Owning your office has great advantages.

Additional revenue, say by providing Nerve Conduction Velocity (NCV) and/or Cardiac Studies in there practice, rather than referring out in one’s medical practice can easily provide the 10% down payment for an SBA loan. Owner occupied by 20% and 80% leased out – your rent is covered. Here’s a matrix with shows the details:

Description SF Lease/SF Gross Annual Lease Per MO
Current lease data 3,000 $15.00 $45,000 $3,750
Building Purchase 15,000
Owner Occupied 20.00% 3,000 $0
Tenants 80.00% 12,000 $15.00 $180,000 $15,000
Gross Income $180,000
Vacancy -10.00% ($1,500)
Expenses -25.00% ($45,000)
CADS $133,500
P&I PMT ($45,656)
Taxes & Insurance 3.00% ($15,750)
NOI $72,094
ROI (cash on cash) 137.32%

Working Capital, Patient Care: Nerve Conduction Velocity: Benefits and Detail

Summary: Many physician ask us about working capital and loans. In many cases, the solution is right in front of them. Below is a summary of NCV testing which provides both, enhanced patient care, assuring better outcomes and increased working capital for the medical practice.

Patient Benefits:

  • Convenience: Patient stays right within the comfort zone of your practice with familiar location and office.
  • Timely: Patient is scheduled for test in days (not months) so their pain can be addressed more quickly.
  • Friendly & professional testing technician: Our certified technicians are professional, and patient focused.
  • Rigorous report: Tests are read board-certified neurologist and provide an extensive report in 2-3 days.
  • Continuity of Care: As insurance guidelines dictate, the patient may be tested every 6 months while the condition being treated remains. Ongoing testing will allow doctors to track the progress of the complaint and/or treatment to determine if it is improving or worsening.
  • Therapy support: Reports verify and define the need for the treatment plan – including physical therapy.
  • Patient out-of-pocket: Given the number of patients on high-deductible plans combined with the fact that 40% of Americans are unable to cover an unexpected expense of $400 or more, co-pays and deductibles can be a major problem for many. Depending on the billing model chosen by the practice, the patient’s co-pay can be zero to minimal. (see page 2)

Physician Benefits:

  • Patient Care and Control: Physicians maintain supervision of patient care for better Continuity of Care.
  • Quickly confirm or alter your patient’s treatment plan as needed. Testing corroborates injuries and, therefore, confirms medical necessity. This validates your CPT code.
  • Extensive reports on patient so that treatment plans are defined or modified in a timely fashion.

 Practice Benefits:

  • Liability: Solid documentation to support treatment plans and verify patient outcomes and progress.
  • Revenue: Allows practice to capture more potential patient revenue which can result either in re-investment into the practice and/or net income to the shareholders.
  • Patient referrals: In-house diagnostics sets your practice above others. This positive patient experience leads to their referrals of other patients within their center of influence.

The Ugly Truth About Merchant Cash Advances

If your practice has either struggled financially in the past, or is struggling right now, you know the pressure is overwhelming. This leaves many doctors in a panic to take any deal available, including bad deals like a Merchant Cash Advance (MCA)*. To make things worse, once you’re in an MCA, you’re “un-bankable” to most other lenders until it’s paid off. Learn more about MCAs here.

We’ve had many doctors ask us if we can get them out of MCA’s that are putting a huge squeeze on their cash flow. Yes, we can!

GPA Capital will refinance your MCA (and other short term debts) into a long-term SBA Loan. But this is Step 2. Step 1 in the GPA Capital Plan is to first increase your Internal Capital Growth dramatically, allocating that revenue to pay off any MCA or other business/personal loans.

GPA Capital uses this reported income for those six months to qualify you for a long-term SBA loan. Apply Here so that we can get you out of this pressure and on the right track.

*On the average, Drs. receive 6 to 8 MCA solicitations/MO, yep and 24 hour funding to boot!

A “make sense” proposition!

Many healthcare providers that come to us for commercial loans find the revenue from implementing a new service like Range of Motion and Muscle Testing provides the income they need without a loan (under $100k). For larger loans, they find that by implementing this, they don’t use their Operating Capital for Debt Service. The service costs you and your patient nothing (you make $3-10k/mo based on frequency), improves your level of service, patient loyalty and improves outcomes.

Find out more here: ROM/Muscle Testing Handout

Click for “How to Get Started ROM/Muscle Testing Quick Start Guide”

Financial Trends 1st Quarter 2018

by: Charles Pope, Certified Commercial Lender

February was a “banner month” for GPA Capital’s funding program. THANK YOU! Yes, we helped many Medical Practices with their Finances, but, we also learned what’s trending in today’s Healthcare Financial Environment and, as promised, we are sharing what’s trending:

  • A large percentage of physicians who “threw the towel in” several years ago, sold their practice and went to work for a larger company, e.g., a hospital, realized that “that” was not a panacea and are re-entering private practice.
  • That being said, the game has changed over the past several years. We can now define the PPR (Potential Patient Revenue) more accurately than ever. This allows the provider to see less patients, provide higher quality of care and receive more income. This allows us put these systems in place for our clients, enabling us to accurately forecast income which, in-turn, is used to demonstrate the physician’s ability to amortize borrowed funds.
  • A much larger “Sales and Marketing” budget is now required. This is not only true for the roll-out, but even in a debt consolidation refinance, the fresh start budget has proven to be necessary to break the mold of the downward spiraling cash-flow.

Chiropractic Care and Diabetic Peripheral Neuropathy!

Diabetes is a leading cause for Peripheral Neuropathy, as 60% of those with diabetes will develop this painful condition. Although chiropractic isn’t a cure for Peripheral Neuropathy, it should be an integral part of any diabetic patient’s treatment plan.

“Chiropractic care is an effective treatment for Peripheral Neuropathy because it targets the root cause for a patient’s pain symptoms; we do not simply rely on medication to numb this pain. While chiropractic care is not a ‘cure’ for Peripheral Neuropathy, it is an important part of an effective treatment program.”   Chiropractor Paul Raveling.

Raveling also believes that early diagnosis and treatment may reduce the severity of the motor nerve and sensory nerve damage, as well as help patients with the management of the disease. Therefore, Nerve Conduction Velocity (NCV) and Electromyogram (EMG) testing should be a pivotal part of every chiropractor’s diabetic patient’s treatment plan. GPA Capital writes this into our business plans for our chiropractic clients (PCPs also), as we focus on the top two business strategies 1. better patient outcomes and 2. better practice cash flow.

For this reason we created just published the attached white paper to bring clarity to this subject [click for whitepaper].

Planning a Profitable 2018: A Daunting Task

strategic-planWhereas Cash Flow is the “life blood” of any business, recording, collecting and analyzing your business’ operations is the “heart.” The goal, always, is Continuity and Diversity of Income. Therefore, successful practices start their fiscal year with a plan that describes the strategic goals of the organization, its financial and other resource needs. Capital partners such as banks may require a formal business plan before approving credit. GPA Capital has developed a Planning Tool to help our followers and clients. You will benefit by reviewing these Top 10 Strategies:

Strategies I: Strategic plan

Strategies II: Budget

Strategies III: Legal

Strategies IV: Finance

Strategies V: Insurance

Strategies VI: Credentialing/Third-party payors

Strategies VII: Facilities

Strategies VIII: Staffing

Strategies IX: Practice Management

Strategies X: Banking Relationship

For further assistance and direction, feel free to complete GPA Capital’s brief Medical Practice Questionnaire at no cost or obligation.[Start Here]

Top 10 Reasons Physicians’ Commercial Loans Are Declined.

Whether expanding your existing practice, purchasing a practice or planning your exit, at some point you will be planning to borrow funds for your Medical Practice. Each loan is like “going to battle” with a bank. Listening to the horror stories of our clients who have come to us after being shot down for their commercial loan request, we felt that it would help future borrowers to share what we have learned. Below is the short list and attached is the whitepaper.

  1.  Applying with the wrong lender. Simple, but the number one reason.
  2.  Lack strong “compensating factors”
  3.  Can’t properly document your income
  4.  Inexperienced loan officer or mortgage broker
  5.  Your reasons for seeking a long don’t make sense.
  6.  You don’t have a solid business plan.
  7.  The outside conditions are too risky.
  8.  Picked the wrong type of venture or initiative
  9.  Sandbagged by a know-nothing appraiser
  10.  Bushwhacked by new rules

GPA Capital tailors each unique loan for its providers to best serve their needs. Equally as important, we structure the loan package for minimum chance of being declined. Plus, we always have backup plans 2 and 3. Funding to a conclusion is our goal. Please review the material and should you decide, you can get started here.

The Existential Threats and Solutions to Small to Medium Practices

Part 3 of our educational series on Finance for Physicians. Now that you understand the fundamentals we laid out in week 1 educational series and week 2 educational series, our Healthcare Lending Team created the next whitepaper “The Existential Threats and Solutions to Small to Medium Practices”. Enjoy!

How to think like your banker: GPA’s guide to lending

By understanding the fundamentals of how your banker analyzes potential loans, you become a much more formidable borrower. Plus, an educated and knowledgeable borrower is our best client.

Your banker subscribes to the “5 C’s” which he learned in banking school. We put together this informative eBook that is part of a 5 part series to bring you current with the state of the borrowing industry and how you might leverage your resources to improve your practice’s financial situation. The Five C’s Whitepaper, Educational Series 1 of 5. Enjoy!