In the recent Becker’s ASC Review Jason L. Ruchaber (HealthCare Appraisers) reports “there are five aspects of ambulatory surgery center operating agreements which can have significant negative implications on value:”
1. Predetermined formulas
2. Failure to update
3. Ambiguous or misused terminology
4. Control provisions
5. Restrictive transfer provisions
Read Ruchaber’s article “5 Valuation Pitfalls in Surgery Center Operating Agreements” for more information on each of the five aspects.
For more information on valuing an ambulatory surgery center (ASC), attend BVR’s webinar Ambulatory Surgery Centers: Current Valuations, Benchmarking, & Forecasting on Tuesday, March 22nd. Todd Sorensen, Elliott Jeter and Kevin McDonough (VMG Health) will provide an in-depth look at the valuation challenges inherent in ASCs.
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