Methodology for Determining Purchase Prices for New Physician Investors

Here are common methods for determining a purchase price for new physician investors and the percentage of physician-owned hospital respondents employing that method, according to HealthCare Appraisers’ Healthcare Transactions 2009 Year in Review.

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1.    Independent fair market value opinion — 41 percent
2.    Predetermined formula — 28 percent
3.    Board-determined amount — 24 percent
4.    Other — 7 percent

To receive a copy of the 20-page Healthcare Transactions 2009 Year in Review, please contact HAI at info@hcfmv.com or (561) 330-3488 or download a PDF version at www.healthcareappraisers.com.

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