Healthcare Venture Professionals — Article Library

All entries for July 2009

Ambulatory Surgery Centers

The number of Ambulatory Surgery Centers (ASC’s) has continued to grow (as have the number of outpatient procedures) over the past few years.  In fact, the number of ASC’s is fast approaching the number of acute care hospitals in the U.S.!  Many Hospitals and/or Physicians Have realized already that there’s a better way to offer this ever-increasing portion of their overall book of business.

This “better way” has both qualitative and quantitative aspects.  If owned by the Physician(s), the ASC allows for the capture or retention of all facility reimbursement.  This is an important consideration in this era of increasing pressure on historical payment rates to Physicians for their services.  It also allows for the Physician to be in control of ASC key decisions and overall operations vs. being simply a utilizer of someone else’s facility.  The efficiencies that should be inherent in a well managed ASC also create additional time for the Physician to spend on other personal or professional endeavors.  Finally, a well designed and well run ASC can consistently lead to higher levels of Patient satisfaction with services provided.

The Hospital can also benefit from ASC ownership and participation.  First of all, Hospital involvement can prevent the loss of significant ASC facility revenues when compared with a facility being opened that is owned solely by Physicians.  It can prevent another scenario where “head-to-head” competition with members of its Medical Staff has been created to the probable detriment of all involved.  A separate ASC can also result in improved utilization of remaining in-Hospital surgical facilities and the freeing up of space for other revenue producing services.

At Healthcare Venture Professionals, we strongly believe that a collaborative approach, such as a joint venture, is the preferred business model for an ASC.  In fact, HVP specializes in this form of ASC ownership.  Call us at 615-457-1848 or visit our website at www.hvpros.com to learn more about the benefits of creating an ASC and the joint venture approach to its ownership.


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