Reasons Acquisitions for Companies

Nominated for the CFO of the Year in nonprofit healthcare, Brian Derrick, a Pennsylvania native, is an experienced businessman and served as a senior vice president and chief financial officer at Summa Health System. At the organization, he created a healthcare delivery system that managed to bring the organization over $1 billion in revenue. Brian Derrick specializes in mergers and acquisitions.

A business acquisition occurs when a company acquires at least 51 percent of the shares of another firm or the entire firm so that it can manage it. By owning the majority of the shares, a company can then decide the future of the other firm, including future acquisitions, sales, and vision.

There are many reasons as to why companies acquire other organizations, one of which is to expand its reach. For example, if a company acquires a firm from another country, it can sell more products in that market. This is one of the easiest ways to burst into a foreign market.

Another reason is to use new advanced technologies. At times, it might be cheaper for a company to acquire a small firm that uses state-of-the-art technologies than spend money to implement it. It can also be a part of a growth strategy as by acquiring a new firm and its services, a company can have more profits.

Ways in Which M&As Improve Services

An experienced businessman and entrepreneur, Brian Derrick is a Pennsylvania native and graduated from Thiel College, where he obtained a bachelor of arts in accounting. In the past, he served as the CFO and senior vice president of Summa Health System. As a Pennsylvania businessman, Brian Derrick also specializes in mergers and acquisitions (M&As).

Successful M&As can be highly beneficial for a company and enable it to grow by increasing its popularity and brand value. For example, Facebook was already a popular worldwide company that enabled users to share photos and chat with friends, and then it acquired other social media apps, Instagram and WhatsApp, to expand its reach. In this way, Facebook obtained the most downloaded apps of the last years.

M&As can also give companies more access to quality talents in the industry because bigger brands require and tend to attract more employees. With higher talent, companies can improve their services and operations. Mergers and acquisitions can help a company have access to more capital as well as attract more distributors.

Healthcare Formal Capital Allocation

Possessing more than 35 years’ executive experience, Brian Derrick has served as CFO of Einstein Healthcare Network in Philadelphia, Pennsylvania, and Summa Health in Akron, Ohio. Currently residing in New Wilmington, Pennsylvania, Brian Derrick was also interim CFO of Jefferson Health System, where he implemented principles for business development and capital investment.

Capital allocation is an integral aspect of running a healthcare system. However, a 2021 study of 1,050 CFOs by Ernst & Young revealed that only 48 percent of healthcare provider executives had an established system to allocate capital. This hampers their ability to channel funds to projects that improve access to care such as telehealth.

It is critical that providers have formal processes for allocating capital. These should be objective, providing a rational framework for making decisions about where and how to allocate capital, while allowing for flexibility to meet emerging needs. Providers can work with an experienced healthcare consultant to develop a process that meets its unique requirements, aligns with its vision, and is objective but unencumbered by rigid rules.

But efficient capital allocation is more than just decision making. It also involves following up during implementation, verifying the correctness of assumptions made during the decision-making process, making adjustments where necessary, and collecting data for analysis. An experienced consultant will guide the organization to create a process that checks all boxes, enhancing overall capital allocation.

Tips for Running a Bed and Breakfast

Creating a successful business does not happen overnight. Opening a bed and breakfast, which is part of the hospitality industry, is no exception. If you jump into the business without proper planning and research, you can quickly become overwhelmed. You will also face new challenges that will arise in your day-to-day work, which is no easy task. However, if you follow certain tips and guidelines, managing your own B&B can end up being a rewarding and potentially profitable experience.

First, you should reflect on your decision to own a bed and breakfast. Do not get caught up in the excitement of running a bed and breakfast and forget the basics of the business. It is expedient to reflect deeply on whether you can commit to the business to the extent required. Running a bed and breakfast is not a normal day job and will require more than a 40-hour workweek. It is a huge undertaking that will require your constant attention. To this end, ask yourself a critical question: “Do I love and enjoy being around people regularly?” It is necessary for you to know precisely what this work will involve if you're going to succeed.

After carefully considering the requirements for running a B&B, if you still choose to own one, there are specific factors you should consider. One of these is making a great first impression. The first impression counts in the B&B business because it plays a crucial role in influencing a customer's decision to stay as well as the length of their stay. When a guest arrives, welcome them with a hearty, genuine smile. It helps the customer settle in comfortably, especially when they are first-time guests. Also, answer phone calls to your B&B politely. And as the popular business saying goes, “the customer is always right,” so always treat your customers with respect when difficulties arise, even when you are not at fault.

Personalizing your location's attractions is another key point to consider. Let your B&B be a representation of your area. For example, perhaps the B&B is in a town that specializes in fruit production. So, based on that, you can prepare meals featuring fruit drinks or fruit salad for your guests. It helps guests to appreciate the uniqueness of the area, making for a more memorable experience.

Last but not least, you need to know your guests. Knowing your guests and their preferences will help you become a better B&B manager. Never be too busy running your business to learn as much as you can about your guests. Find out why they are visiting the area, if they have any acquaintances close by, and their planned activities, among other things. You can tailor your service based on this information and provide any amenities that they will likely need ahead of time if you know their intentions for staying at your B&B. Running a bed and breakfast is all about making lasting impressions. If the service you provide is top-notch, they will look forward to returning.