Healthcare Case Study: A Healthy Start for Concierge Medicine

Building a Strong Foundation: Business Setup & Tax Solutions

Creating the right business structure was crucial for this concierge medical practice, especially considering the ambitious plans for future growth across multiple locations. James Moore’s Healthcare team designed a forward-thinking entity structure that would accommodate the current needs of the business while laying the groundwork for future expansion.

We worked with the entrepreneur and his advisors to establish a parent company with separate LLCs for each planned location. This approach ensured everything would flow up to one entity, creating a streamlined organizational structure with centralized control.

It was an approach that delivered several key advantages:

• Streamlined startup phase: During the initial non-revenue generating period, all entities were structured as disregarded entities flowing to the owner's personal tax return, simplifying administration during the critical launch phase and minimizing taxes.
• Future tax efficiency: The structure was designed so that once the business’s locations began generating revenue, the parent company could elect S corporation status, optimizing tax treatment while maintaining operational flexibility.
• Location-specific liability protection: By establishing separate LLCs for each location, the business gained the ability to isolate potential liabilities to individual practice sites.
• Partnership flexibility: The structure allowed for the potential addition of location-specific partners without disrupting the broader organization. If a new partner were added at a specific location, that entity could be spun off into its own tax return while maintaining the integrity of the overall business structure.
• Centralized operations: The structure provided flexibility to enable centralized operations. Either the parent company could function as a management company or another subsidiary could perform these services, handling back-office functions like payroll and administration. This would eliminate the need to duplicate these systems across multiple locations.

This tax and business structure provided the practice with an ideal balance of operational efficiency, liability protection and scalability — creating a solid foundation for the new concierge medical business while anticipating future growth needs.

Related: What Business Structure Should You Use for Your Physicians’ Practice?

Fostering a Culture of Success with James Moore HR Solutions

For a new concierge medical practice starting from zero, establishing the right human resources foundation was critical given the unique staffing and service requirements of high-end medical care.

The James Moore HR Solutions team provided comprehensive support to build the practice's HR function from the ground up. This involved creating all essential elements of a professional HR system designed to scale with the growing business.

We partnered with the client to develop everything needed for the practice to recruit, onboard and manage healthcare staff effectively. This included creating an employee handbook and assembling comprehensive onboarding materials tailored to the concierge medical environment. The HR team focused on several key areas:

• Specialized recruitment planning: Developing recruitment strategies targeting candidates with both medical expertise and the hospitality mindset required for high-end patient care.
• Comprehensive documentation: Creating a complete suite of HR documents, including employee handbooks, policies, procedures and onboarding materials tailored to the specific requirements of concierge medicine.
• Benefits program development: Researching, selecting and implementing competitive benefits packages to attract and retain quality healthcare professionals, along with enrollment systems and employee education.
• Training development: Establishing training protocols specifically designed for concierge medicine, emphasizing both clinical excellence and exceptional patient experience.
• Operational workflow design: Creating HR workflows and procedures that could adapt and scale as the practice added locations and staff, ensuring consistency across the organization.
• Management education: Providing guidance to leadership on the specific staffing, training and management needs of concierge medicine (which differs significantly from conventional medical practices).

This comprehensive HR foundation established a professional infrastructure that aligned with the practice's premium service model while positioning it for efficient growth in the future.

Designing a Robust Infrastructure with James Moore Technology Services

Building a secure and compliant technology infrastructure was essential for the new concierge medical practice. The James Moore Technology Services team provided comprehensive IT support, focusing specifically on the unique security and compliance requirements for healthcare organizations.

The technology team began by consulting with leadership to understand the practice's specific needs. Then they implemented a complete technology foundation designed to support both current operations and future growth. Their approach included:

• HIPAA-compliant security solutions: The team implemented specialized security measures to ensure patient data protection in compliance with healthcare regulations. All systems were configured with security and HIPAA compliance as top priorities.
• Network infrastructure deployment: Complete network setup including installation of firewall, Wi-Fi, and core network infrastructure at the practice location. All equipment was professionally installed and configured for optimal performance and security.
• Equipment procurement and setup: The team assisted with purchasing appropriate hardware (including laptops and other essential technology) to ensure all devices met the practice's specific requirements.
• Microsoft 365 implementation: Complete setup and licensing of Microsoft 365 environment, providing the practice with professional email, collaboration tools and cloud storage capabilities.
• Comprehensive backup solutions: Implementation of backup systems for all critical data including email, Teams, OneDrive and SharePoint, protecting essential business information.
• Enhanced security measures: Deployment of robust firewall policies to keep systems secure, along with endpoint security including antivirus and antimalware protection on all devices.
• Ongoing support services: Provision of regular maintenance and responsive support, including assistance with account management and new device setup as the practice grows.

The technology solutions implemented for the concierge medical practice followed healthcare industry best practices. This established a secure, compliant foundation that could scale efficiently as the practice adds locations and providers in the future.