What Is an MCP and How It Can Help Your ASC Secure Capital in 2026

What is an MCP?

An MCP (Medical Center Program) is a pooled financing structure that allows multiple healthcare entities, including ambulatory surgery centers (ASCs), to obtain a single, larger credit facility at more favorable terms.

Why ASC owners consider an MCP in 2026

• Lower interest rates – lenders price MCP loans on the combined credit profile, often delivering rates 0.5%‑1% below standalone loans.
• Higher borrowing limits – a joint facility can fund multi‑site expansion, major equipment purchases, and working capital in one package.
• Streamlined administration – one loan agreement, one set of covenants, and a single reporting cadence simplify compliance.
• Risk sharing – if one ASC faces temporary cash‑flow strain, the program’s broader balance sheet can absorb short‑term volatility.

According to the U.S. Small Business Administration, SBA‑backed financing for health‑care providers, including ASCs, grew 12% year‑over‑year in 2025, reflecting growing appetite for collaborative loan structures like MCPs.

The Federal Reserve’s Q4 2025 report showed that average interest rates on commercial medical equipment loans hovered around 6.3%, while MCP‑backed deals reported rates closer to 5.5%, confirming the pricing advantage of pooled credit.

ASC financing options 2026: where MCP fits

Financing option	Typical use case	Interest range (2026)	MCP compatibility
SBA 7(a) loan	Working capital, acquisitions	5.5%‑7.0%	✔︎ (as a participant)
SBA 504 loan	Real‑estate & equipment	4.8%‑6.2%	✔︎ (via program equity)
Traditional equipment loan	New surgical tech	6.0%‑8.0%	✖︎ (stand‑alone)
Medical Center Program	Multi‑site build‑outs, equipment, debt consolidation	5.0%‑5.8%	N/A
Private equity	Rapid expansion, high‑growth niches	8%‑12% equity stake	✔︎ (can provide mezzanine)

How to qualify for an MCP (step‑by‑step)

1. Assemble a qualified participant group – Identify partner ASCs, physician groups, and ancillary service providers that meet the lender’s size and credit thresholds.
2. Prepare consolidated financials – Combine balance sheets, cash‑flow statements, and tax returns for all participants; lenders typically require a collective Debt‑Service Coverage Ratio (DSCR) of 1.25 or higher.
3. Develop a unified business plan – Outline the capital need (e.g., orthopedic surgery center expansion), projected revenues, and how the MCP will allocate funds across participants.
4. Engage a lender experienced in MCPs – Banks such as Bank of America Health Finance and Wells Fargo Healthcare Lending have dedicated MCP desks.
5. Submit the joint application – Provide the aggregated financial package, security documents (real‑estate and equipment liens), and individual guarantor statements.
6. Negotiate program terms – Focus on interest rate floors, covenant structure, and the allocation of borrowing capacity among members.
7. Close and fund – Once approved, funds are disbursed according to the agreed schedule; each ASC can draw down its designated portion as needed.

Key qualification metric: A combined credit score of 680 or higher across participants typically satisfies most MCP lenders.

Pros and cons of using an MCP

Pros

• Cost savings – Lower rates and fees due to pooled risk.
• Scalability – One facility can finance multiple projects or sites.
• Flexibility – Mix of construction, equipment, and working‑capital draws.
• Stronger negotiating power – Larger loan size gives ASC groups leverage with lenders.

Cons

• Complex coordination – Requires alignment among multiple owners and legal entities.
• Shared covenants – A breach by one participant can affect the entire program.
• Longer approval timeline – Consolidated underwriting can add weeks to closing.

Frequently asked quick answers

Can an ASC use an MCP for equipment leasing?: Yes, MCPs can fund or lease equipment, often bundling leases with purchase financing for better terms.

What’s the typical loan‑to‑value (LTV) ratio for MCP real‑estate loans?: LTVs of 70%‑80% are common, matching the ratios seen in standard commercial real‑estate financing.

How does an MCP affect my ASC’s credit rating?: The MCP appears as a single liability on each participant’s credit report, so timely payments can improve individual scores, while defaults affect all parties.

Bottom line

An MCP lets ASC owners pool resources to obtain larger, cheaper loans that cover construction, equipment, and working capital in one streamlined package. By meeting collective credit standards and presenting a solid joint business plan, your surgery center can unlock financing that would be out of reach on its own.

Ready to see if your ASC qualifies for an MCP and compare current rates?

Disclosures

This content is for educational purposes only and is not financial advice. surgerycenterfinancing.com may receive compensation from partner lenders, which may influence which products are featured. Rates, terms, and availability vary by lender and applicant qualifications.