Healthcare Finance

Healthcare Finance


You are the practice manager for Dermatology Associates of Linwood (DAL): a multi-physician dermatology practice. Recently, the physician partners have decided to invest in purchasing an existing dermatology practice in a neighboring city, which will be operated under the group’s name. They have asked you to research the financial logistics of acquiring this new location. The practice is fully-staffed, however the (one) physician owner is retiring, leaving an opening for a new physician to be hired. In keeping with DAL’s standard of care, several new expenses will be incurred with the acquisition, including: access to DAL’s electronic medical record system, a Fraxel laser, and new furniture for the waiting room area.

Draft a proposal, addressing the following items in a Word document:

  • Summary of estimated primary startup costs (create a table to illustrate and organize this information)
  • Financing options
  • Summary of when the practice will reach profitability. Explain the finance principle you can use to make this determination. (You do not need to perform the calculations, but you do need to explain how to estimate and assess profitability).
  • Include a minimum of three references, APA style, on a separate page.

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