2018 market update: Strong market for outpatient facility acquisitions tempered by focus on narrowing definition of quality of earnings

March 22, 2018

While the acquisition market for outpatient businesses, such as ASCs and surgical hospitals, remains strong, buyers are laser focused on quality of earnings which limits opportunities for some facilities to realize higher valuations.

If you still own your ASC – 7 questions to ask

February 19, 2018

If you are an ASC owner and have not already sold a majority interest in your ASC, we believe that no matter where you are in the lifecycle of your ASC or affiliated practice, that the following would be of interest to you. Merritt Healthcare Advisors Executive Vice President Jim Freund discusses seven key questions selling an ASC.

Streamline your supply chain

March 29, 2017

Anchors. Sutures. Surgical gloves. These items may be small, but their impact on your bottom line can be big. Medical and surgical expenses comprise nearly 30 percent of an ambulatory surgery center (ASC)’s total expenses, making them the second-biggest cost after staffing, according to a VMG Health study.

Current State of the ASC Market

January 17, 2018

By any objective measure, the ambulatory surgery center (“ASC”) market has experienced increased activity in the last several years.  The increase in activity, and competition for strong acquisition candidates, is driven by general macroeconomic trends supporting and encouraging high quality care at the lowest possible cost.   Overall these factors have led to increased valuations for Sellers of ASCs.

Staffing: Understanding a surgery center’s biggest expense

Jan 30, 2016

That’s the average total cost of employing a healthcare worker today in the United States, an amount that includes everything from wages and health insurance—which only make up about two-thirds of the overall costs—to taxes, vacation time and other related benefits.

How do your operating expenses match up?

Dec 15, 2016

For physicians considering selling their ASC, even if it’s only a distant consideration, analyzing and optimizing expenses is an important step in achieving the highest sale price for your business and improving near-term financial performance.

For more information, please email us at contactus@merrittadvisory.com.