Capital Structure and Financing
Capital structures, defined as the combination of debt and equity that funds an organization’s strategic plan, are much more complex than in previous decades. Current risks related to debt and stock market volatility, the relationship of interest rate indices, new and emerging financial products, and changing credit markets can be sizeable for healthcare providers.
Your organization may be pondering questions like:
• Why don’t we liquidate our investments and pay off our debt so that we can focus on improving operational performance without worrying that the capital markets will burn us again?
• Why don’t we move all of our debt to fixed-rate products so that we don’t have to worry about the fluctuating interest rates?
As an independent financial advisory firm, Kaufman Hall is able to offer clients complete objectivity. We do not provide investment banking services, sell or distribute debt or reinvestment securities, or represent state or local financing authorities.
This independence gives us the unique ability to explore the widest range of financing options, make conflict-free recommendations, and vigorously advocate our clients’ interests throughout the financing process. The combination of expertise, independence, objective advice, and strong advocacy of client interests has brought our firm exceptional recognition in the industry. Kaufman Hall has achieved the position as the No. 1 financial advisor to the nation’s healthcare providers in 12 of the past 13 years.
Focused and Strategic
Specific financing strategies must be consistent with the organization’s longer-term business objectives and Global Capital Strategy. We ensure that every debt and derivative transaction achieves this consistency, thereby creating the highest possible benefits within acceptable levels of risk tolerance. We also examine other aspects of your capital structure, such as equipment leasing, to ensure they are producing the intended benefits.
We bring to bear an unmatched set of professional and analytical resources that enable truly independent review and decision support related to your capital structure: