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3 Reasons Dialysis Centers Are Buying Ambulance Businesses

Last updated on July 30, 2011 by Sozo Staff

It’s estimated that the average dialysis patient travels to a dialysis center three times per week. Many of these patients are transported by ambulance. By buying an ambulance business, a dialysis center can capture this revenue while also increasing its services.

1. Increase Profits

Ambulance operations are some of the most rewarding businesses for investors. Though the cost of ambulance service varies by region and type of transport, the national average is approximately $55 per mile. Health care services are expected to grow in the U.S., creating more potential customers. Why let other ambulance business owners profit off your patients? For many dialysis centers, a non-emergency medical transportation business can be operated as a valuable profit center. A dialysis center already has the advantage of a built-in customer base. Since most dialysis center management is already well acquainted with health regulations and the medical sector, the learning curve may not be so steep. Additionally, an ambulance company treated as a separate entity is not limited to providing services to dialysis patients. Offering medical transport to other facilities may provide a way to diversify business and add clients.

2. Streamline Operations

Like any business, an ambulance company costs money to operate. For instance, vehicles must be maintained, drivers trained, and licenses renewed. However, purchasing an already successful business eliminates start-up costs, as important elements like vehicles, employees, and equipment are frequently included. At the same time, sharing operations with the existing dialysis center can lower operating costs thanks to a single office location, reduced overhead expenses, and the ability for more direct communication. An ambulance company need not share the same brand as a dialysis center, yet linking the two companies has the potential to be mutually beneficial.

3. Provide Customer Convenience

Bringing ambulance operations in-house provides a convenient option to patients, who are provided with a straightforward and easy-to-manage option for routine transport. More than 3.6 million Americans are unable to receive necessary medical services because they lack transportation options due to factors like age and income, according to the Transportation Research Board of the National Academies. Many of those people suffer from chronic illnesses such as kidney disease. From a dialysis center’s point of view, this translates into lost revenue from missed appointments and patients who switch to at-home care. Dialysis patients who qualify for ambulance reimbursement through Medicare may be more likely to select your dialysis center. Providing an ambulance service has the unique ability to benefit patients while boosting your center’s bottom line.

Filed Under: Transportation

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