Surgical Health Partners, LLC (“SHP”) seeks opportunities to develop, partially own and manage ambulatory surgery centers (“ASCs”) with surgeons from multiple specialties who perform 2,500 to 5,000 cases annually and want to own significant interests. ASCs should have the ability to expand and add profitable services and should be located in service areas with at least 50,000 residents.

SHP seeks to purchase and own between 25 and 51 percent, while physicians own the balance at one to 10 percent each. SHP arranges preferred financing for physician investors and seeks to retire the debt and recoup the investment within four years. SHP is open to working with hospital investors. SHP charges competitive management fees based on a percentage of net revenue with initial and optional renewal terms of 10 years each.

Physicians derive various benefits, but also face various risks, from ASC ownership. The benefits include:

• Better Controlling the Quality of Care

• Improving Patient Scheduling, Convenience and Satisfaction

• Obtaining Equipment Needs

• Collaborating with Peers

• Enhancing Efficiency

• Accruing Financial Returns

Risks and costs include practicing in a new setting and making a financial investment.

SHP pursues the following development process with each ASC opportunity:

• Sign a Letter of Intent to Acquire or Develop the ASC

• Conduct Due Diligence
  - Meet with physicians and create steering committee
  - Collect surgical volume and financial information
  - Project equipment and facility use
  - Build pro forma financial statements
   

• Create Joint Venture Company
  - Fund initial capital needs
  - Create physician-driven governing body
   

• Complete Offering with Interested Investors