Archive for the ‘Family Practice’ Category

This interesting article addresses some of the key issues regarding Family Practice. A careful reading of this material could make a big difference in how you think about Family Practice.

Some family practice doctors have advanced in being some of the very few doctors that are legally able to prescribe buprenorphine, which is also known as Suboxone. This drug is prescribed as an alternative in replacement therapy for opiate addiction. Family practice doctors must get certified in order to join the program and are, by law, only allowed to prescribe to a certain number of patients annually.

If a person with an opiate addiction chooses to select this method of treatment chances are that their family practice doctor will not be able to help him but may be able to refer him to another family practitioner. Because these offices are regular family practices, when the addict goes in for his initial visit, he will blend in as no one will know why he is there.

The family practice doctor will examine the patient and get a thorough history because he will need to know the opiate of choice and how much the addict uses in order to dispense the replacement drug. The family practice doctor will not be able to council the addict but can probably send him in the right direction. The family practice doctor’s sole purpose is to dispense the correct dose of buprenorphine and monitor its effectiveness. Medical insurance will not pick up the cost of the visits to the family practice doctor but may cover the extreme expense of the prescription itself.

If your Family Practice facts are out-of-date, how will that affect your actions and decisions? Make certain you don’t let important Family Practice information slip by you.

Some family practice doctors have chosen not to deal with the implications of offering replacement therapy but others have decided to enter this new facet of medicine in hopes of building up their practice with minimal insurance ramifications. The problem is that there are so many opiate addicts and so few doctors who have selected to become certified. That number needs to increase so that addicts can discreetly enter a family practice of their choosing and get the help that they need to address their problem.

The program is newer and is an alternative to methadone. But buprenorphine and methadone are the only two choices for replacement therapy in opiate addiction. Anti drug campaigns are gearing up in an attempt to recruit more family practice physicians to become certified and enter the programs because it has been so successful. The family practice doctor is the best setting for this type of program but the main objective so far is for the physician to evaluate the patient, disperse the medication is adequate intervals, monitor the progress, and provide maintenance throughout the program.

While family practice doctors create the perfect setting for this treatment and maintenance as an alternative to methadone treatment which requires those seeking treatment an alternative to overcrowded methadone clinics that require dosing on a daily basis. The replacement therapy is working and many addicts are seeking relief from this program. More family practice doctors should consider become certified and also offering this form of treatment especially because they are known for general health and overall well being and in some many cases of opiate abuse it may have been the family practice doctor who prescribed the prescription of opiates in the first place.

About the Author
By Anders Eriksson, feel free to visit my latest acquisition: Free Google Traffic System and make sure to visit my bonus site!

Preparation and planning aren’t just for the boy scouts. Anyone who is reaching for success in a business will do well to plan and prepare. This can be especially important for the opening of a family practice.

Who’s Doing the Choosing?

If the family practice is a new one featuring only one physician, it’s pretty obvious who will be making the decision on where to locate the practice. If, however, the family practice is a large, complex one, the answer might not be so clear cut.

If multiple physicians will be part of the family practice, it’s important to determine if each and every physician will be part of the process in finding and choosing a location. If multiple office managers will be part of the practice, members must decide if any or all of the managers will be involved in the hunt.

Some professionals suggest that the final decision be left up to a small representative segment of the family practice. Many suggest that staff members from all areas of the family practice be included in the decision making. The first decision in choosing a family practice location is deciding who will do the choosing.

What to Seek in a Family Practice Facility

See how much you can learn about Family Practice when you take a little time to read a well-researched article? Don’t miss out on the rest of this great information.

Once the decision has been made regarding who will be doing the choosing, it’s time to clearly define as much as possible what is expected of the facility. Consider patient base. If the family practice is geared toward treating retirees and older adults, a facility located near housing for younger families with children shouldn’t be given much consideration unless there’s no other facilities available.

It’s also important to consider distance and location regarding hospitals and other medical services. If physicians in the family practice will be using the hospital facilities often or will be referring patients to the hospital on a frequent basis, locating the facility near the hospital and other medical services could save time.
Competition is a consideration in any business, even family practice. Are competitors located near the potential facility? Can the family practice offer something the competition does not? What reasons can the family practice give patients to choose the practice over the competition?

A little reputation goes a long way. When looking at potential family practice facilities, it’s important to consider the reputation of neighboring businesses, especially if those businesses are medical facilities. Choose a facility near respected physicians with good reputations so that if the family practice is judged on the merits of the surrounding businesses, those merits are good.

Type of Family Practice Facility

Is the family practice location committee determined to find a professional building or can the practice be set up in whatever facilities are available, even if that means setting up business in a strip mall or remodeling a home?
Is the goal building or renting facilities for the family practice? If looking to build, the criteria are different than those for renting or leasing. Parking is an issue no matter where or how the family practice is located. Make sure there’s plenty of parking in an area that’s easy to enter and easy to exit. Handicap access is another issue that cannot be overlooked.

Searching for a Family Practice Facility

Once it’s been determined what type and what size facility is needed, it’s time to begin the hunt. Narrow down search areas as much as possible. Ruling out areas that are not adequate will help narrow the list. Choosing a family practice facility can be exhausting. It can also be rewarding. It doesn’t have to be more difficult than necessary. Preparation and planning will go a long way in making the search a successful one.

About the Author
By Anders Eriksson, feel free to visit my latest acquisition: Free Adsense eBook and make sure to claim your free adsense ebook download!

More and more people are becoming comfortable in using the Internet and many now have Internet access at home. A well designed family practice website can serve as an introduction for the practice and an advertisement of services offered.
Family Practice Website as Introduction

The appearance of the family practice website is crucial. Viewers will judge the practice by the appearance of the web pages. The website should match the tone of the clinic. If the family practice sees only adults, the website should reflect that.

Crucial information to be included on the family practice website includes location, hours of operation, telephone and fax numbers, directions, and information about the services offered. If the practice is a cash only one, this should be noted on the website.

Including a signup box for a free family practice newsletter or health report will encourage people to take the time to submit names and addresses. A signup form should be prominently displayed on every page of the website.
Staff information in the form of photos, short biographies and job titles or descriptions can personalize the website. A smiling face goes a long way in starting a family practice/patient relationship.

Some family practice websites include news and notes pages where news regarding the practice is announced as well as news regarding patients. Community and school achievements are a good way to promote area goodwill and advertise the practice. Do be sure to get permission before posting photos. The decision to use full names versus first names only will depend upon the area and the family practice.

Ads and Links on Family Practice Website

Truthfully, the only difference between you and Family Practice experts is time. If you’ll invest a little more time in reading, you’ll be that much nearer to expert status when it comes to Family Practice.

The issue of ads and links on the website should be addressed. Ideally, there should be no ads on the main pages. The website is, after all, supposed to be promoting and advertising the family practice. This said, offering a page where patients who use the practice can post a link to their business may be a good idea. Consider sponsoring a community page of some type and encourage anyone from the area to use the page.

Links that lead to health information regarding general health or the specific issues addressed by the family practice can prove to be useful. Patient education can be integrated into the website via an informative section of the website or links to such information.

Including a frequently asked questions area on the family practice website is a creative way to provide information while promoting the practice. Include a form to encourage website viewers to submit questions or comments.

Family Practice Website as Shameless Clinic Promotion

The family practice website should include physician credentials and accomplishments along with those of support staff. If staff have contributed in some way to the community, this information should be on the website. If the practice contributes to community activities, charitable or other such activities, this information should be on the website. Consider adding links for donations to charity.

Maximizing the Family Practice Website

The family practice website can be an important part of building the practice and maintaining it. Make the most of the opportunity. Showcase staff members, clinic and community activity, blog, announce news and hold contests. Include a signup form on every page, encouraging Internet surfers to sign up in exchange for free report or other item. Include the family practice website url in all advertising on and off-line.

Those who only know one or two facts about Family Practice can be confused by misleading information. The best way to help those who are misled is to gently correct them with the truths you’re learning here.

About the Author
By Anders Eriksson, feel free to visit my latest venture: GVO and make sure to claim your $1 trial membership!

Would you like to find out what those-in-the-know have to say about Family Practice? The information in the article below comes straight from well-informed experts with special knowledge about Family Practice.

Holding an open house to celebrate events, changes or milestones in a Family Practice can be an excellent means of increasing patient base and community awareness of the practice.

Why Hold An Open House?

Why hold an open house? There are plenty of reasons for a family practice to hold an open house. Relocating to a new location, adding a new procedure or new piece of medical equipment to the practice, completion of a remodeling project, achievement of a particular goal or milestone, addition of staff or an anniversary are all excellent reasons to hold an open house.

Who’s Invited to the Family Practice Open House?

In order to determine who to invite, it’s important to determine the purpose of the event. If the purpose of the family practice open house is to announce and celebrate the addition of new equipment, anyone who could potentially benefit from the use of the equipment should be invited.

For example, the addition of equipment relating to cosmetic beauty procedures could mean inviting area women to the open house. If a new physician has joined the family practice, invite potential patients who could potentially benefit from services as well as current patients who can spread the word by telling friends and family members about the new physician. Don’t forget to invite local leaders and dignitaries.

When Will the Family Practice Open House Be Held?

You can see that there’s practical value in learning more about Family Practice. Can you think of ways to apply what’s been covered so far?

Set a date in advance for the family practice open house. The date should be far enough in advance of the event to allow time for taking care of all of the preliminaries. Allow an open window of time of at least two to three hours for the actual family practice open house. This leaves room for attendees to drop in throughout the time period. Don’t forget to take work into consideration. If many of those invited work, set the open house time for hours after work so more of them can easily attend.

How Much Will the Family Practice Open House Cost?

There are several variables involved in hosting a family practice open house. There are invitations to create, print, address and deliver. There’s a menu to do (finger foods and refreshments, possibly cake), and advertising, including the selection and ordering of any promotional products, to be done. The cost of each of these will have to be taken into consideration. If the open house is to be held during what normally would be regular office hours, how much revenue will be lost?

How to Advertise the Family Practice Open House

It will be necessary to advertise the family practice open house. Using advertising methods and media that fit both the occasion and the community will yield better results. Signage in the clinic, ads or flyers in area newspapers, and announcements on community radio are good methods.

Wording Family Practice Open House Advertisements

The family practice open house advertisement should do more than just announce the gathering. It should also state the reason for the event, along with place, date and time. Be sure to include information about any promotional items or services that will be provided.

Holding an open house can be an excellent means of promoting the family practice. Paying careful attention to the targeted market, the reason for the event and the best methods of advertising to reach people will help ensure a well received event that produces the desired results.

Sometimes it’s tough to sort out all the details related to this subject, but I’m positive you’ll have no trouble making sense of the information presented above.

About the Author
By Anders Eriksson, owner of this site as well: Wealth Upgrade Club (click to claim your FREE membership)!

Would you like to find out what those-in-the-know have to say about Family Practice? The information in the article below comes straight from well-informed experts with special knowledge about Family Practice.

The creation and implementation of an effective employee manual serves several functions in the family practice. Standard procedures and clearly defined job descriptions, duties and expectations are addressed once instead of multiple times.

Employee Manual Legally Mandated Content

State and Federal employment law affects the contents of family practice employee manuals. For instance, large practices with many employees must include Family and Medical Leave Act information. Medium sized family practices are required to include COBRA information. The State Department of Labor has all of the necessary information required to make sure employee manuals are in compliance.

Authoring the Family Practice Employee Manual

There are several ways to produce the family practice employee manual. One is to outsource the project to professionals. Another is to produce the manual in-house. Some office managers are experienced in creating employee manuals. There are software programs available as well as templates.

Some Chamber of Commerce organizations have employee manual templates available for member’s use. The contents of the manual may include brief job descriptions and any mandated legal information or be all-inclusive documents detailing not only job descriptions but how-to perform those actions as well. Consider requesting staff input regarding the manual.

Employee Manual as Family Practice Review

If you base what you do on inaccurate information, you might be unpleasantly surprised by the consequences. Make sure you get the whole Family Practice story from informed sources.

Request that staff members detail their own job descriptions and information. Reviewing the result will immediately point out any areas where expectation on the part of management isn’t made clear. If the required activities blur between departments, details may need to be included in both business and medical staff sections.

Once the family practice employee manual draft has been reviewed, any problem issues that have been revealed will need to be discussed and dealt with. It may be necessary to not only re-write the manual but also to reconsider the division of labor among staff members. Pay scale information should be included for each area of labor. Review of this information may reveal inconsistencies that need to be corrected.

Legal Issues and Family Practice Employee Manuals

No matter who authors the family practice employee manual, it is wise to have a legal professional review the final draft. All practices, payment detail and other information should be reviewed in accordance with local, state and federal law requirements. Provided information should be clearly stated in a way that any employee can easily understand policies and prerequisites.

Family Practice Employee Manual Final

Once the family practice employee manual has been reviewed for errors in typing, duty descriptions, details, pay scale and legal information, the manuals should be printed and assembled. Assembly options include putting printed pages inside three ring binders (easy to make changes and update) or going so far as to have the manuals printed and bound in paperback or hardcover form. The latter makes re-printing necessary should involved updates be required at any time.

Once the completed family practice employee manual is ready for use, all staff members should receive a copy. It is suggested that each be required to sign a form indicating not only the fact that a copy has been received but also the fact that the manual has been read and is understood by the staff member.

A well-written family practice employee manual can be a vital tool in the smooth running of the practice. Taking time up front to make sure the manual contains all of the necessary descriptive and legal information saves time, money and explanations later.

As your knowledge about Family Practice continues to grow, you will begin to see how Family Practice fits into the overall scheme of things. Knowing how something relates to the rest of the world is important too.

About the Author
By Anders Eriksson, owner of this site as well: Wealth Upgrade Club (click to claim your FREE membership)!

Successfully marketing the family practice can be done by several different methods. The best methods are those that fit the practice style, the community or city the practice operates in and any that show measurable results.

Internet Marketing for Family Practice

The Internet is becoming more and more available, even in rural areas. Every family practice should have at least a webpage, if not a website, representing the practice online. The website should reflect the style and tone of the family practice. Practices where younger patients are seen will probably want to use a younger style in web design. For practices focusing more on older or even elder patients, the website tone should probably be more classic.

Ideally, the family practice homepage should be simple and to the point. Added pages can target the different age groups, different treatments offered, and other such divisions. This way, the page about pediatric treatments can be more child friendly. Teens are a class unto themselves and pages targeted toward teen patients should include more technology, even video or audio.

Every page of the website should include not only contact information but also a signup form for viewers to provide name and address in return for free health information and inclusion on the family practice email newsletter.

Email Marketing for Family Practice

Family practice newsletters can sent out regularly via email as well as being available in print form in the facility. Regular newsletters can contain health information, clinic news, customer news and appreciation information, games, trivia and more.

The newsletter should be specifically targeted toward those who will be receiving it. The tone should reflect the tone of the practice and the style should fit the community as well as the market. Family practices may wish to encourage user generated content by allowing comments and/or encouraging visitors to post tips, healthy recipes, etc.

The information about Family Practice presented here will do one of two things: either it will reinforce what you know about Family Practice or it will teach you something new. Both are good outcomes.

Newspaper Marketing for Family Practice

In addition to standard newspaper ads, health information articles and blog excerpts linking to the family practice website or blog can be used. Newspaper readers who pay little attention to ads are likely to read articles or blog excerpts. A weekly column is another good way to market the family practice in local and area newspapers.

Professional Publications

Published articles and information in professional publications is a good way to build credibility and professionalism. Notice of such publications can be posted on the family practice website, blog and in newspaper announcements.

Community Participation

Family practices can greatly increase visibility by participating in community activities. In addition to joining appropriate clubs and organizations, clinic staff members can speak at area schools and daycares, participate in community fund raising events, parades and holiday celebrations and even sponsor community events. Providing tours for young schoolchildren can help ease the fear of physicians and medicine in young minds. Providing tours for older students who are considering careers and college is a good way to interact with the community and encourage education.

Branding Publications

The family practice can have standard health information booklets printed with the practice logo and give them away in the clinic, at the Chamber of Commerce, at health fairs, and other venues. Community health fairs are an excellent way to come in contact with potential clients.

There’s a multitude of ways and means to market the Family Practice. The best ways are those that fit the tone and style of the practice and fit the community or city where the practice is located. Marketing styles should blend well with the targeted population. Take the audience into consideration when looking at marketing methods.

About the Author
By Anders Eriksson, owner of this site as well: Wealth Upgrade Club (click to claim your FREE membership)!

When you’re learning about something new, it’s easy to feel overwhelmed by the sheer amount of relevant information available. This informative article should help you focus on the central points.

You may have had the same family practice doctor for a great number of years and just got news that he is about to retire. You are beside yourself and are in a panic mode trying to even fathom who will be able to take his place. Because of the fact that family practice doctors are considered somewhat old school, it is likely this will happen one day.

Your doctor will find someone to take over his family practice that he is confident in and believes has a good bedside manner. He will probably familiarize himself with the new doctor first and have him come to the office during business hours and watch how your doctor conducts business and possibly to see any interaction that the new doctor may have with the patients and staff.

This process will probably begin months or maybe even as much as a year before your doctor’s retirement. You will probably be notified first by a personal letter from your doctor announcing his retirement but it is possible that the first time you hear about it could be from rumor or gossip. You will have plenty of time to make at least one appointment with your doctor before he goes and he will value your opinion on your feelings toward the new doctor.

If you base what you do on inaccurate information, you might be unpleasantly surprised by the consequences. Make sure you get the whole Family Practice story from informed sources.

The nurse staff will probably give you a good heads up too as to whether or not they like him, especially if they do not, as they will get a job somewhere else. If the staff stays it is a sign that you are probably in good shape. Remember, you have been dealing with the staff for a long time so they will at least give you an eye roll if they do not think you will care for him. Trust in your doctor, he is the one who picked him.

Once more before your doctor retires, you should be able to have an opportunity to meet with your doctor while the new doctor is present and speak with both of them. This makes the transaction much smoother. After all, this is a huge transition for you and your doctor understands that.

When it is time to schedule an appointment with the new doctor, you will at least know what to expect. It is certain that the new doctor will do all he can to make your visit comfortable. He will want to go over your chart and see what your past medical history has been. He is now your new family practice doctor, of course he will want to know. Be confident and if you have any apprehension, tell him about it. It may even take a visit or two before you will get to know him and be certain of a choice between stating with the new doctor and perhaps checking out the competition of other family practices in your area.

Chances are that your new doctor has had a chance to scope out any weaknesses that your old doctor had and maybe he corrected them to make the new family practice even better than ever.

About the Author
By Anders Eriksson, owner of this excellent site: Product Profits Club (click to claim your FREE membership)

This article explains a few things about Family Practice, and if you’re interested, then this is worth reading, because you can never tell what you don’t know.

Tax entity choice can affect family practice in many ways. Making the right choice will help protect both practice and physician.

Family Practice Entity Types

Typical entity options for family practice include sole proprietorships, general partnerships, limited liability companies, limited liability partnerships and professional S or C corporations. The two biggest influences in choosing the right entity are protection against litigation and the financial issues associated with the entity. It’s important to consult a legal professional before making this family practice financial decision because the implications can be tremendous.

Choosing to operate the family practice as a professional corporation, a limited liability corporation or a limited liability partnership usually provides protection against personal liability regarding the actions of any other physicians in the practice.

For financial reasons, most group family practices tend to choose professional corporations. The professional corporation, whether S type or C type, provides the practice with protection from financial creditors.

Sole Proprietorship & General Partnership

The sole proprietorship is the cheapest and easiest choice in choosing a tax designation for the family practice. Business income and expense are reported on a schedule C. The problem with a sole proprietorship is that the physician’s assets can be taken if the business is sued. This is a lot like a sole proprietorship, except that there are multiple business owners involved. Again, there is no liability protection when using this entity.

Limited Liability

You can see that there’s practical value in learning more about Family Practice. Can you think of ways to apply what’s been covered so far?

Limited Liability Partnerships are the only kind of unincorporated entity that provide some form of protection from personal liability (including protection from liability for the actions of staff or other physicians in the practice.) A physician could lose his practice with this form of entity, but personal assets would be safe.
Limited liability companies are much like a mix of the best available entity benefits. They are fast becoming the entity of choice for many family practices.

Incorporated Entities

Incorporating the family practice is more involved and more expensive but more protection is offered. The biggest reason physicians choose an incorporated entity is the protection from personal liability regarding the actions of colleagues. C corporations have several benefits. They also have a downside – it’s possible to be doubly taxed. S corporation profits are not taxed twice.

Entities and Tax Issues for Family Practice

Tax liabilities are important to consider when choosing an entity. Professional C corporations will pay a flat 35% rate tax on net income but profits can be taxed twice. Professional S corporations don’t result in double taxing of profit but it isn’t possible to write off the cost of all benefits.

There are many implications when considering tax rates and entity. In order to avoid duplicate taxing and other negative consequences, consult a financial advisor and make sure all involved details are understood.

Cost of Entity Set Up for Family Practice

The cost to set up an entity and maintain it vary according to state rules and regulations. Professional corporations require more record keeping and paperwork than do limited liability partnerships or limited liability corporations.
When setting up the Family Practice, it’s important to take the time and money necessary to investigate options regarding incorporation, tax and related issues. Once the best entity has been recognized, it’s important to legally implement it and maintain it.

When it comes to tax related issues, careful consideration is important, especially regarding the setup of the family practice. Decisions made now affect the practice down the road. Consult with legal professionals before choosing the entity for the family practice.

About the Author
By Anders Eriksson, still having the Free Adsense Sites available for instant download

When setting up the family practice, some essential services, including telephone, mail, answering service and medical transcription will need to be addressed.

Family Practice Telephone Systems

The family practice telephone system is vital. When evaluating potential telephone systems, there are a few key considerations. What rooms will phones be required in? How much automation is preferred? Does the system need to send automated calls to patients reminding them of appointments or scheduling issues? Does the system need to play music or present health information while callers are on hold?

What about wireless systems? What about hands free systems? What about caller id, voice mail and long distance services? High speed Internet services will not require an extra dedicated telephone line. If high-speed services are not available, one telephone line will be required for Internet.

Once the requirements of the family practice telephone system are identified, it’s time to go shopping. Innovations in wireless technology have resulted in more and more practices using wireless products.

Choosing an Answering Service

Family practice personnel cannot be answering telephones 24/7. It’s important to choose the right answering service to represent the clinic. See what service other physicians are using. Check references and reputation. Some hospitals provide answering services.

It will be necessary to define answering service criteria. What constitutes an emergency? What about calls from family members? How much information should the answering service get in addition to a telephone number?

Sometimes the most important aspects of a subject are not immediately obvious. Keep reading to get the complete picture.

The more specific the details in what is required of the answering service, the easier it is for the answering service to meet those requirements.

Handling Mail

While email and faxes are often used for correspondence, standard mail is important. A small family practice may find it sufficient to simply purchase stamps in the beginning. As the practice grows, however, the mail volume will too.
Postage options include the United States Postal Service online mailing and shipping as do services including Stamps and Endicia. Various companies provide postage meters. Pitney Bowes is one of the best known.

For packages, large and small, the UPSP online mailing and shipping service is available. Independent carriers include DHL, UPS and FedEx. It is necessary to use a street address with independent carriers. They do not deliver to post office boxes.

Medical Transcription

Medical transcription was once an issue of sending dictation to be transcribed either in the clinic or outsourced to someone in the area. New developments in family practice computer software and electronic medical record software has eliminated the need for transcription in some clinics. Since family practice staff, including office, nurses and physicians, input all information directly into the computer at the time it’s done, patient records are always current.

If medical transcription will be required, decisions must be made about whether to employ someone to take care of it in the family practice clinic or outsource it. If using a medical transcription service, it’s important to check references and reputation. It doesn’t hurt to ask other physicians what service they are using.

Some services are vital to operating the family practice. Reliable telephone systems that handle all required tasks, a quality answering service, a convenient and affordable mail handling system and medical transcription are just a few of those services.

Is there really any information about Family Practice that is nonessential? We all see things from different angles, so something relatively insignificant to one may be crucial to another.

About the Author
By Anders Eriksson, still letting you get Unlimited Web Hosting from ONLY $1/month

When you’re learning about something new, it’s easy to feel overwhelmed by the sheer amount of relevant information available. This informative article should help you focus on the central points.

Assigning or defining the value of a Family Practice is not something that’s easily done. Nor is it something most physicians think about until forced to. Knowing the value of the Family Practice is part of practice management. It can serve as a measuring tool for evaluating practice growth in good times. Should death, divorce or other circumstance force a sale, correctly valuing the Family Practice is important.

Standard Valuation Methods: Comparison

One way to value a Family Practice is to compare the Practice to others in the local area. While this may work for realty situations involving homes or buildings, it doesn’t work in this case. The problem with this method of valuation for Family Practice is that there are too many intangibles involved. Not all Family Practices are the same size or serve the same patient base. There are too many variables to arrive at a reasonable sum.

Standard Valuation Methods: Inventory

The inventory method of valuation looks like a simple one. All assets are inventoried and a value is assigned to them. The values are added and the total liabilities are deducted, leaving a valuation sum. The problem with the inventory method of valuing the Family Practice is, again, the presence of intangibles. It’s hard to assign a definite value to an intangible.

Standard Valuation Methods: Cash Flow

Cash flow valuation of the Family Practice takes income and accounts receivable into consideration. Too large a sum in the accounts receivable column can negatively affect cash flow figures and the attitude of potential buyers.

Think about what you’ve read so far. Does it reinforce what you already know about Family Practice? Or was there something completely new? What about the remaining paragraphs?

Standard Valuation Methods: Appraisal

Professional business appraisers usually take several issues into consideration when valuing the Family Practice. Cash flow and a potential practice growth in years to come are part of the process.

Standard Valuation Issue: Goodwill

One intangible asset that may be overlooked in the family practice valuation process is goodwill. Goodwill is an asset that is often defined by charisma and an inherent talent that invites trust. Goodwill includes the ability to attract and keep clients, reputation, etc. Some professional appraisers add goodwill to the valuation, others do not.
According to some reports, the assigned value of many Family Practices is 20 to 50 percent goodwill. This is an important figure. If the physician operating the practice is a large part of the reason the practice is successful, what would the family practice be without that physician?

Professional goodwill is a conglomeration of experience, reputation, charisma, skills, abilities, etc. of a physician. Practice goodwill is based more on location and the nature of the family practice and how long it has been in business.

Valuating Goodwill

One commonly used method of calculating the value of goodwill in a family practice is comparing the family practice to that of another physician with similar background and specialty. The low number is subtracted from the higher one. The resulting sum is then divided by 20 percent. The result is the goodwill dollar value.

If the need to value the family practice should arise, a general valuation or valuation method will be available. If a professional appraiser is chosen, it should be one who does use the goodwill factor.

I hope that reading the above information was both enjoyable and educational for you. Your learning process should be ongoing–the more you understand about any subject, the more you will be able to share with others.

About the Author
By Anders Eriksson, now offering Unlimited Reseller Hosting from $5/month