Procurement of medicines is considered as finance

It is a part of supply chain finance.

For hospitals, the most important expenditure is procurement, including the purchase of medical equipment and drugs. And around these two products, two different types of financial models have arisen namely supply chain finance and financial leasing. Supply chain finance is mainly generated around the distribution of drugs. In the procurement of medical equipment, financial leasing is a common financial model. Medical institutions only need to pay a small amount of capital to obtain the right to use, operate and earn income from medical equipment, while the lessor mainly profits from charging fixed interest.

For hospitals, they are able to procure medical equipment and drugs smoothly through financial leasing and supply chain finance. Doctors don't have to rely solely on the government and corporations for their medical research, but can also raise funds for their research through crowdfunding. The financial models from the patient's perspective are even more varied, and are essentially the construction of a medical payer.