Health care mergers and acquisitions (M&A) have become a popular and necessary solution to address the shifting landscape of hospital and medical center finance. Last year was the largest year on record for medical M&A, and 2015 has charted its share of deals in the space. Recently, it was announced that a bankrupt medical center in Brunswick, Maine, will merge with a neighboring facility.
"Parkview Adventist Medical Center in Maine filed for Chapter 11 bankruptcy on Tuesday in a pre-packaged plan to combine with area provider Mid Coast Hospital, according to Mid Coast Health Services," explains Susan Morse of Healthcare Finance News. "The new Mid Coast – Parkview Health System will consolidate inpatient and emergency services at Mid Coast. Parkview will close its emergency department and acute inpatient care as of Thursday night, according to Mid Coast."
One of the best way to retain the independence of your practice, care facility or other medical enterprise is to effectively manage your revenue cycle. This means ensuring that the needed collections on payments are made without wasting operating resources beyond the point of return-on-investment.
The more efficient your collection model, the less necessary it will become to accept an M&A deal without other options. For the long-term viability of independent medical enterprises, strong revenue management is critical to success.
One way to improve revenue cycle management is to outsource receivables management. By unloading a volume of low-priority cases, hospital accounts receivable administrators can focus on collecting the most pressing and significant claims in their caseloads. This helps to reduce backlog and saves facility resources, improving profit margins and allowing operations to become more efficient. Contact Professional Medical Services today to learn more about how our solutions can improve revenue cycle management at your health care facility.