With the aging population and our growing armamentarium of therapies, it’s no wonder that our retina clinics are busier than ever—and health care services such as ours are in the crosshairs of savvy investors.

Our job as retina specialists will always be to take care of our patients and help them maintain their vision. It just so happens that this endeavor, when done properly, can be quite lucrative for private equity (PE). Investing in health care services accounts for 10% of all buyout and growth deals in the United States, and PE still has an estimated $62 billion to spend.1

In our small corner of retina, that translates to a slew of acquisitions. For example, Retina Consultants of America added close to 10 practices to its group in 2022 and now operates in 20 states across America.2

The key is “when done properly.” When PE first hit the health care scene, it wasn’t particularly pretty. Some physicians found themselves in unfavorable situations, both financially and in terms of patient care constraints. It left a bad taste in our mouths, and it has been a slow recovery. The good news is that we learned a lot from those early experiences; today’s PE setup is smarter and, with the right structure, most practices are thriving with PE.

This issue’s featured article tackles the pros and cons of selling to PE—and not just from the physician owner’s perspective. Yes, it can be an excellent exit strategy for owners, but it could also be a beneficial move for everyone within the practice. According to Dena Jalbert, MBA, CPA, having the right team behind you is what makes or breaks a PE deal.

If you already made your PE move, aren’t interested, or already know the ins and outs of PE, we also have several other articles to help improve your practice’s financial health. Debra Phairas, MBA, shares tips to help you reduce overhead; Joy Woodke, COE, OCS, OCSR, provides an update on coding changes for 2023; and Jason O’Dell, MS, CWM, and Andrew Taylor, CFP, tackle tough questions you need to ask yourself when evaluating your financial advisors.

Whether we like it or not, the way we practice is changing. Patient care will always be first, but a practice’s financial stability is now more important than ever before, and that’s true whether you are part of a PE-backed group or not.

Alan Ruby, MD
Section Editor

1. Q3 2022 Healthcare Services Report. Pitchbook. November 14, 2022. Accessed January 16, 2023. pitchbook.com/news/reports/q3-2022-healthcare-services-report

2. News & Press. Retina Consultants of America. Accessed February 17, 2023. retinaconsultantsofamerica.com/categories/news-press