As you head towards the end of your career, you might wonder what to do with your business. Will you close up shop? Will you sell it? To whom should you sell it?

If you’re looking for a buyer for your practice, there are two basic types of buyers in the market - strategic and financial buyers. They each have different goals, objectives, and reasons for buying your practice.

Strategic buyers. These are buyers looking for an acquisition that strengthens their market position, expands their capacity, grows the services they offer and potentially gains access to more patients and customers.

Typically, they are already operating in your industry. A strategic buyer might be a competitor, a supplier, or even a customer of yours. They are on the lookout for acquisitions that provide synergies. They look beyond your balance sheet, revenue streams, and other financial metrics. They will examine how your acquisition will benefit them, you, and the customers. They will place value on the...

Designing and implementing a quality service involves four key ingredients. As you design your service, consider these aspects to ensure you deliver exemplary patient care.

1. It's based on a solid mission and purpose. What is the mission and purpose, you might ask? The mission and purpose is perhaps the most important concept of any business or practice. Simply stated, it is the what and why a practice exists. The what is the service you provide to your patients. It's the combination of the knowledge, skills, and processes of your practice to deliver care to the patient. The why is the benefit your service provides to the patient. The why isn't to make money. Earning a profit is an indicator of how well your core business operates. It's a metric to monitor, not an objective to attain. The mission and purpose are always rooted in the world of the patient. Your mission and purpose are what you do and why you do it for the benefit of the patient. Every process, touchpoint, and...

Determining our patients' health is something we can do quite quickly, in part, because we've learned how. The other part is that we put forth the effort to do so. Consider reviewing the financial statements of a company equivalent to performing an annual exam on a patient. You can get a distinct idea of how healthy the company by examining the reports. They are your EKG, CBC, CMP, and physical exam. Always look at the financial statements to understanding the company's current health, determine the prognosis, and develop a plan to fix the issues.

The first report I recommend looking at is the statement of cash flows. This report is incredibly powerful and will quickly show you what is happening to the cash of the company. Cash is the lifeblood of any company. Its flow will identify what's good and bad about the company. If you notice more cash is flowing out of the company than what is flowing into the company, the cash flow is negative, and that's bad. If the cash flow remains...

If you are looking to raise capital, borrow money, sell your business, or buy another business, you will need to determine the value of your company. The value of any business goes beyond the bottom line. To help you determine the value of a business, consider the following factors.

Revenue

First and foremost, the value of a company is determined by the financial success it experiences. Things to look at are the revenue or sales of the company and the net profit. However, if you want to see if the company is good at doing its core function, examine the EBITDA, Earnings Before Interest, Taxes, Depreciation, and Amortization. This number examines the cash that is generated by its core business function. The issue with looking at the bottom line, the net profit, is that it includes financing decisions the firm made and can falsely elevate a profit. EBITDA should grow over time as well. If you see it shrinking, figure out why. Is it a market condition, an internal operations issue, or...

Suffice it to say, the world is in a crisis. In America, our health systems are experiencing a crisis. Leadership is critical for not only you but your staff and patients. To help you lead effectively, follow these suggestions as you navigate these tricky waters. Strong leadership depends on clear decision-making skills. One thing I lean on is my aviation training. The methodology has helped analyze situations and make good decisions not only as I fly my plane, but as I work in the clinical setting.

1. Determine the situation. Try to figure out what’s going on. What is the current situation? What has happened? How bad is it? What are the risks we face as a result of the situation? In the airplane, it might be we just lost an engine, or our radios stopped working. In my clinical setting, it might be the patient is suddenly hypotensive or their peak airway pressures are elevated, and it’s becoming challenging to oxygenate the patient.
2. Understand the hazards and risks....

Forming a strong connection with those you lead is crucial if you are to have success in your efforts. The stronger the bond, the more likely those you lead will want to help you achieve your goals and objectives. Here are some useful reminders that will help you form those strong connections with others.

1. Know yourself. To connect with others, you must first connect with yourself. Understand who you are and have confidence in yourself to communicate with others. Be willing to be a little vulnerable. It’ll demonstrate you’re human.
2. Be open and sincere. Don’t fake it. If you are giving information, be sincere. People will see through insincerity. Humans are better lie detectors than you give them credit for.
3. Know your audience. Invest the time and energy to learn people’s names. Be interested in their histories. Ask questions to discover their dreams. Once you understand them, you’ll be able to speak to what they care about.
4. Practice what you preach. Are...

Groupthink. It’s probably one of the biggest hurdles you will encounter as you lead change. It’s common and subtle in the impediment it places on your efforts to make things better for your organization. 

Recently, I attended a group meeting of a physician group who is a client. The group does have elected officers, but each physician of the group feels they have an equal voice. The group feels it’s incredibly important to have a consensus before making any decision. If a decision isn’t reached, they opt to stay the same and maintain their current trajectory. In this case, a vendor owed the group a large sum of money. However, not everyone wanted to take action against the vendor. While it is in the group’s best interest to terminate the vendor and stop losing money on a bad deal, there were not enough physicians who wanted to terminate the agreement. Therefore, the group finds themselves in the position of contenting to work with a vendor who is...

As a business broker, I assist buyers in expanding and growing their business. During the initial search period, I often help them identify potential companies that will be successful and fruitful. Before we begin searching for an acquisition opportunity, the client must answer the following questions to help them understand the six rules of successful acquisitions.

1. What is the strategy behind this purchase? For an acquisition to be genuinely successful, the acquisition must be based on a solid business strategy, not a financial plan. If it makes good business sense, then proceed with the purchase. If it only looks good on paper and the "numbers" look good, then take another careful look at the reason for the purchase.
2. Is this about what they offer you or what you offer them? In successful acquisitions, it's not about you and how you benefit from the merger. Instead, it's about how you help the target company improve. Make a list of how your firm improves the target company. If...

Your vision of the future is the guiding light for your company. To attain that vision, every leader must communicate clearly and effectively the future they see. To make a powerful impact on your organization, you will need to ensure you have shared your message clearly. The next time you’re preparing to share your vision, use these questions to help you develop the message you want to send.

1. Does this message have clarity? Your communication should include what the people must know and what you want them to know. This information brings understanding to your vision message. Who, what, when, where, why, and how should be answered as much as possible in your message.
2. Does this message provide the context for this vision? Have I connected the past with the present, and together, does that paint the future in a way that is simple to understand? Have I connected the dots from the past to the present and show how that leads to the future? When in doubt, spend more time explaining...

Waiting is inevitable. It seems very few things run on time. There usually is a little cushion unless my arriving flight is five minutes late, then the connecting flight leaves early. Part of my satisfaction as a customer and that of your patients is the time we spend waiting. More importantly, it is the emotions we feel while waiting.

As you work to improve the process of your clinic, consider these rules of time when dealing with queues in your practice. Manage the queues better, and I guarantee patient satisfaction will rise.

The Rules of Time

1. The perceived waiting time is greater than the actual waiting time. We all do this. If the restaurant says, it'll be ten minutes for a table, at about five minutes I'm looking at my watch wondering what's taking so long. That's when my wife reminds me it's only been five minutes. However, it feels so long to me. I'm sure you've experienced the same thing. Remember, your patients who are waiting on you will experience the same time warp.
2. ...