ÉTALON HEALTHCARE VALUATIONS
The numbers tell a story. Experience tells you whether it's true.
We read the financials the way a physician reads a chart — looking for what the numbers are trying to tell you, and what they're leaving out.
A medical practice is among the most complex assets to value accurately. Revenue isn't a single fact — it's a story about referral relationships, payer mix, and physician dependency. A defensible value conclusion requires reading all of it.
Étalon Healthcare serves physician practices and the full range of healthcare and healthcare-adjacent entities: dental and oral surgery practices, veterinary practices, behavioral health and mental health clinics, physical therapy and rehabilitation groups, optometry and ophthalmology, ambulatory surgery centers, imaging centers and diagnostic labs, home health and hospice agencies, and physician management organizations and MSOs. The clinical background, regulatory fluency, and CVA methodology apply across all of them. For non-healthcare business valuations, see Étalon Advisory.
Goodwill - One of the most important distinctions
One of the most consequential distinctions in physician practice valuation is the separation of enterprise goodwill from personal goodwill. Enterprise goodwill is transferable — it stays with the practice when the physician leaves. Personal goodwill is not — it walks out the door with the physician who built the referral relationships, the clinical reputation, and the patient loyalty. This distinction has significant consequences in transactions, in divorce proceedings, in shareholder disputes, and in estate planning. It requires an analyst who understands how healthcare practices actually operate — not one reading a balance sheet from the outside.
Common Uses
Transaction
• Practice sales and acquisitions
• Private equity and health system deals
• Buy-ins and buyouts
Regulatory
• Stark Law FMV opinions
• Provider compensation
• AKS (Anti-kickback statute) safe harbor review
Legal & Planning
• Partnership disputes
• Estate and gift tax planning
• Divorce and dissolution
• Succession planning
Methodology
Three primary approaches — income, market, and asset — weighted by engagement context and consistent with NACVA professional standards. Healthcare valuation requires understanding clinical revenue cycles, payer mix dynamics, and the regulatory frameworks that govern physician compensation and healthcare transactions. Every conclusion is specific, documented, and defensible.
Training & Credentials
• CVA-Candidate (NACVA) — trained in business valuation methodology and professional standards
• CPCV (Certified in Provider Compensation Valuation, AAPCP) — pursuing: specialist credential in Stark Law FMV and commercial reasonableness opinion standards
• DPM, FACFAS — board-certified physician with direct practice ownership and transition experience
• Stark Law (42 U.S.C. §1395nn) and AKS (42 U.S.C. §1320a-7b) — regulatory fluency
• IRS Revenue Ruling 59-60 — closely-held business interest valuation standards
The Deliverable
A written report: executive summary with concluded value, financial statement analysis, application of all three approaches, reconciliation, and analyst certification. Delivered in a format appropriate for the purpose — transaction, CPA workpapers, attorney, or court. Typical timeline: four to six weeks from complete documentation.
Investment / Fees
Fees are scoped to the size and complexity of the engagement — typically $7,500–$35,000+ for a practice valuation, confirmed after an initial consultation and document review. Provider compensation FMV opinions and retainer arrangements are available separately — ask during your consultation.
On-Site Availability
Depending on the nature and complexity of the engagement, on-site work may be included as part of the valuation process — site visits, facility walkthroughs, and in-person interviews with staff or ownership. Travel is arranged as needed to support the integrity of the analysis.
How to Engage
01
Discovery call to define scope
02
Engagement letter and fee deposit
03
Document request and data gathering
04
Financial analysis and draft report
05
Final report and consultation
"Meaningful healthcare valuation begins where clinical care, operations, and financial performance intersect."
— Esther Barnes, DPM, MBA · Founder, Étalon Healthcare · Valuation Analyst · Financial Advisor