Insightful Valuations and Strategic Advice Related to Practice Acquisitions
Health care reform and the challenging reimbursement environment are creating a wave of merger and acquisition activity among hospitals and physician groups. Hospitals and health care systems are aggressively acquiring physician practices to better position themselves to face reform and to maintain or grow market share. Understanding the true value of a physician practice is a prerequisite to a successful integration that optimizes financial and operational performance. SullivanCotter’s Physician Practice Valuations Group has extensive experience evaluating and negotiating purchase and sale transactions of community-based and academic physician practices to ensure that clients receive objective advice and independent valuations.
DUE DILIGENCE TODAY REDUCES UNHEALTHY SURPRISES TOMORROW
We walk our clients through the valuation process, providing an in-depth understanding of the market forces, regulatory environment and operational infrastructure that drive a successful transaction. Our medical practice valuations provide a comprehensive analysis of both tangible and intangible assets and how they contribute to the fair market value of a physician practice. This includes integrating physician total compensation assumptions, based on productivity and industry benchmarks, into the value of the new enterprise to ensure a competitive return on investment.
SullivanCotter’s expertise encompasses the following:
- Evaluating and negotiating purchase and sale transactions of community-based and academic physician practices.
- Developing strategic business plans aimed at optimizing the financial and operational performance of medical practices and integrated delivery systems.
- Analyzing physician compensation practices for reasonableness based on market experience and benchmarks.
From due diligence to fair market value assessments, we can support a large part of the entire process.