By Kent Harlan
Tightening cash flows coupled with the likelihood of increased capital spending are a cause for concern among healthcare system executives. In fact, the problem could become a crisis over time unless non-traditional strategies are employed, In a recent report by the Healthcare Financial Management Association entitled "Financing the Future", some startling conclusions were reached regarding current capital spending:
* The deteriorating financial condition of hospitals are making capital access more difficult.
* The gap between financially successful and struggling providers are widening as to capital access, creditworthiness, and the ability to finance the future.
As for the predictions of future capital expenditures , the study compiled some interesting statistics:
* 72% of CFO's expect capital expenditures to increase in the next five years.
* 85% of hospital CFO's surveyed said they thought it would be more difficult for their organizations to fund capital expenditures in the future
* 63% responded that they expected to be more dependent on cash from operations to fund capital needs.
Staying
Tightening cash flows coupled with the likelihood of increased capital spending are a cause for concern among healthcare system executives. In fact, the problem could become a crisis over time unless non-traditional strategies are employed, In a recent report by the Healthcare Financial Management Association entitled "Financing the Future", some startling conclusions were reached regarding current capital spending:
* The deteriorating financial condition of hospitals are making capital access more difficult.
* The gap between financially successful and struggling providers are widening as to capital access, creditworthiness, and the ability to finance the future.
As for the predictions of future capital expenditures , the study compiled some interesting statistics:
* 72% of CFO's expect capital expenditures to increase in the next five years.
* 85% of hospital CFO's surveyed said they thought it would be more difficult for their organizations to fund capital expenditures in the future
* 63% responded that they expected to be more dependent on cash from operations to fund capital needs.
Staying