Capital Equipment

What is capital equipment?

Capital equipment are expensive physical devices that help generate income for healthcare organizations. Hospitals define a price mark at which a piece of equipment becomes capital for them. Sometimes, organizations bundle lower-priced equipment together to meet the price mark.  

Capital equipment may vary in size but must be durable. However, their use life can depreciate over time.  

Both standalone equipment and supplementary equipment, like software, are capital.  

Capital equipment includes: 

  • Drug admixture robotics 
  • IV poles 
  • Medication management pumps 
  • Syringe pumps  

Why is capital equipment important to healthcare?

Capital equipment is important to healthcare because it can produce additional revenue for healthcare organizations. Essentially, these pieces of equipment are a significant investment that organizations make with the expectation that they will return on the investment over time. Healthcare organizations can theoretically offer more services or better care with capital equipment and more revenue.