Appraising a Medical Practice

The “Art of the Deal” for Buyers and Sellers

By Dr. David Edward Marcinko; MBA, CMP™


Are you considering selling your practice — or merging it with another? Thinking of buying? If you are, you’re hardly alone. Despite the decline of the big physician practice management companies [PPMCs] of the 1990s, the merger-and-acquisition market remains robust for small, private practices, as they respond to the continuing financial squeeze being placed on them, in 2009.




Humana’s YourPractice is a quarterly publication for office staff, physicians and other health care providers within the Humana network, and is produced by Corporate Communications in conjunction with “Physicians Practice”.


Note: David Marcinko is also a writer for Physicians Practice 


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2 Responses

  1. More from Dr. Marcinko

    Here is an AMA link with a bit more info on the topic of medical practice “goodwill” from our Editor-in-Chief, and a few others.

    Hope Rachel Hetico, RN, MHA
    [Assoc. Prof Healthcare Administration]


  2. The article referenced above provides a good summary of some points that both buyers and sellers of a medical practice should consider. Both parties should consult with experts who are familiar with the proper valuation of a medical practice. The use of an independent valuation from a qualified appraiser can protect both buyers and sellers from accusations with respect to anti-kickback regulations.

    In instances where no third-party appraisal has been performed, hospitals have been accused of over-paying for physician practices in exchange for future referrals.

    Brian J. Knabe; MD


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