1. Level to which the ASC relies upon out-of-network reimbursement to generate revenue and earnings (this was the one single risk factor that respondents revealed had the greatest impact) — Very high risk
2. Expected growth in future periods — Very high risk
3. Non-compete covenants with physician owners — Very high risk
4. Existence of a certificate of need (CON) requirement — High risk
5. Single payor dominance in the market — High risk
6. Hospitals in the market who are actively employing surgeons/specialists — High risk
7. Concentration of patient volume/revenue from a single payor — High risk
8. Contracting leverage with major payors in the market — High risk
9. Facility location (patient/physician convenience) — High risk
10. Existence of mandatory buy/sell provisions — High risk
Information comes from VMG Health’s ValueDriver ASC Risk Assessment Survey. VMG Health is a leading valuation and transaction advisory firm in healthcare. To receive a complimentary copy of VMG Health’s ValueDriver ASC Risk Assessment Survey, click here.
