Carnahan Group has the ability and expertise to perform healthcare business valuations of your practice objectively and independently to arrive at a Fair Market Value (FMV).

There are many reasons to consider healthcare business valuations, including:

  • Sale/Purchase
  • Merger with another group or hospital
  • Buy-in of a new associate
  • Payout to a retiring partner

In order to perform healthcare FMVs, Carnahan Group will work closely with you to assist in collecting all the necessary documents to perform the due diligence while using our extensive proprietary and pertinent market research. We are able to coordinate interviews, perform site inspections, and review reimbursements among many other services. With Carnahan Group at your side, you can continue to focus on the day-to-day operations of your business.

As part of our Healthcare Business Valuations expertise,
Carnahan Group offers the following services:

  • FMV Opinions

    Carnahan Group is able to perform in-depth healthcare business valuations for entities and services; these FMVs are required for Stark/Anti-Kickback and other regulatory compliance that surrounds healthcare financial transactions.

  • Fairness Opinions

    A fairness opinion is a professional evaluation by an investment bank or other third party as to whether the terms of a merger, acquisition, buyback, spin-off or privatization are fair.

    A fairness opinion involves a total review of a transaction from a financial point of view. The financial advisor must look at pricing, terms and consideration received in the context of the market for similar companies. The advisor then opines that the transaction is fair, from a financial point of view and from the perspective of minority shareholders.

  • Hospital Valuation

    Carnahan Group is able to perform in-depth valuations of hospitals; these valuations are required for Stark/Anti-Kickback and other regulatory compliances that surround healthcare financial transactions. Carnahan Group specifically uses the income and/or cost approach to produce a fair market valuation of the entire hospital. These typically include real estate, FF&E, AR and workforce. These can be used to determined the lease value of a hospital as well.

  • Timeshare Agreement

    We develop a Space Lease Analysis that includes a fair market value of the rental rate — full gross, modified gross and triple net leases. Carnahan Group performs this type of appraisal from a site visit or desktop appraisal, and can include tangible and intangible assets to be leased in the space. We specifically use the cost approach to produce a fair market valuation of all exclusive and shared space, FF&E, expenses, and workforce associated with the space.

  • Space Lease Agreement

    We develop a Space Lease Analysis that includes a fair market value of the rental rate — full gross, modified gross and triple net leases. Carnahan Group also performs ground leases.

  • Operating/Capital Lease

    Carnahan Group performs this type of appraisal from a site visit or desktop appraisal and can include tangible and intangible assets to be leased. We specifically use the cost approach to produce a fair market valuation of all company assets in the form of a operating and/or capital lease.

  • Medical Practice Valuation

    Carnahan Group is able to perform in-depth valuations of healthcare entities and services; these valuations are required for Stark/Anti-Kickback and other regulatory compliances that surround healthcare financial transactions.

  • Medical Practice Appraisal

    Carnahan Group performs this type of appraisal from a site visit or desktop appraisal, and can include tangible (FF&E, AR, charts) and intangible assets (workforce) to be purchased. We specifically use the cost approach to produce a fair market valuation of all company assets.

  • Opinion Letter

    Carnahan Group creates opinion letters and reviews the methodology/analyses that do not fit into typical compensation reports or up to the discretion of the valuator.

  • Influencers on Valuation

    The above ruling stipulates that the following factors must be carefully considered in any valuation:

    • Intangible values such as goodwill
    • Financial ability to generate an ongoing income stream
    • Earnings capability
    • Type of business and financial and market history
    • Economic outlook for the industry in which the business resides
    • Fair market value adjustments of assets and rent
    • Physician productivity as it pertains to projected revenues
    • Fair market value of physician compensation

Our Physician Compensation Platform

Our proprietary data analyzes clinical, medical director, on-call coverage and academic compensation, historical factors, proposed hours, commercial reasonableness, total compensation, and more through FMVMD™.

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