What is essential to operate your health care practice? Partner matters, operational efficiency, taxation, and equipment purchases cannot distract from patient care.
The biggest misconception about health care practices and hospitals is that they are flush with cash. Compensation and benefit plans, timely reimbursements, efficient processes and procedures and tax planning can greatly improve cash flow, but you need a knowledgeable advisor to keep you on track as you grow.
Coordinating that operational guidance with your other advisors for legal agreements, insurance coverage and real estate improvements is essential to attract and retain talented physicians and staff, too. You understand medicine, and your advisory team must work together to help you optimize the business of medicine. After all, your profession should bring personal satisfaction and future opportunity, not headaches.
One of the biggest things I handle is when there are partners in a business. It gets difficult, as time goes on, for everyone’s goals to align. I like dealing with the interrelationship aspect so business stays on track.
- William Cooper, CPA, Shareholder
Some common issues for healthcare practices may include the following, and your CPA must understand the healthcare industry to properly advise on these critical decisions through every phase of the business:
- Tax strategies for purchasing equipment through either the operating entity or the real estate entity
- Timing of real estate purchases and building expansions
- Long-term pay arrangements with patients
- Accounting for deferred revenue
- Benefits of accelerated or bonus depreciation
- Physician and staff compensation and benefits structuring
- Revenue and performance management strategies
- Strategic and succession planning
Gaining agreement among partners on the right business decisions can lead to huge opportunities for each practitioner to pursue their career and life goals. That may include advancing medical breakthroughs, providing for family members, pursuing community reinvestment or simply having more time off. We care about that, too.
It’s not enough to be responsive, run the numbers and file the paperwork. You need a CPA firm that can discuss lending options, acquisition strategies, forecasting, retirement and anything that helps you build your ideal health care center. If something isn’t working, we will tell you the essential truth. Then we will offer ideas, resources and referrals to ensure you are meeting all of your financial goals.
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