Our client, a US News and World Report “Top 50 Hospital”, had an ASC that was losing $50,000 to $100,000 per month and was only 66% utilized. R&L’s healthcare consulting solution was to implement syndication and joint ventures in which partnering physicians invested in the ASC. Physicians were not required to invest any capital other than stock price and the program was in compliance with the One Third Rule (Ambulatory Volume/Income). Partnering surgeons far exceeded these numbers.
KEY RESULTS
With physicians becoming active participants, quality, safety and efficiency of the ASC improved dramatically
Physician ownership investments resulted in 100% utilization of the ASC, as opposed to 66%, which then generated between $35,000 and $75,000 profit per month.
With 17 surgeon investors to date, the syndication period is still open. The first year ROI is 8.5%, with a second year projected at 15%.
Due to the number of surgeons leaving the competitions' facility to join our client’s ASC, the nearest competitor in the market was forced to close.
