BVR's Guide to Physician Practice Valuation is the essential resource for understanding the complexities inherent in physician practice valuation, whether for sale to a hospital, private equity firm, or to another physician. Edited by renowned healthcare valuation thought leader Mark Dietrich, CPA/ABV, the guide provides healthcare administrators, appraisers, and attorneys with current and comprehensive "how-to" guidance on valuation approaches.
In this second edition of BVR's Guide to Physician Practice Valuation, Dietrich and other top healthcare appraisal experts including James Pinna, Todd Sorensen, James Lloyd and Greg Anderson further explore the not-so-subtle nuances of unique issues like coding analysis, ancillary technical component revenue, "incident to" billing for mid-level providers, accounts receivable and aging, benchmarking, and normalization of expenses. Plus, they discuss how the Anti-Kickback Statute and Stark Law continue to impact valuation.
"The consensus today, including that of many of the contributors to this guide, is that future physician compensation is typically a more significant element of a transaction than is the value of the practice."
Mark Dietrich, editor of BVR's Guide to Physician Practice Valuation
This second edition features several updates and new chapters, including:
- Assessing Intangible Value in a Physician Practice Acquisition
- A Sample Valuation Report Table of Contents for Physician Practices
- Valuation Solutions for Special Situations with Medical Practices
- Section I: Practice Buy-Ins, Buy-Outs, and Mergers
- Section II: Other Special Circumstances - Non-competes, Divorce
- Bradford Regional Medical Center: Lessons for the Inexperienced
- Identifying and Measuring Personal Goodwill in a Professional Practice: Basic Concepts and Using the Single Period Capitalization Model
- Why Transactions Structure Affects Value and Other Nuances of Valuing Medical Practices
- What Goes Around Comes Around: Derby v. Commissioner
- Lost Profits for Physician Practices
Practical guidance, coupled with adherence to professional and regulatory standards, define the Guide to Physician Practice Valuation.
Table of Contents
Chapter 1: The Healthcare Economy
Chapter 2: Healthcare Market Structure and its Implication for Valuation of Privately Held Provider Entities: An Empirical Analysis
Chapter 3: The Anti-Kickback Statute and Stark Law: Avoiding Valuation Referrals
Chapter 4: Bradford Regional Medical Center: Lessons for the Inexperienced
Chapter 5: Assessing Intangible Value in a Physician Practice Acquisition
Chapter 6: Choosing and Using the Right Valuation Methods for Physician Practices
Chapter 7: Sample Valuation Report Table of Contents for a Physician Practice Valuation Report
Chapter 8: Valuation Solutions for Special Situations with Medical Practices;
Section I: Practice Buy-Ins, Buy-Outs, and Mergers;
Section II: Other Special Circumstances; Non-competes, Divorce
Chapter 9: Critical Condition: A Coding Analysis for a Physician Practice Valuation
Chapter 10: Understanding and Using the Technical and Professional Component of Ancillary Revenue when Valuing Medical Practices
Chapter 11: Medical A/R: Top Issues that Impact Your Valuations
Chapter 12: Benchmarking Practice Performance
Chapter 13: Designing a Chart of Accounts to Meet the Needs of Physician Practices
Chapter 14: Physician Compensation and Financial Statement Benchmarks: Using MGMA Data
Chapter 15: Identifying and Measuring Personal Goodwill in a Professional Practice;
Part I Basic Concepts
Chapter 16: Identifying and Measuring Personal Goodwill in a Professional Practice;
Part II: Using the Single Period Capitalization Model
Chapter 17: Why Transaction Structure Affects Value and Other Nuances of Valuing Medical Practices
Chapter 18: Supply & Demand: Assessing the Impact of the Shortage of Physicians on Value
Chapter 19: What Goes Around Comes Around: Derby v. Commissioner
Chapter 20: Converting Physician Practices to Tax-exempt Status: Is There an Upside to the Downturn?
Chapter 21: A Healthcare Appraiser Reviews a Judge Appraiser's Report
Chapter 22: The CPA's Role in M & A: Due Diligence Assistance to PPMCs and Private Equity Firms
Chapter 23: When the Marriage is Over, What is the Practice Worth?
Chapter 24: Jurisdictional Issues in Physician Practice Divorce Valuation: California
Chapter 25: Lost Profits for Physician Practices
Author/Editor: Mark Dietrich