Home-Based Medical Billing Company
Service businessA South Carolina medical billing firm with five full-time staff handles claims, insurance follow-up and appeals for clients from the owner's home office.
Ask $381K · Profit $110K · 3.5x · BizBuySell
Oct 29
- Ask
- $381K
- Revenue
- $437K
- Profit
- $110K
- Margin
- 25%
- Multiple
- 3.5x
- Age
- ~27 yrs (1999)
- Label
- Solid Business, High Price
- Reason
- In business since 1999 with monthly billing and a 25% margin, but much of the profit pays for the owner's own billing work, so 3.5x is hard to justify.
Why it's interesting
- Covers the full billing cycle: claims preparation and submission, payment posting, insurance follow-up, appeals, authorizations, records requests, attorney packages and monthly reporting.
- Five full-time staff already do much of the work, and there is no lease to carry since it runs from a home office.
- Asset sale with the retiring owner helping through the transition; client service is remote, so the business can relocate.
What to watch
- The owner runs daily operations and personally handles a book of billing accounts, so the $110K profit is likely mostly pay for that work; hiring a replacement would cut it sharply.
- Most staff work on site at the owner's home, so a move would require them to go remote or be replaced.
- No client count, concentration or revenue trend is given, and small billing firms often depend on a few practices.
- Handling patient records brings HIPAA obligations that pass to the new owner.
Who it fits
An operator with medical billing experience willing to work a client book personally, or with the budget to hire a senior biller.
Ask the seller
- How many client practices are there, and what share of revenue do the top three bring?
- Would the on-site staff keep working remotely after a move, and could any of them take over your book of accounts?
- Are clients charged a percentage of collections or a flat fee, and how has revenue moved over three years?
Growth plays
- Sell the existing records-request and attorney-package work directly to personal-injury law firms as a standalone service.
- Offer prior authorizations as a separate service to specialty practices with heavy authorization loads, such as imaging or orthopedics.
Oct 30Added to Acumen Wire