Feasibility study, new private hospital development – Private
Sector Investor (details confidential)
This study aimed to prepare a high level business case, including
five year financial projections, exploring the feasibility of
establishing a private healthcare facility within an existing, but
redundant, London hospital site that was being offered for sale.
The following tasks were undertaken in the preparation of the
feasibility study and business case:
- market analysis of the local, regional and national public and
private healthcare markets to assess the scope of services and the
potential demand for a new healthcare facility;
- a broad definition of the models of care, staff, infrastructure
and other inputs needed to deliver services;
- identification of cost data related to staff, consumables,
equipment and other inputs required;
- collation of data on revenue streams;
- development and population of a five year financial model and
high level sensitivity analysis including development ramp-up to
illustrate the likely revenue and cash flows, profit and loss
summary and balance sheet information.
The final output was a thorough and detailed report summarising all
findings. Completed in a very short time frame, this report enabled
the client to submit a bid to purchase the site with a view to
future development into a world-class private hospital.
On the strength of HLSP’s feasibility study, the client decided to
proceed with the purchase and the development of the private
hospital development.
