The Development of an Ambulatory Infusion Center Business

Share This Post

Our History 

As serial healthcare entrepreneurs, Kelly Lambrese and I had been successful in starting healthcare businesses that introduced novel and innovative treatments to the marketplace, resulting in improved clinical outcomes for patients, a better patient experience, a simplified process for our referral sources, and a reduced cost of care for payers. We fulfilled this mission throughout the years as a home infusion provider, Medicare-certified home health agency, DME & home respiratory care provider, and a clinical trials business. And then we were ready for the next chapter in our professional lives.

The Opportunity & Analysis 

While researching new, growing opportunities in healthcare, we discovered the emerging Ambulatory Infusion Center (AIC) market. As we conducted due diligence on the industry, we spoke with multiple people involved in the space, including successful AIC entrepreneurs, investment bankers, healthcare investors, physicians, payers, patients, and others. The feedback we received was consistent – there are tremendous tailwinds in this industry driven by physicians and patients searching for an improved experience and an alternative to hospital infusion centers, and payers motivated to reduce the cost of care. 

Although we understood the key functions in home infusion – clinical operations, revenue cycle management, sales, marketing, and finance – we quickly learned that the AIC space is somewhat different. We believed that mistakes can be costly and time is money, so we sought out industry experts to advise and guide us, and based on the recommendations from the many people we spoke with during due diligence, we reached out to WeInfuse. Although engaging consultants can seem expensive, engaging the right consultants helps avoid costly mistakes, expedite start-up, and become a long-term resource. 

While we were finalizing our business plan for Suite Life (www.suitelifehealth.com), Kelly and I reached out to Reece Norris at WeInfuse. He was kind enough to have a few conversations with me so I could pressure test my assumptions, get some questions answered, and provide us feedback. It was reassuring to our potential investors that we intended to work with WeInfuse, as both consultants and software providers. After completing the plan, we were able to secure an angel investment, lease our first location in southeast Massachusetts, pre-sell in the marketplace, and formally engage WeInfuse to guide us through the critical start-up phase of our company.

The Pre-Start Phase 

Things started to move fast with the business. Kelly and I began scheduled weekly calls with Reece and Julie Walker, their consultant and sales liaison. We needed to build out the infusion center, finalize policies and procedures, fine tune the budget, recruit staff, develop our website, negotiate with wholesalers and medical distributors, and secure payer contracts. And we wanted to compress the timeline between the start of the company and first patient treated. 

During our meetings with Reece and Julie, we addressed these priorities and received valuable guidance, including buildout considerations, furniture and fixture recommendations, standard operating procedures, important forms and templates, and best practices in the industry. They saved us valuable time and money by introducing us to key contacts at wholesalers, GPOs & medical equipment distributors; credentialing experts to assist with payer contracting; many “friendly” competitors from who we learned a great deal and remain connected; the National Infusion Center Association (NICA); and many other helpful organizations. One unexpected benefit included referring an angel investor looking to get into this space, and he has since become a valued partner, board member, and important advisor. 

We formed the legal entity for the business in December 2023 and treated our first patient in March 2024. Throughout the first quarter, we trained on WeInfuse’s software program including the RxToolKit. The software implementation was seamless and effortless, and is among the best we have used throughout 30 years and multiple healthcare businesses.

A Very Busy Launch 

When a large, multi-speciality physician group nearby closed their infusion suite around the time we were opening, we onboarded hundreds of infusion and injectable patients. Fortunately, we had contracted with many key payers enabling us to onboard their patients, but it was like drinking through a fire hose for weeks. Reece and Julie remained readily available for us to help capitalize on opportunities, avoid mistakes, and develop very efficient processes to provide quality care and improve the patient experience. As is true for all entrepreneurs, we stumbled at times but picked ourselves back up, learned from the experience, stayed positive, and persevered. 

Our current referral sources are diverse and extend well beyond the physician group that closed their infusion center when we were opening Suite Life. So many physicians and their practice managers are unhappy with the status quo: the difficulty in making referrals and obtaining prior authorizations from the payers; coordinating with specialty pharma when necessary; and hearing patients complain about access, costs, and convenience. In addition, several patients found us online – especially snowbirds searching for their infusions while traveling. 

Our focus remains on the key specialties that drive the business – neurology, gastroenterology, rheumatology, endocrinology, immunology, pulmonary, and others. Simplifying the patient

referral process, improving the patient journey, and reducing the cost of care for health insurers and patients remain the keys to our success. 

Scaling the Business & Diversifying 

Fortunately, we have been able to build our management team and add quality players in clinical operations, finance, and business development. As a result, we are now planning to open our next two centers in southern New England before the end of 2024. As our team speaks with referral sources and biotech representatives throughout the area, Kelly and I are encouraged by the tailwinds in the industry – payer driven site of care shifts, patients looking for a better experience, and physicians wanting a simple referral and care management process. Our industry is built to deliver these results and further distinguish ourselves from the high cost, inconvenient, and institutional experience offered at most hospital-based infusion centers. 

In addition to opening new locations, we are diversifying our business. Based on past experience and success in the clinical drug trials business, we will be conducting phase 1B through phase 4 studies for the biotech industry. There is a robust pipeline of new medications in development and a limited supply of infusion centers qualified to conduct the research. Time is money for the biotech companies as patents have an expiring shelf life. Experience in trial recruitment, budgeting and contracting, the regulatory process, and patient enrollment are needed to build a successful research business. By incorporating clinical trials into our business, we can leverage so many of the resources we need to operate a successful infusion center. And there is a credibility that comes along with providing these novel and innovative therapies in the market. Some of the FDA-approved medications we administer today were drugs in development that our team worked on a few years ago in a prior business. 

Closing Thoughts 

Being a healthcare entrepreneur in an important and expanding market is exciting, nerve wracking, professionally rewarding, and stimulating. Enjoy the journey, embrace your team, respect your referral sources, collaborate with your colleagues in the industry, and treat your patients like family. You are part of the solution for patients, payers, providers, and the biotech industry.

 

 

Guest Authors:

Chief Executive Officer Bernie Lambrese

Chief Patient Experience Officer Kelly Lambrese

suitelifehealth.com

 


WeInfuse is dedicated to keeping infusion simplified by streamlining workflows for home infusion, specialty pharmacies, and infusion centers. WeInfuse software enables infusion operators to operate efficiently, decrease burnout, maximize profits, and improve clinical outcomes.

For more infusion insights, tune into the WeInfuse podcast, download our magazine, and subscribe to our blog.

Subscribe To Our Newsletter

Get updates and learn from the best

WeInfuse needs the contact information you provide to us to contact you about our products and services. You may unsubscribe from these communications at any time. For information on how to unsubscribe, as well as our privacy practices and commitment to protecting your privacy, please review our Privacy Policy.

More To Explore

Infusion Operations

The Development of an Ambulatory Infusion Center Business

Our History  As serial healthcare entrepreneurs, Kelly Lambrese and I had been successful in starting healthcare businesses that introduced novel and innovative treatments to the marketplace, resulting in improved clinical

Is WeInfuse right for you?

Find out how we can help.

Don`t copy text!