Unlike the Field of Dreams you may build it and they won’t come. The Study Phase offers a proven method of evaluating the business risk based on 8 – 12 minute drive times in peak traffic hours (5-7 PM), the demographics within those 12 minutes, the competition and the number of Active Patient charts served by your affiliated physicians.
Representatives from the hospital, physicians’ office and/or community (the Center Team) will meet with representatives from VisionBridge to formally recognize the start of the project. Expectations and goals are formalized, roles and responsibilities are outlined and next steps are clarified.
Real Estate Selection
The goal of this phase is to compile a portfolio of real estate location options for the project designed to maximize convenience for the target market, leverage signage and location visibility and aggressively manage expense by seeking out the most economically sound rent costs and tenant improvement contributions.
Clear understanding of the market potential in which the Center will operate is critical to its successful operation. An intensive review of the specific market will be performed by the independent management consulting firm Management Vision, Inc.
The economic forecast provides a comprehensive evaluation of the complete facility concept and provides operating pro forma financial statements and goals. This study also reflects a review of financial goals, competitive analysis of similar facilities and their success formulas, membership concepts and pricing alternatives, design concepts and budget takeoffs for all planned capital costs, start-up and “soft costs”, and a 5-year operating income statement with financial input for the Business Plan.
The Final Presentation to the Center Team will include findings from the Demand Analysis, Economic Feasibility, a detailed pro forma, and a discussion of the financial implications of funding the project. If the results of the Final Presentation prove favorable, then the project moves forward into the Development Phase.