Lean Technology Leasing Strategy for Hospitals

Having evaluated thousands of leases over the past quarter of a century, we know exactly how to achieve operational excellence for our hospital clients and help them develop and maintain the most advanced and cost-effective leasing programs in the country.

Standard Practices vs Best Practices

You sign lessors contracts

vs.

Lessors sign your custom-made contracts

Bids from a few lease providers

vs.

National RFP including only top-tier and highly vetted lease providers

Transactional pricing

vs.

Hospital-wide pricing

Unknown exit/termination costs

vs.

Defined exit/termination costs

Leasing company manages your KPIs and metrics

vs.

Your advocate manages KPIs and metrics

“Your guidance...has no doubt saved Phoenix Children’s Hospital hundreds of thousands if not millions of dollars”
- Dennis Bruns, VP of Finance

What We Do

It is likely that your hospital leasing spend is 25% higher than necessary on technology leasing.

We ensure that your hospital's financial interests are secured, both today in terms of immediate budget pressures, and in the future when contracts are terminated or technology changes.

How We Do it

1. Consolidate leasing spend, hospital-wide

Most hospitals lease one asset or one asset class at a time, and others by department. Few executives are aware that medical centers can leverage their total leasing spend through our facilitated RFP process hospital-wide, garnering the best rates and terms from leasing companies around the country and applying those terms consistently to every asset leased. Optimus will be your go-to contact for lease providers and your internal hospital stakeholders.

2. Contract and lease provider vetting

Lease payments are a loss leader for leasing companies. The true cost of a lease must include what is embedded in the lease contract. These byzantine terms, which seem standard and harmless, add 20% to 50% in cost to every transaction. We thoroughly vet potential leasing contracts and relationships for immediate and long-term compatibility and competitiveness, without financial conflict of interest.

In so doing, we uncover and eliminate excessive lease spending, conflicts with technology replacement cycles, eliminate financial surprises, and create an audit path to gain a comprehensive understanding of your hospital’s leasing spend.

3. Ongoing compliance, maintenance, and monitoring

Having reviewed thousands of lease transactions over the past quarter of a century, we have found that approximately 70% of leases contain material errors in agreed-to pricing and contract terms. As your go-to contact we will be responsible to confirm and correct any errors before they get to your desk for signature. And throughout the lease term, we will be there to field issues as they may arise, and monitor your portfolio and financial health, creating an audit path to gain a comprehensive understanding of your hospital’s leasing spend and key performance indicators.

Is it Really That Bad?

We meticulously review your contracts to optimize your lease portfolio.

Optimus is not a leasing company, but we know the industry just as well. We are cost-reduction consultants who specialize in lowering technology leasing costs and eradicating waste. Our clients have lease portfolios of $10 million or more, which translates to saving them millions of dollars. The following example illustrates just one of 32 lease terms that are in almost every hospital operating lease that will prove to be detrimental to your bottom line.

WHY IS OPTIMUS ABLE TO HELP SO MANY HEALTH CARE PROVIDERS?

We exist because lessors capitalize on knowledge imbalance between themselves and their customers. The universal source of hidden costs in every lease is the contract. In fact, our experience has shown that most hospitals are spending 25% more than necessary on their equipment lease spend because they are signing contracts crafted by leasing company legal counsel, not their own.

The total cost of leasing cannot be calculated, planned, measured, compared or known, without advanced and deep understanding of certain key provisions. Examples include:

ISSUE

IMPACT

Commencement Date

Time of year triggers a lengthening of the agreed to term which raises the interest rate and can convert an operating lease into a capital lease.

Software

Many software lease agreements contain language that will double the cost of the software by the end of the term.

Midterm Technology Change

Incremental, upward repricing of the new lease and inclusion of non-disclosed termination costs.

End of Term Purchase Options

Language allows interpretation to be 125% to 200% of arm's length fair-market value.

Forced Renewals

We regularly witness leases that have been extended for years, costing hospitals millions of dollars.

Healthcare lease optimization specialists

Jay Zeinfeld is our founder and President. With over 25 years of experience serving c-suite executives, Jay’s unique understanding of the complexities of lease transactions and its impact on client goals and financial statements, has resulted in Optimus clients saving uncountable millions of dollars and increasing enterprise value.

Contact Jay
Direct - 949.270.2402

Rich Boyd is our Senior Vice President. He and his team are responsible for quality control at every level of client and leasing company interaction. He has been with Optimus for over 19 years and brings unmatched operational and problem solving experience to our clients.

Contact Rich
Direct - 949.270.2403

take the first step

Contact Optimus to learn more or to schedule a complimentary consultation with our lease optimization specialists.

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