Financial Pressures Reshape Medical Practices
Three of four physicians expect to purchase, buy into, merge or sell their practice within the next four years, a survey of small practices shows.
Financial uncertainty in the healthcare sector is changing the way independent physicians and other medical professionals run their practices, according to a survey commissioned by TD Bank.
The survey of more than 340 small practices found that 50% of doctors either have or would consider purchasing, buying into, merging or selling their practice, and 73% expected to do so within the next four years.
Nearly half of the respondents (46%) said they're being pushed to make the change because it's becoming too expensive to run a practice.
"We are seeing a growing trend of more healthcare providers buying into practices with a partnership or purchasing an existing practice because they are seeking added financial security and well-established businesses," said Dan Croft, head of Healthcare Practice Solutions at TD Bank, in a media release.
"The survey findings reflect a shift in the industry because of the rising cost of doing business—from technology to insurance."