Chiropractic business loans can be used as working capital to bridge cash flow gaps and settle expenses such as payroll or rent. They can also serve as longer-term financing to expand the business, whether that means purchasing new chiropractic equipment, opening a new location, hiring more staff, or acquiring an existing practice.
In this article, we review the common types of chiropractic practice loans, the eligibility requirements you must meet to qualify for them, and the paperwork you need to prepare before applying. We wrap up with five best practices for evaluating lender offers, helping you secure the most favorable terms.
Redline Capital is a revenue-based financing company that has funded numerous chiropractors over the past decade. We employ a common-sense underwriting approach, making it easier to qualify, and you only need to submit a 4-month bank statement. Complete this short form and we’ll send you multiple offers within a few hours.
| Funding Features | Redline Capital Terms |
| Minimum loan amount | $30K |
| Repayment terms | Monthly and weekly |
| Minimum personal credit score | 600 |
| Minimum time in business | 12 months |
| Minimum monthly revenue | $30K |
| Collateral or cash reserves | None required |
| Loan options | Term loans, working capital loans, business line of credit, cash advances, and SBA loans. |
The 4 Common Types of Chiropractic Practice Loans
- Working capital loans: These are short-term financing products designed to help chiropractors cover cash flow gaps that arise due to insurance lag. This is the delay between when you deliver a service and when the insurance company actually reimburses you.
- Term loans: These are longer-term financing products that help business owners fund capital-intensive projects such as opening a second location, purchasing expensive equipment, or buying out a partner. Their duration ranges from 3 to 10 years.
- Business lines of credit: This is like a business credit card that gives you access to a certain amount of credit. The benefit of this over a regular term or working capital loan is that you only pay interest on the amount you use. As you repay the credit, you can use it again.
- Equipment loans: Chiropractors can use equipment financing to invest in new equipment. They can buy X-ray machines, chiropractic tables, adjusting instruments, or any other equipment purchases they need to run their business.
Requirements for Securing a Chiropractic Business Loan
The criteria you must meet to qualify for a chiropractic business loan vary from lender to lender.
The most common source of funding chiropractors turn to is large banks and their SBA (Small Business Administration) programs, which typically require:
- Personal credit of 720 or more
- At least three years of business history as a chiropractor
- Two to three years of tax returns
- Collateral like medical equipment, real estate, or personal bank accounts
- A comprehensive business plan
- Cash reserves equivalent to three months of operating expenses
- Client documentation showing that you have a client base of recurring business
- Explosive short-term growth
In addition to these strict criteria, we see that banks often don’t understand the intricacies of chiropractic businesses. For instance, they may view chiropractors as “alternative medicine,” and charge higher rates than doctors and dentists. They may also consider payment delays due to insurance lag risky. Factors like these, which are beyond your control and inherent to the industry, can reduce your chances of qualifying.
Because of this, we recommend applying with a revenue-based financing provider like Redline Capital, which has extensive experience in the chiropractic industry.
Revenue-based financing products are assessed based on your revenue rather than cash reserves, collateral, or short-term growth. This makes qualification much easier as you only need to meet three criteria:
- $30K in monthly revenue
- 12 months in operation
- A U.S location
An easier qualification also means you can qualify for larger financing limits than with banks. For instance, we frequently fund up to 200% of a chiropractor’s monthly revenue, while banks very rarely do more than 50%.
Additionally, we’ve been funding chiropractors for 10 years, so we have deep knowledge of how the industry operates. We know that chiropractors often face delayed payments due to insurance processing times, and we won’t reject your application due to this factor. We also don’t view your chiropractic practice as “alternative medicine” like big banks do, allowing you to secure similar rates as other healthcare professionals.
How to Apply for a Chiropractic Business Loan & Required Paperwork
The application process for a chiropractic business loan will depend on the lender. When applying at a bank, you’ll need to:
- Phone a branch near you, explain a little bit about your situation, and book an appointment to speak with a loan officer in person.
- Walk into the branch and talk with the loan officer about the product you want to qualify for, the amount, and the timeframe in which you want to close. The loan officer will give you a list of documents you must submit. This typically includes balance sheets, profit and loss statements, proof of collateral, proof of cash reserves, tax returns, and more.
- Once you submit the necessary paperwork, the bank will send it to its underwriters and conduct an appraisal of the collateral to confirm its value.
- After multiple weeks of underwriting, the loan officer will phone you to say whether you’ve been approved and send you the funds.
This long application and underwriting process makes banks an impractical financing option for chiropractors who need funds fast.
Fortunately, with Redline Capital, because we focus on your revenue and not all the factors banks do, we can underwrite and close in a fraction of the time, usually today or tomorrow.
- Submit four months of bank statements and complete this short loan application form. We’ll ask for the type of financing needed, amount requested, monthly revenue, and how long you’ve been in business.
- We run a soft credit check and underwrite your business’s revenue. We can do this in just a few hours because the only real paperwork is your bank statements. Within a few hours, you’ll receive multiple offers for term loans, working capital loans, business lines of credit, and equipment financing.
- Once you let us know which offer you prefer, you will receive the funds in your business bank account immediately.
If your initial application isn’t approved, we’ll present you with alternative financing options that you do qualify for. With most lenders, if they see you don’t qualify, they send you a rejection email and that’s it. They don’t give you any further direction, so you’re left to figure out funding yourself.
How to Evaluate a Chiropractic Business Loan Offer: 5 Factors to Consider
1. How much do you qualify for and how much must you repay?
The first and most crucial factor you should consider is the amount you qualify for and the amount you must repay. This is important because you don’t want to be tied to a high-interest loan, as it can eat into revenue that could otherwise be used to grow your business.
This is where Redline Capital excels, specializing in helping chiropractors secure financing at the lowest rates possible.
We can do this because we’re a broker with decade-long relationships with premium business lenders such as Credibly, OnDeck, and Rapid Finance. We deliver quality loan applications to lenders regularly, which helps them grow their lending business. In return, they give our applications preferential pricing, exclusive discounts, bigger limits, and wholesale rates, which aren’t available to one-off applicants.
Additionally, our lending partners are often willing to negotiate with us. If one of our applicants requires a higher financing limit, more flexible repayment options, or a lower rate than what the lender would usually offer, we can negotiate these conditions on their behalf. It’s uncommon for lenders to negotiate with individual applicants.
Read more: Top 5 Private Lenders for Business Loans & How to Choose
2. How much time do you have to repay the loan?
Another essential factor to evaluate in a lender’s offer is its duration. Longer durations mean you can repay the borrowed amount over a longer period of time and in smaller weekly or monthly payments. This makes it more manageable.
On the other hand, be cautious of shorter-term financing. Many lower-quality lenders push you toward short-term loans that are difficult for your chiropractic office to manage, as they come with larger payments. Avoid these offers because they mean you’d have to either dedicate a bigger percentage of your revenue to paying the loan or refinance it at the end of the term at a higher rate.
At Redline Capital, we tap into our lender network to help our clients secure the longest terms that they can qualify for. These are terms they wouldn’t typically qualify for applying on their own.
3. How quickly can the lender fund your loan?
Check how soon you can get access to the funds after accepting an offer. This is especially important for chiropractors who rely on financing to cover immediate expenses — like payroll, rent, or equipment repairs — while waiting for insurance reimbursements. You cannot wait weeks or months for funds.
When you apply with Redline Capital, we send you multiple offers that you qualify for within a few hours. Once you accept an offer, you receive the funds on the same day or the next.
With banks, credit unions, and other large financial institutions, it can take weeks or months to get your funds because of all the paperwork they must underwrite.
4. Do you need collateral to qualify?
Consider whether the lender asks you to provide collateral. This is very common among banks and larger lenders, but we recommend steering clear of any offers that require collateral.
If you cannot repay the loan, the lender has the right to seize and liquidate the collateral, which, in the case of chiropractors, may include equipment, cash reserves, or real estate needed to run their business.
Instead, opt for unsecured business financing as it presents less risk to your chiropractic office. With Redline Capital, all our offers are unsecured.
5. How reputable is the financing provider?
The final factor you should consider is the reputation of the lender issuing the loan.
From what we’ve seen, many subprime lenders will give you expensive, short-term financing offers and aggressively pressure you to accept them, knowing full well that it’s not the best option for your business. We’ve even heard of bad lenders phoning business owners non-stop and sending countless emails pressuring them to accept.
To avoid this, apply to financing providers with excellent online reviews and a proven track record of professionalism. For instance, with Redline Capital, we pride ourselves on putting zero pressure on borrowers to accept offers. When you apply, we’ll send you multiple offers that you qualify for, and then leave it to you. You are in complete control of whether to move forward.
Here’s what clients say about our fast closing process and zero-pressure approach.
Watch our case study videos to hear what clients say in their own words:
Get Started
See what terms and rates you qualify for by completing this short application and submitting four months of bank statements. Within a few hours, we’ll send you multiple offers for chiropractic working capital loans, term loans, lines of credit, and equipment financing.
Frequently Asked Questions
What types of business loans are available to chiropractic businesses?
Chiropractors can use a variety of business loans depending on their specific needs. For example, if they need to settle short-term expenses, a business line of credit can work well as they only pay interest on the amount used. If they need funds for longer term expansions, a 25 year term loan can work well since they come with lower rates and more manageable installments. Other kinds of loans include working capital loans, equipment financing, and SBA loans.
What are the eligibility requirements for chiropractic business loans?
The eligibility criteria you need to meet for a chiropractic business loan will depend on the lender you’re applying with. For instance, a revenue-based financing company like Redline Capital only has three requirements: earn $30K per month in revenue, be in practice for 12 months or more, and be located in the U.S.
What is the easiest business loan to get approved for?
Revenue-based financing is typically the easiest type of business financing to obtain. This is because revenue-based financing providers underwrite your revenue and not all the other factors that banks do, such as collateral, debt-to-income, cash reserves, and tax returns. As a result, you simply need to meet the minimum monthly revenue requirement to qualify; with Redline Capital, that number is $30K per month.
What is an SBA loan?
SBA loans are loans partially backed by a U.S. government agency called the Small Business Administration. This makes them less risky for lenders, which allows borrowers to qualify for lower interest rates than they typically would. Borrowers commonly use SBA loans to purchase or expand their business, refinance existing debt on more favorable terms, or buy equipment. The drawback is that it typically takes three months or more to receive your funds.