Underleveraged? Working Assets As A Capital Strategy

Last week I looked at the financing options for health and human service organizations looking to increase that ever-important resource – capital (see Need Capital? all members). Why the growing concern about access to capital? The basic equation for success is a moving target due to changing payer preferences. Payers are increasingly looking for an improved "value equation" – and opting for contracts with service provider organization with coordinated delivery models for complex consumer that accept value-based payment methodologies (see The Cost Of 'Competencies' all members). These are business models that demand capital to build and maintain.

How to make . . .