costs.

F) Requesting a Proposal
Request proposals and allow each supplier to understand the full scope of the project, amount budgeted, time period to respond and the preferred system specifications. You may also request a secondary alternative if you are willing to consider these.

Some buyers believe if they don't let the reseller know how much they have budgeted, they might get a lower price. This almost never happens. Generally what happens is the resellers are put into a position of not fully understanding the request and will raise the price as not to get caught quoting too low and then begins the cat and mouse negotiations bringing the price to a competitive level. Much wasted time and energy.

G) Evaluating the Proposal
Evaluating proposals may be the most important part of the process. Although price is certainly a primary concern, what you are getting for the price is equally important. Look for a warranty that provides enough time that you can confirm the system is acceptable and time enough to locate a local support contractor to maintain it after the warranty period has ended. Compare features, options, age, deliverty time and delivery costs.

Too often users fall in love with a low price and don't bother to properly evaluate the proposal or the organization offering it - this is a sure path to disappointment and many potential problems. Remember, if it sounds too good to be true, it probably is.

H) Accepting the Proposal
Accepting the proposal and entering into an agreement begins the process of acquiring the system. If you use the reseller's agreement as your purchase documentation, be sure the terms of sale are clear and do not represent potential problems down the road.

Although the terms and conditions on most agreements are more or less boiler plate type provisions, sometimes unfair terms are slipped in and can result in the loss of money or a contract dispute. You may want to send it to legal consel if you are unsure of any terms or conditions.

I) Payment
Payment terms generally require a significant deposit payment with the order, usually 50% followed by a 40% payment when the system is shipped and the remaining 10% upon successful operation of the system. Resellers generally are required to purchase the equipment they are selling with a 100% payment prior to pick up, therefore, only receiving a 50% payment with the order does not allow them to realize profit until the system is shipped and/or installed.

There have been a number of organizations who have accepted deposit payments and either did not ship timely, correct systems or in some cases, at all. These organizations can be identified by checking references, IAMERS, similar trade organization or the BBB.

If you follow these steps, purchasing pre-owned systems can provide tremendous value through updating older systems with more capability as well as reducing acquisition/capital costs. NCD Medical Corporation has provided hundreds of systems to hospitals, imaging centers, clinics and physician practices. We are members in good standing of IAMERS and provide outstanding customer service and support, both pre and post sale.

Contact Us Today: 440.953.4488 or email

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