Financial Operations and Return on Investment
Write an executive summary that will summarize what was discussed in Unit 4 about the new healthcare business or service line. It should also include the following information:
A unique mission statement
How will your business (product and services) benefit society?
What assets are involved?
Debt versus equity
Financial cash flow
A synopsis of anticipated operational expenses (be sure to include items like staffing)
A synopsis of anticipated revenue (Who is going to pay you? Are their regulations or oversight attached to the revenue stream?)
Summary of your future plans.
Financial Operations and Return on Investment
Taking charge of one’s health requires a thorough understanding of one’s own health difficulties and medical situations. Healthcare professionals are the finest source of health information. Medical inquiries can be asked of a doctor, pharmacist, or other health care provider. Health-related information may also be found on the internet by searching via trustworthy sites. Half of the American adults explore health issues online and attempt to self-diagnose based on the information they discover (PING et al., 2021). Symptom checkers and medical websites are regularly relied upon by people before checking their legitimacy. Some people still neglect to visit their primary care physician for an accurate diagnosis despite this. It’s important to keep in mind that the Internet is littered with misinformation that may be dangerous (PING et al., 2021). So, few trustworthy digital sites can be relied upon to provide accurate and current information on a variety of medical topics. In order to enable patients to make better health care decisions, it is important to build an authoritative health information website.
To better the health of the general public and healthcare professionals’ clinical practices by providing access to comprehensive, accurate, current, and trustworthy health information and tools.
To instil hope and promote a healthy lifestyle and well-being by offering access to comprehensive, accurate, current, and trustworthy health information and tools that can be used in any location.
How Health Information Benefits the Society
There are several ways in which this health information website will benefit the public and healthcare providers. Health information and guidance for everyone, regardless of where they live, will be the primary goal of the website. Knowledge is power. People will learn about healthy lives through podcasts, YouTube videos, and online classes, in addition to blog posts. According to Venkatasubramanian (2021), mobile and internet health applications are the primary sources of basic medical information for consumers. Getting the correct diagnosis as soon as feasible is critical to a successful treatment plan. Therefore, the website will provide a wealth of information on symptoms, treatment options, and typical outcomes available. The website will provide a component for emotional support in addition to health forums. For instance, lupus victims and those with other chronic problems will benefit from online support groups, which can be especially useful for people with these conditions and other invisible afflictions. Because they do not display any obvious symptoms, people with chronic diseases are unable to express their daily hardships to loved ones. As they learn to cope with their symptoms, they will find solace and support in conversing with others who have experienced what they are (Zheutlin et al., 2021). By joining these online forums, the society will also be able to remain up to date on clinical trials, new therapies, and other relevant information.
Data regarding a person’s or company’s financial activities are referred to as financial information. This health information website’s financial information will be used by creditors and lenders to determine the creditworthiness of the business when borrowing (Robinson, 2020). In addition, the financial data will give insight into a business’s income and expenditures as well as its profitability as well as its debt burden and capacity to meet its short- and long-term financial commitments. Some of the important financial information include;
In business, assets refer to items, both intangible and tangible, that exist in the business and will be used to benefit it in the future. They can enable the business to accomplish its promises and grow its equity since they bring value to the business (Robinson, 2020). In this health information website business, examples of notable assets include cash or cash equivalents, receivables such as grants and funds, short term investments such as online advertisements, office equipment such as computers and other hardware, trade secrets, intellectual property, domain, website hosting and long-term investments such as online classes and emotional assistance forums.
Debts are the website’s business liabilities or commitments that the health information website business must meet in the future. Money that has to be returned, items that need to be provided, or services that need to be performed on a website all contribute to the debt burden (Robinson, 2020). These obligations stem from prior transactions and must be paid with the business’s assets. Several debts will be involved in this business plan which includes account payable such as payments to the business suppliers, taxes to be paid on sales, salaries and other benefits to employees, government income taxes, long and short-term loans from lenders, wages, and other outstanding expenses.
Debts Versus Equity
The company’s financial resources must be drawn upon if it is to grow. There are two basic types of funding available to this health website business: equity and debt. Debt is a kind of taking out a loan that must be repaid with interest, whereas “equity” is a form of raising money via the sale of business stock (Robinson, 2020). Some of the debts that will be involved in this business include both short- and long-term loans to boost the capital needed to start the business. However, the business will raise money from several services such as online advertisements, online classes and website hosting. Comparing the debts from equity, it is worth concluding that the business will be able to pay the loans.
Leverage ratios are based on the percentage of a business’s assets that are being funded by debt, known as the Debt to Asset Ratio. Leverage and financial risk increase in direct proportion to the ratio (Robinson, 2020). The equity generated by selling the company’s products and services will outweigh the amount of money needed to establish the firm. As a result, the company’s debt-to-asset ratio will be low, and it will be easier for the company to repay its existing debt. The ratio will ensure that the company is financially viable, can satisfy its present and future commitments, and can earn a profit.
Financial Cash Flow
This is the total amount of money that a firm receives in financing (CFF) or financing cash flow (FCF). Debt, stock, and dividend payments all fall under the umbrella of financing (Robinson, 2020). Insight into a business’s financial soundness and capital structure will be gained by analyzing its cash flow from financing operations.
Anticipated Operational Expenses
Staff’s salaries and benefits- this will include wages and money that will be required to pay employees. The business will hire different staff to serve in different departments. The anticipated staff salaries and benefits is around $8000.
Supplies and services- the business will require different supplies such as communication signals and other telecommunication services in order to broadcast its services. Services will be provided by different internet providers. The anticipate supplies and services expenses is around $4000.
Facilities- this business will require different facilities such as service providing centres and action locations. The anticipated facilities expense is $10000.
Equipment and machinery- several pieces of equipment will be required to start the business, such as computers, servers, and other communication devices. The anticipated budget is $15000
Medical service revenue- this will include money the business will get after providing health information and other medical services.
Grants and contracts- the major source for grants will be the government and other well-wishers. Contracts will be signed with other partners.
Investment return- especially from short term and long-term investments. There are no regulations or oversight attached to the anticipated revenues.
Summary of Future Plans
The future has endless possibilities. There will be a lot of creative thinking going on every day at the health information business website, which will help both patients and healthcare practitioners. The company intends to reach as many people as possible with a combination of new website design and enhancements to current capabilities. The creation of well-thought-out health websites with cutting-edge video content, online classes, blogs, and podcasts that promote healing, convenience, security, and efficacy via the use of new technology. In the future, the business will establish a resource centre in each country. This development will not be possible without an increase in available capital. In order to achieve its long-term goals, this company will continue to look for new partners and grants. Synergy connects the vision, plan, purpose, and execution of a business through one thread. Health information websites can revolutionize the healthcare industry, and those who feel this is the case are vital partners in the effort.
PING, N. C., SINGH, D. K. A., PIN, T. M., & KUMAR, S. (2021). Usage of Health Information Websites: A Systematic Review of Older Adults' Preferences for Web Features. Malaysian Journal of Health Sciences/Jurnal Sains Kesihatan Malaysia, 19(2). https://web.s.ebscohost.com/abstract?direct=true&profile=ehost&scope=site&authtype=crawler&jrnl=16758161&AN=151292770&h=z0nkHkrbLiy9i8o4d4maTN9RUURSWNrunHwKiH24z%2fzv3pyjITlN8wkFxGj9I%2bguBhanKNCFG%2fYFRNc6Ybniug%3d%3d&;crl=c&resultNs=AdminWebAuth&;resultLocal=ErrCrlNotAuth&crlhashurl=login.aspx%3fdirect%3dtrue%26profile%3dehost%26scope%3dsite%26authtype%3dcrawler%26jrnl%3d16758161%26AN%3d151292770
Robinson, T. R. (2020). International financial statement analysis. John Wiley & Sons.
Venkatasubramanian, M. (2021). Applications of qualitative content analysis: evaluating the reliability and quality of health information websites. Qualitative Research Reports in Communication, 22(1), 89-96. https://www.tandfonline.com/doi/abs/10.1080/17459435.2020.1853206
Zheutlin, A. R., Niforatos, J. D., & Sussman, J. B. (2021). Data-tracking on government, non-profit, and commercial health-related websites. Journal of general internal medicine, 1-3.