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Who can own an urgent care in Florida?

Published in Urgent Care Ownership 4 mins read

An urgent care center in Florida can be owned by various entities, primarily physicians, but also hospitals and other corporate entities, provided they adhere to the state's specific healthcare regulations, particularly the corporate practice of medicine doctrine.

Physician Ownership

A common and straightforward ownership model for urgent care centers in Florida involves physicians or groups of physicians. These physician-based urgent care centers are directly owned and operated by licensed medical doctors. This structure aligns perfectly with the core function of providing ambulatory medical treatment for non-life-threatening conditions on a walk-in basis.

  • Direct Control: Physicians maintain direct control over clinical decisions and patient care.
  • Compliance: This model naturally complies with Florida's regulations concerning the practice of medicine.

Hospital and Health System Ownership

Many urgent care facilities are part of larger hospital systems or integrated health networks. Hospitals often acquire or develop urgent care centers to expand their continuum of care, manage patient flow, and offer convenient access points for their communities.

  • Integration: Urgent care centers can seamlessly integrate with hospital services, allowing for easier referrals to specialists or emergency departments when necessary.
  • Brand Recognition: Affiliation with a known hospital system can build patient trust and recognition.

Corporate and Investor Ownership (with Compliance)

While Florida has strict laws regarding the corporate practice of medicine (CPOM), which generally prevent corporations from directly employing physicians or practicing medicine, non-physician individuals or corporate entities can still own or invest in urgent care centers through specific legal structures.

Understanding the Corporate Practice of Medicine (CPOM)

In Florida, the CPOM doctrine aims to ensure that medical decisions are made by licensed professionals, free from the influence of non-medical entities driven solely by profit. This means:

  • No Direct Employment of Physicians: Corporations generally cannot directly employ physicians to provide medical services to patients.
  • Medical Decisions by Licensed Professionals: The professional medical services must be rendered by a licensed physician or a professional entity owned by physicians.

The Management Services Organization (MSO) Model

To navigate CPOM laws, non-physician ownership or investment in urgent care centers typically utilizes a Management Services Organization (MSO) model. In this structure:

  • Professional Entity (Physician-Owned): A separate entity, such as a Professional Association (PA) or Professional Limited Liability Company (PLLC), owned exclusively by licensed physicians, provides all the medical services, employs the clinical staff (physicians, nurses, MAs), and handles patient care.
  • Management Services Organization (Non-Physician Owned): The MSO, which can be owned by non-physicians or corporate investors, owns the non-clinical assets of the urgent care center. These assets typically include:
    • Real estate and facility
    • Medical equipment (leased to the professional entity)
    • Electronic health record (EHR) systems
    • Billing and collection services
    • Marketing and administrative support
    • Non-clinical staff (e.g., receptionists, administrators)

The MSO then contracts with the physician-owned professional entity to provide management and administrative services, receiving a fee for these services. This fee must be fair market value and not tied to the volume or value of referrals, to avoid violating anti-kickback statutes.

Ownership Type Description Key Considerations for Florida
Physician or Group Direct ownership and operation by licensed physicians. Most straightforward, naturally complies with CPOM.
Hospital/Health System Urgent care center is part of a larger hospital network. Structures must comply with CPOM; often involves specific employment or management agreements.
Corporate/Investor Non-physician individuals or entities investing in or owning the center. Requires an MSO model to separate clinical and administrative functions, adhering strictly to Florida's Corporate Practice of Medicine laws.

Key Considerations for Urgent Care Ownership in Florida

Regardless of the ownership structure, any entity looking to own or operate an urgent care center in Florida must:

  • Comply with Licensing and Regulations: Ensure all necessary state and federal licenses, certifications, and accreditations are obtained and maintained. This includes specific requirements for urgent care centers as outlined by the Florida Agency for Health Care Administration (AHCA) and other relevant bodies.
  • Adhere to Healthcare Laws: Strict adherence to all healthcare laws, including HIPAA (patient privacy), Stark Law (physician self-referral), Anti-Kickback Statute, and False Claims Act, is crucial.
  • Focus on Quality of Care: Maintain high standards for medical care, patient safety, and operational efficiency, as these are critical for reputation and long-term success.

By understanding these various ownership pathways and the critical legal frameworks in place, prospective owners can establish and operate compliant and successful urgent care centers in Florida.