Management Services Agreement
Management Services agreements are structured to engage physician groups to partner with Healthcare Systems to improve operational efficiencies, increase quality of patient care, and achieve cost savings. These arrangements have grown in recent years as Healthcare Systems are confronted with quality-based reimbursement, increasing operating costs, and the challenge of continuing to maintain market share in their service area.
Agreements range from Co-Management Services along with Cost Sharing arrangements, to healthcare entities purchasing services from a management entity for operational and financial services, which vary widely but often include “purchased services” such as accounting and financial management, operations, human resources, strategic planning, leadership, etc.
HMS Valuation Partners performs the due diligence necessary through interviews, market research, and data collection to establish the range of Fair Market Value for the specific services and economic arrangement. With a deep interest in protecting our clients’ present and future interests, our team has valued numerous management service agreements and has the experience to provide the transaction advisory service necessary.
Valuation and Consulting Services in the following areas: