Patients Asked, ZoomCare Answered...

ZoomCare, a company that bridges the gap between ER and primary care physician visits took action based on patient input... adding physical therapy treatments in 2 of its Portland clinics. 

Co-CEO Dr. Dave Sanders recounted that, "ZoomCare customers have been asking us for years to offer a PT service with all the convenience, quality and low cost features they love about ZoomCare everyday care....”.  He added “PT is a great fit for Portland's active, outdoor community."

Founded in 2006, the Portland-based urgent care chain has grown to 18 clinics in Oregon, Washington and Idaho. In addition to same-day scheduling, the clinics give patients a guaranteed visit time, issue no bills, have an on-site laboratory and pharmacy and charge the same price for all visits.

Source:  Portland Business Journal

Should you Sell? Ask Yourself 10 Questions...

Selling a business is a “Big Deal”  for most small business owners and requires more than the "Luck of the Irish". As snap decisions are not encouraged, Curtis Kroeker, GM of several business-for-sale marketplaces, offers key questions to determine if selling is the right decision. 


1.   Is my business ready to sell?  Key:  2-3 yrs of tax returns, showing maximum profitability.
2.   How is a buyer going to value my business?
3.   Who should be on my team when I sell?  Engage the Experts, if needed, whether an Accountant, Lawyer, Business Broker...
4.   Is it the right time to sell?  Easier when business is on the upswing.
5.   Is the market right?
6.   Can I cope with the changes on the horizon?
7.   Can my business thrive without me?  
8.   Would I be willing to stay on if the buyer wants me to?  Transition flexibility could improve chances of a done deal.
9.   What are the potential deal breakers?  Resolve them before the deal nears closing!
10. Would I consider alternatives to an outright sale? 

>>Read more for greater insight.       

Source:  Entrepreneur.com

Happy St. Patrick's Day!

Another Investment in Heart to Heart Hospice

Summit Partners continues its support of a leading hospice care provider with its recent minority investment.  Heart to Heart Hospice, headquartered in Plano, TX, offers quality care to approximately 1,200 patients in 11 locations across 88 Texas counties.  It was founded in 2003 and currently employs a care team staff of 600.

Heart to Heart Hospice Locations

Founder Kelly Mitchell applauds Summit’s ongoing involvement and role in the “success and growth of Heart to Heart Hospice.”  Mark deLaar and Jesse Lane from Summit will join the hospice care provider’s Board.

The investment will be used “...to support several growth initiatives that will allow us to bring hospice care to a greater number of people.” according to Heart to Heart President, Bill Thurman.  >>Read more

Satori's Entrée to Healthcare...Longhorn

Austin, TX-based Longhorn Health Solutions was acquired recently by Dallas private equity firm Satori Capital.  

Longhorn is a direct-to-consumer distributor of durable medical equipment, consumable medical supplies and pharmaceutical prescriptions (e.g.: incontinence supplies, enteral nutrition products, and diabetic testing supplies) to home-based Medicaid, Medicare and privately insured patients across Texas. The Satori partnership will offer Longhorn opportunities for “organic expansion and growth via acquisition” according to Britt Peterson, CEO. 

Peterson will continue to lead the company with 10 Texas warehouses and 150 employees.  He notes:  

"Longhorn has earned a reputation for excellence through its reliable performance, dedicated customer service, statewide presence, and commitment to integrity and kindness across everything that we do...”

>>Read more

US HealthVest to Acquire Psychiatric Facilities

Co-founders Richard Kresch, MD and Polaris Partners are focused on expanding access and improving psychiatric care with their new company.  According to Dr. Kresch, President and CEO of US HealthVest:   

"The need for quality psychiatric care is increasing rapidly. US HealthVest has the experience and resources to expand access to care by developing new facilities and acquiring existing facilities with untapped potential...”

Previously, Dr. Kresch launched and sold two companies including Ascend Health, owner of multiple free-standing psychiatric inpatient facilities.   Venture Wire reports the US HealthVest team “hopes to get six clinics up and running within the next year.”  Facilities offering inpatient and outpatient programs will include development of new and the acquisition of existing facilities. 

In addition to Kresch and Polaris, US HealthVest partners include the company’s management team, Fidelity Biosciences and notable health care and technology investors. >>Read more

Healthcare Mega-Trends in 2013

The health care industry today faces uncertainty. Uncertainty created by factors such as government regulations, tighter margins, new information technology, and new consumer behavior. Other factors changing the landscape are seven mega-trends. Mega-trends that the industry should look around the corner to observe and consider as they make plans to adapt to change and adapt to the environment. Many companies in healthcare have to determine how they are going to address each of these seven mega-trends.

Paul Keckley, Executive Director of the Deloitte Center for Health Solutions describes mega-trends that will influence the healthcare industry this year.

Source:  Deloitte Center for Health Solutions

Mega-Trends recap: 

1. Demanding demographics
2. Strategic globalization
3. Unconstrained connectivity
4. Constrained resources
5. Accelerated consolidation
6. Big data
7. Consumer discontent    

>>Read more

PE Firms Sweet on Hospital Deals

While private equity firms have not engaged much in the margin-thin hospital market, things may be changing.

As noted by Ron Shinkman in a recent Fierce Health Finance article, PE firm interest may be on the rise because “the healthcare industry is exiting a period of business decline, rapidly growing and enjoying new value."

According to the article, the key to future connections will be a firm’s assessment of the hospital’s C-level executives.  Since PE firms will likely be more hands-off than in other industries, they will want the right management in place.  >>Read more

Make it Harder for Patients to Leave...

Roger Levin, DDS of The Levin Group reminds practice owners that patient loyalty isn’t what it used to be...Consider a few of his customer service tips.

BE  PROACTIVE

Focus on attracting new patients, enhancing customer service, and conducting patient surveys to gauge patient satisfaction. Your practice health depends on building your patient base and increasing patient retention.

DON'T  TAKE  PATIENTS  FOR  GRANTED
Although some patients will stay...others will move to another practice that offers...Lower Fees, Better Location, Services you don't offer or, didn't tell them about.  Be sure to find out why patients “jump ship”, and correct the issue.

Source:  The Levin Group

Lessons from Quentin Tarantino Movies

A Band Apart Production

It’s Academy Awards season...and once again a Quentin Tarantino movie is nominated for the "Best Picture" gold statue.  This year, it’s Django Unchained.  While Tarantino’s movies are typically successful at the box office, two academics point out how the movies also successfully illustrate several business lessons.

Consider these concepts outlined by Robert J. Thompson, professor of Television and Popular Culture at Syracuse University, and Todd Dewett, a management professor at Wright State University. >>Read more:  

1. Find the right training to get to the top of your game. Good teacher, motivated staff and opportunity to use new skills are key.
2. Assemble a strong team 
- that works well together.
3. Choose quality over quantity - avoid change for change’s sake.
4. Surround yourself with top talent - who are dependable and offer honest feedback.

Source:  Entrepreneur.com

H.I.G.'s CIS adds Access Family Services

Community Intervention Services (CIS) announced the acquisition of Access Family Services (Access) to the H.I.G. Growth Partners’ behavioral health platform in January, 2013. It represents CIS’ second acquisition.  Access is a leading provider of community-based outpatient behavioral health services in 6 North Carolina markets.     The Charlotte-based organization employs a clinical staff of over 100 clinical therapists, qualified behavioral health professionals and developmental educators.  >>Read more

South Bay Mental Health, based in Brockton, MA, was the first CIS acquisition in April, 2012.

Partying Outside The Big Easy...

While football fans party at Super Bowl festivities in New Orleans, Oceans Healthcare is reveling in $40M+ in investments from General Catalyst Partners and MCG Capital Corporation. 

The Lake Charles, LA-based company specializes in the development and management of behavioral health services – focused on geriatric patients – operating over 10 facilities throughout the Bayou State.  Oceans Healthcare looks to expand to underserved communities located throughout Texas, Mississippi, Alabama, Arkansas. 

Money isn't Everything...Or is it?

Entrepreneur.com shares some interesting observations about employee motivation in the Infographic:
"Mo Money, Mo Problems".  
Motivated employees are critical to business success... they contribute to an increase in productivity and revenue.  That’s certainly reason enough for business owners to work hard to keep employees engaged in their jobs.  Authored by Gary Chapman and Paul White, The 5 Languages of Appreciation in the Workplace, offer owners a motivation "primer".

Employee Motivation Checklist

1. Words of Affirmation
2. Act of Service
3. Quality Time
4. Physical Touch
5. Tangible Gifts

New CPT codes = More Pay to Docs

$600 million – that’s what Medicare estimates it will pay to practices in 2013 for managing patient transitions from hospitals or skilled nursing facilities, according to American Medical News.

New CPT codes will allow physicians to bill for previously unreimbursed care-coordination.   A result of the AMA working with Medicare since last year, the codes cover:   

• Efficient reporting of time spent discussing a care plan
• Connecting patients to community services
• Transitioning patients from inpatient settings and preventing readmissions

Additionally, the codes, in effect since January 1, cover complex chronic care coordination.  The new CPT codes are: 99495, 99496, 99487, 99488, 99489. Review new code descriptions here.  No decision yet as to whether commercial insurers will accept the new codes. 

Healthcare M&A: Glance Back...Look Ahead

In their recently released report, finance firm, Berkery Noyes, sized up healthcare M&A in 2012.  Highlights included:

• 21% increase in transactions (vs. 2011)
• Slight increase in transaction value (5%): $11.36B to $11.96B
• Increase in Healthcare IT segment deals by 11%
• Substantial interest in the mobile application sub-sector  

M&A activity in 2013 is predicted to be robust according to Irving Levin Associates, a research and publishing firm.  Various investment and consulting experts suggest that healthcare acquisition targets will likely include:

• Hospitals
• Physician Practices (by Hospitals)
• Skilled Nursing Facilities
• Small Home Healthcare Companies

Dermatology Associates of Tyler Get a Partner

Candescent Partners, LLC with co-investors Eagle Private Capital and Harbert Mezzanine Partners announced the acquisition of Dermatology Associates of Tyler.  The East Texas-based provider of medical and cosmetic dermatological services currently has four offices, including a pathology lab and surgery center.  Dr. Lawrence Anderson co-founded the business in 1996 and post-transaction will lead a staff of 10 doctors as the practice continues to grow. >>Read more 

DermOne Acquisition Arm Stretches to NC

 Leading dermatology services provider, DermOne Dermatology Centers completed two acquisitions in late 2012.  Formerly known as Accredited Dermatology founded by Dr. Rami Geffner, DermOne features a network of 35 locations.  Another New Jersey location was added with the practice of Dr. Isaac Mordecai, a specialist in medical and cosmetic dermatology.  Additionally, DermOne acquired Atlantic Dermatology of Wilmington, NC under the leadership of Dr. Jonathan Crane.  DermOne CEO, Ron Geraty noted that, 

“...With the acquisition of Atlantic, we are launching our efforts to grow beyond our core markets in New Jersey and Pennsylvania and see this as the first of many steps toward becoming a national company...”  >>Read more

Dental Services Cos. Honored As Job Creators

Four dental services companies started 2013 with something to Smile about.... inclusion on the 2012  Inc. Magazine's Hire Power Award List.  The inaugural list spotlights businesses doing their part to rebuild the US economy as it ranked for-profit and nonprofit companies on the number of new jobs added from 2008-2011.

Pacific Dental Services and Heartland Dental Care are featured among the top 10 Hire Power list honorees.  Joining them is Great Expressions Dental Centers and Smile Brands listed on the top third of the list.  According to Inc. president, Robert LaPointe, the list’s 100 companies accounted for 73,000 jobs that totaled $5B in tax revenue.

Inc. Hire Power Awards Ranking:

#4:     Pacific Dental Services  +1451 jobs

#6:     Heartland Dental Care  +1150 jobs

#25:   Great Expressions Dental Centers  +600 jobs

#31:   Smile Brands  +551 jobs

Hectic Fall for Heartland

Heartland Dental Care’s CEO, Richard Workman, is likely still smiling from a gratifying finish to 2012.    

After seeking a buyer in early September, the Ontario Teacher’s Pension Plan (Canada) agreed to buy a majority stake in Heartland Dental Care outbidding traditional buyout funds run by KKR, Madison Dearborn Partners and Apax Partners.  The estimated value of the deal is $1.3B.  Workman, together with management and employees retain a minority stake in the company.

Later in the Fall, Heartland with 370+ affiliated US dental practices was recognized on Inc. Magazine’s "Hire Power" Awards list – a salute to US job creating companies (within the last 3 years).  Heartland created 1,150 jobs. 

The Midwest-based company that provides leadership and support services to dentists  experienced a busy December.  Numerous practices were added to its affiliate list, most notably, Goldstein, Garber & Salama, LLC, an 83-year old Atlanta-based dental practice specializing in cosmetic dentistry.

Step Up...to the Next Level in 2013

It’s Officially the New Year!  Time for a few obligatory resolutions.  Consider Entrepreneur Magazine’s 10 Steps to fast forward business growth in 2013.

1. Move forward even in uncertain times.      
2. Tap your employees.
3. Reconnect with your purposes.
4. Diversify your income opportunities. 
5. Adopt value pricing.
6. Hire rainmakers.
7. Set aggressive growth goals.
8. Measure every marketing activity.
9. Pay attention to the experience.
10. Try doing what you tend to avoid.

>>Click here for more details.  Happy New Year!

NextCare - Deeper in the Heart of Texas

Waco’s Central Texas Urgent Care is the latest acquisition by Mesa, AZ-based urgent care chain, NextCare – now operating 71 clinics in the East, West and Midwest. 

While staff at the two newly-acquired locations will remain the same, a new and different service will soon be available. WAHOO (Wait at Home or Office) is NextCare’s wait-at-home check-in service where patients can wait to be contacted for their exam.  

The Waco acquisition follows an October buying spree that added over 10 clinics, including one in Houston, to NextCare’s clinic total.  >>Read more 

New Owner for Plum Healthcare

Plum Healthcare Group LLC, an owner/operator of 50 skilled nursing facilities and 5 home health and hospice agencies was acquired by Bay Bridge Capital Partners.  Plum facilities are located throughout California as well as Utah and Arizona.  The seller, private equity firm GI Partners, is credited with acquisition and turnaround of 39 skilled nursing facilities and expanding into two additional states.  The sale of Plum generated approximately three times the capital invested by GI Partners. >>Read more

Linden Adds to Dental Platform

Following its October, 2012 acquisition of Northwestern Management Services, LLC, Chicago-based Linden Capital Partners continues investments in the oral care industry.

Young Innovations, a St. Louis-based dental supplies manufacturer signed an agreement to be acquired by the private equity firm - the closing expected in the first quarter of 2013.  Young experienced healthy demand of its consumable products and growth of its new diagnostic line (panoramic x-ray machines and related supplies) generating a 4.8% Q3 increase in income.     >>Read more

Northwestern Management Services LLC provides management and administrative services for Gentle Dental Group.  Gentle Dental, is an upscale retail-based organization with 21 offices in Southeast Florida.