PF Insights

This episode of PF Insights kicks off our Crucial Questions series - a five-part series aimed at answering the most common questions we receive from potential physician clients regarding ophthalmology practice acquisition. We start with our most common first question, "Is my practice a candidate for acquisition?"

Behind that question, our physician clients have related beliefs or assumptions that we address with the market's reality.

How many physicians are required in a practice in order to be considered an attractive candidate for acquisition? 0:59 - 5:34
The market has opened up for almost all practice sizes
What exactly are private equity investors buying? 5:35 - 8:25
EBITDA and the physician-owner as an employed physician
What about the real estate? 8:26 - 11:30
Post-sale real estate options and requirements

This episode wraps up our three-part series and focuses on Culture; an extremely important transaction issue to both buyers and sellers. We discuss the new partnership approach and the many ways that a private equity transaction can be very positive for physician-owners of all ages and practice size.

We also discuss why orthopedics and spine will soon become a hot vertical.


How business-side and clinical-side culture is affected by a private equity acquisition 1:05 - 5:44
No longer limiting physician choice and dictating the supply chain
Embracing a positive culture, practice growth and new equipment purchase
What vertical is next? Early stage interest in top orthopedic and spine practices 6:10 - 9:47
Principally spine care from orthopedic surgeons and neurosugeons
Favorable supply and demand scenario and global migration towards lower cost ambulatory care
Why private equity transactions work for young physicians 9:48 - 13:17
Practice growth and partnership buy-in mechanisms bring new and attractive opportunities for associate physicians

This episode continues our three-part series on the outlook for private equity interest in 2018. We look at where things have been, where they are today, and where it is all going.

Importantly, we begin to focus on the fundamentals and the concerns. We drill-down into today's selling opportunity and discuss the value of investment bankers centered around two common question from physician-owners ... "When is the best time to sell?" and "How will my life change after the transaction?"

PE trends and what they mean for small and medium sized practices 1:20 - 3:51
Explanation of 'multiples', EBITDA, and compensation 3:51 - 7:25
Drilling-down on today's selling opportunity and "the best time to sell" 7:26 - 10:45
Talking through common physician concerns 11:10 - 15:58
The value of using investment bankers and focusing on "The Complete Deal" 15:59 - 22:42

The first PF Insights episode will kickoff our series on what physician owners can expect from private equity in 2018. In this episode, we will offer a brief history of PhysiciansFirst as well as an overview of private equity's emerging interest in ophthalmology. We discuss the positive differences of today's buyers versus those of the 1990's and break down interest and activity by regions and by practice size.

Meet Andy and Eric 1:00 - 4:00
History of PhysiciansFirst Healthcare Partners 4:00 - 5:22
Explanation of explosion of M&A in Ophthalmology in 2017 5:22 - 8:25
Untouched regional transaction activity and development 8:50 - 10:25
Areas of opportunity for small and single physician practices 10:26 - 13:35
Importance of profitability 13:36 - 15:07
The critical and positive differences of today's investor goals versus the 1990's 15:08 - 20:46