Perpetual Care Hospital: Downtown Health clinic Free Essay, Term Paper and Book Report
Executive Summary:
Downtown Health Clinic (DHC), an extension of Perpetual Care Hospital, is an ambulatory facility chartered with four primary objectives:
- To expand the hospitals referral base
- To increase referrals of privately insured patients
- To establish a liaison with the business community to addressing employers specific health needs
- To become self-supporting three years after opening.
The clinic was first opened in May 1999 and expected to be financially self-supporting by April 2001.
The current financial summary indicates that:
- fixed costs are fairly stable for the last eleven months
- contribution margins are stable between 85% - 90%
- revenues are rising and losses are falling. All these indices seem normal for a newly startup business.
- It is being proposed that 8% increase in average service charges be instituted for next year along with a reduction of bad debt from 4 to 2%. This may help to reduce the time for DHC to breakeven.
DHC currently services two market segments (i) individual - for personal illness and minor emergencies, an......
Word Count: 1117
Page Count: 4.4 (250 words a page / double spaced)
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