What You Need to Prepare for Selling Your Medical Practice

Financials

  • Business tax returns for at least prior two yrs and a year to date income statement
  • Quantity, and collections by cpt code for year to date and the previous 2 or 3 years
  • Prior years w-2s, 2 current pay stubs. 1099 income or any outside income along with employment agreements
  • Staff w-2s and a description of their role and job functions
  • Financial statements (profit & loss statements, balance sheet)
  • Collection summary (units, payments, & charges) by CPT code by provider (including modifiers)
  • Payer mix (units, payments, and charges) by insurance carrier
  • Capitated arrangements – contract, panel size, utilization stats, revenue

Operations

  • CVs for MDs and PAs/NPs (MM/YYYY format)
  • W-2s and 1099s (MD & non-MD)
  • Payroll report for most recent pay period
  • Current staff roster (name, title/function, hours per week and hourly date)
  • MD employee contracts (either internal or outside agreements)

Risk Management

  • Fully completed & signed risk management questionnaire for each MD
  • Declaration page (Face sheet)- from all insurance carriers within the last 15 years
  • Claims History Report (generated by current and previous insurance carriers)

Real Estate

  • Fully executed lease (including all riders or exhibits)
  • Certificate of Occupancy
  • Current Rent Bill with Name of Payee and TIN
  • Floor plan, Included Utilities, and No. exam procedure rooms

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