2014 is bringing many changes to the hospice industry. Outcome reporting is looking a lot like OASIS reporting and software selection is going to prove crucial in managing those changes.
I am so pleased to announce that I am returning to CHAP and consulting after a year in the “real world”. I have learned so much.
I plan to return to CHAP in January (they have tablets now!!) and am looking forward to seeing many of my old friends and making new ones.
Please consult the Consulting Services tab for a comprehensive menu of services provided. I can also do survey prep (a one day on site prior to committing to patients) and help to strategize minimizing the start up costs associated with admitting too many or too costly patients while providing charity care.
Another discussion that I can assist with is initial marketing strategy, software selection, contract negotiations and leadership selection and training.
I look forward to hearing from those of you considering hospice as a business as well as a calling as well as from those of you who have served tirelessly and need to update your knowledge base to current regulatory standards.
I”m noticing a trend in community based healthcare acquisition. When I’m conducting due diligence I can’t help but inquire about the why.
It’s easy to understand a seller who has spent their blood, sweat, tears, and 20 years growing a company and ready for that much deserved retirement! I get that.
It’s easy to understand why a buyer wants to purchase an agency that can submit a claim and collect reimbursement without carrying an unknown amount of start up costs for an unknown amount of time with an unknown amount of variables with a minimal amount of control. I get that
I also understand that since hospice does not have a capitalization requirement nor a CHOW restriction of 36 months that it is becoming more popular than purchasing baby home health agencies.
I want to go on the record to state that hospice is NOT home health for dying people. The business model and skill set is not only different, its practically opposite!
Home Health values skill sets in increasing revenue per episode, with little regard and accounting for costs. Hospice values skill sets in cost containment and contract negotiation. There is nothing that can be manipulated in hospice to increase the reimbursement. All that can be done is contain costs.
I just want to STRONGLY recommend that buyers and sellers avail themselves of legal, financial, and clinical expertise to assist in valuation, due diligence . It is possible to reach a win-win agreement with a little research on both sides of the table.
I’m interested to hear from buyers about what and why they are interested in in community based healthcare as well as from sellers as to how the prepare their offering/agency for the highest possible price. Are you “flipping” a hospice agency? If so, I’d like to hear from you. How did you find your key personnel? How did you prepare yourself for keeping up with accounts? Are you using a hospice financial system?