A financial feasibility study is a natural follow-up to the market study, and when combined they represent a comprehensive feasibility analysis of any project. At The Fox Group, our team of experts has assisted healthcare organizations of many types to determine the financial feasibility of a wide variety of projects. In each case, our many years of hands-on experience and understanding of the details that go into developing reliable financial projections have enabled our clientele to make well-educated decisions about the viability of their plans.
New healthcare facilities, facility expansion, or implementation of a new medical service line
The introduction of new services, the acquisition of high-end medical equipment, or reassessing a variety of internal operating procedures are just a few examples of opportunities to adjust an organization’s routine that may ultimately result in a positive financial outcome, but may also subject the daily operation of your organization to immense financial pressure. Likewise, the renovation or expansion of an existing healthcare facility, or the construction of a new inpatient, outpatient, or other ancillary service center, has the potential for far-reaching financial consequences related to direct costs, project financing, and the potential for revenue to offset both.
Completing a financial feasibility study for your healthcare business venture is an essential early step in the process of successful business planning. Doing so will offer guidance on answering the question, “Will it work?”. Furthermore, when the project also benefits from a market study, a financial feasibility analysis will answer the question, “If it works, how will it best work?”
Detailed financial forecasting and cost/benefit analysis for your healthcare projects
When you entrust The Fox Group with the responsibility of conducting a financial feasibility study for your organization, your project will be assessed in tremendous detail using real market statistics and comps, combined with our own operations experience and expertise. We use proprietary tools that have been developed by us over the years, leading to projections as, or more detailed than any profit and loss statement you may be accustomed to. Financial projections that take into account things such as …
- Capital requirements
- Units of service
- Payor sources
- Revenue rates
- Collection patterns
- Provision for bad debts
- Staffing patterns and labor rates
- Benefit costs
- Directs costs
- Overhead costs
- Break even points
- Cumulative negative cash
- Cash flow analysis
- Detailed exhibits to support key financial data
- … and more.
Financial analysis that enables educated decision making and improved outcome
Our financial feasibility studies help to make well-informed decisions about a wide variety of strategic initiatives in the healthcare space. Once equipped with the level of detail and well-vetted financial projections that we provide, you can expect to have a firm grasp on whether or not your project is viable. And to that end, you will also understand issues relating to …
- Most profitable opportunities
- Optimal size or scope of service
- Debt service
- Working capital
- Lease vs. purchase
- Return on investment
- … and more.