General Hospital Financial Model (Development & Operations) (Excel XLSX)

A hospital represents one of the few business opportunities that give you the ability to save lives on a regular basis. In addition to treating illnesses and injuries, many establishments offer preventive health services. They also provide access to advanced equipment that helps primary care physicians accurately diagnose ailments.

This Financial Model presents a development and operating scenario of a General Hospital including Indoor Patient Department (IPD) and Outpatients Department (OPD). The main purpose of the model is to enable users to get a solid understanding of the financial feasibility of a General Hospital Development project and to evaluate the return to Private Partners.

Model Setup:

Hospital Development:
•  Land Purchase Assumptions – Acres required calculated based on Floor Area Ratio (FAR) & price per acre
•  Hospital Build up Area Calculation based on Avg. Area per Licensed Bed.
•  Breakdown of Total Build up Area into 4 main Areas (Hospital Administration, Hospitality Capacities, Storage & Supply Areas, Hospital Medical Units)
•  Parking Area Assumptions (Total Parking Levels, Parking Spaces per Levels)
•  Outside Areas (Gardens, Roads, etc.) calculation
•  Assumptions for Hard Costs per SF and Hospital Area and Development Soft Costs (Design & Consultancy Fees, G&A, Marketing, etc.)

Hospital Startup CapEX and OpEx:
•  Medical Equipment (Purchases and Leases assumptions)
•  Other Startup Expenses including additional CapEx, Medical Supplies, Operating Expenses and Working Capital Reserves.

Hospital Annual Revenue & Expenses:
•  Room & Board Revenue (calculation of Total Rooms & Licensed Beds, Occupied Bed Nights, Room rates per bed/night, Average Stay per patient)
•  Hospital Patients Assumptions (Admitted Patients & Outpatients)
•  Patient Care Revenue assumptions for Indoor Patients Department and Outpatients Department (breakdown of patients and rates into 12 different medical cases)
•  Hospital Ancillary Revenue Assumptions (Cafeteria, Ambulance Services, Parking, Shop Rentals)
•  Direct Costs & Operating Expenses Assumptions

Other Setup Assumptions:
•  Uses and Sources of Cash, Financing Assumptions through Equity, Grants & Donation and Debt.
•  Private Partnership Equity Contribution Assumptions (GP & LP)
•  Business Valuation Assumptions: Exit Year, EV/EBITDA Multiple, WACC

Output Reports:

•  Dynamic Financial Forecast (3-Statement Model) incl. supporting schedules for Working Capital, PP&E, Debt & Debt Service, Reserve Accounts
•  Breakeven Analysis per Year
•  KPIs and Financial Ratios Report
•  Performance Dashboard presenting key project's figures per Year and dynamic Charts & Graphs
•  Business Valuation (incl. Enterprise & Equity Value, DCF, Terminal Value, Unlevered & Levered Cash Flow, Project Return Metrics & Sensitivity Analysis)
•  Partnership Returns (4-tier IRR hurdle waterfall model to distribute proceeds between private-partners)
•  Project's Executive Summary

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