Mco Financing
Consulting
Helping
You Make More Money!
Financial Turnarounds
The plan for and execution of a complete
financial turnaround must include and accomplish the following, with no
exceptions:
|
Expenses must be reduced |
|
Revenue
must be increased |
|
The
entity’s three publics must be served |
|
Market
share must be protected and expanded |
|
Depreciation must be funded |
That's a lot of "musts", but if only
one of the five is not accomplished, the turnaround is incomplete, sometimes
called "transparent", and the future is most certainly not assured.
In addition to many business turnarounds and
bank workouts, Mco Financing and Consulting has performed three complete financial
turnarounds: two hospitals and one HMO. A summary of each is presented below.
Clinica Asociacion Cubana
"Now an honorary Cuban, John made our HMO/Surgicenter
profitable. We owe him greatly." - Ben Leon Jr., President,
Clinica Asociacion Cubana
Losses were $3 million per year for over three
years. American Medical International, the owner, asked for help...
·
Six months on site followed by 4 months of phone
consultation
·
Obtained Federal Qualification status and increased
membership by over 20,000
·
Decreased A/R days by 28%
·
Designed more responsive accounting and control
systems
·
Added 5 satellite locations
·
Established new referral agreements and network
RESULTS...Produced black numbers.
New financial strength allowed AMI to sell and re-capture losses.
United Hospital
"John absolutely saved our hospital, no doubt about
it!" - Sue Fox, VP -
Chief Operating Officer, United Hospital
Hospital was losing about $3 million per year
and had predicted closure in 2 1/2 years. Depreciation hadn't been funded in
over two years...
·
Eight months on site followed by 2 years of weekly
consultation and periodic visits
·
Decreased Average Length of Stay 42%
·
Increased outpatient utilization 86%
·
Established new programs and services, identified
and penetrated new markets and formed new affiliation agreements
· Developed strategic business plan
· Performed corporate reorganization
RESULTS...Record profits, more
efficient management, empowered employees, a new strong affiliation, funded
depreciation and a major renovation and expansion project.
"John made our hospital profitable. He also made sure
all our program needs were included in the design of our new replacement
facility. I wouldn't hesitate to recommend him." - Howard Ellis,
Administrator,
Hospital had been condemned, but financials
couldn't support debt service for replacement facility...
·
Four months on site followed by 3 years of periodic
visits and assistance
·
Established new programs and services
·
Arranged visiting specialists
·
Implemented 24-hour, on-site emergency room coverage
·
Established advisory board of community's largest
employers
RESULTS...16 consecutive months of increasing
profits, construction of a new replacement facility, funded depreciation and
increased market share.
To learn
more about how we might be of service to you, please send a quick email to
jmmco@charter.net to start a rewarding conversation leading to the resolution
of your
financing
needs.
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if you
have any questions or would like to discuss a particular situation.
314-795-2700
FAX 314-754-9744
Copyright
1999 through 2006 Mco Financing Consulting