Growing a Physician Practice Without Private Equity: 4 Paths From Tuck-Ins to Supergroups
Independent physician practices have at least four growth paths besides selling to private equity, according to a Fierce Healthcare Industry Voices column by Pullman & Comley health care partner Isabelle Bibet-Kalinyak, ophthalmologist Cynthia Matossian, M.D., and Rajesh Kothari. The authors cite a drop in physician practice ownership from 60% to 44% between 2012 and 2024, with 56% of physicians now employed by hospitals, health systems or corporate entities. Their options: stay the course with tuck-in acquisitions of solo practices, pursue independent growth through ancillaries, extended hours, office-based surgery, outsourced admin and AI call handling, join a physician-led supergroup through a management services agreement, merger or joint venture, or take investor capital with caution about return expectations.
Practice owners and MSO operators weighing a sale can use this as a checklist of non-PE alternatives, and sponsors can see the options their targets are comparing against.
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What are the alternatives to private equity for independent physician practices?
The column outlines four: maintain the current model with strategic adjustments such as tuck-in acquisitions, pursue independent growth, join a physician-led consolidation such as a supergroup, or take investor-led growth with caution.
How much has physician practice ownership declined?
The authors say the share of physicians who own their practice fell from 60% to 44% between 2012 and 2024, and 56% now work for hospitals, health systems or corporate entities.
What growth levers does the column suggest for independent practices?
Expanding ancillary services and office hours, adding office-based surgery, outsourcing HR, accounting and marketing, using practice management systems and AI for incoming calls, leveraging non-physician practitioners, and joining a group purchasing organization.