At the 20th Annual Spine, Orthopedic + Pain Management-Driven ASC Conference, attendees gathered to hear an engaging panel discussion, "Orthopedic Practice Mergers: Key Pitfalls to Avoid and Challenges to Overcome."
The panel featured Kyle Anderson, Vice President of ASC and Ancillary Services at Ortho Rhode Island; Jennifer Friend, Chief Executive Officer and Owner of Friend Surgical Solutions, LLC and Chief Operating Officer of National Spine Institute; Curtis Mayse, MBA, FACMPE, Chief Executive Officer of Steamboat Orthopaedic and Spine Institute; and Alejandro Fernandez, MBA, CMPE, Chief Executive Officer of Synergy Orthopedic Specialists. The discussion was moderated by Scott Becker, JD, Founder of Becker's Healthcare and Partner at McGuire Woods LLC.
Key Takeaways:
1. Merging or integrating with other practices requires evaluation and leadership: The process of merging or integrating with other practices is complex and requires clear communication and leadership. Evaluating both businesses is important, and having a defined leader and executive team as soon as possible is critical for success.
2. Private equity can be a valuable option: When considering private equity deals, it is essential to have a clear understanding of why you want to do it. A banker can help navigate the process, and it is crucial to ensure that your goals are aligned with those of the PE firm. Additionally, it is important to remember to keep autonomy, name, payer contracts, staffing, and other elements of the practice.
3. Trust but verify and take enough money off the table up front: When selling to private equity, it is crucial to trust but verify and ensure that you take enough money off the table upfront.
4. Exciting developments in the healthcare industry: The group highlighted exciting developments, including the use of AI on the operations side, changes in law impacting commercial payers, and building out more ASCs with anesthesia. Additionally, members discussed building a brand for cervical disc replacement surgery and exploring how to get paid for it.