Healthcare Accounting & CFO
Your practice is growing. Your financial visibility isn't.
Healthcare practices don't fail because of bad medicine; they fail because nobody's watching the numbers. Northstar runs the finance function for medical practices, dental groups, and behavioral health clinics so you can focus on care.
The financial side of healthcare is broken. You already know that.
Which services are actually profitable?
You don't know your true cost per encounter or payer mix profitability. Clinical decisions are being made without financial data.
Collections are lagging, no idea why.
Days in A/R keep climbing and denied claims sit in a queue. Nobody is analyzing whether it's a coding issue, credentialing gap, or slow payer.
I want to grow but can't see clearly.
Adding a provider or opening a second location are six-figure decisions. You're making them on gut feel because you have no forward-looking model.
My accountant doesn't understand healthcare.
Returns get filed, but financials arrive six weeks late. You have a compliance vendor, not a finance partner.
What your finance team looks like with Northstar.
We deploy a full finance pod (bookkeeper, senior accountant, fractional CFO) built around the specific financial rhythms of healthcare. Every healthcare engagement is built on Northstar's scalable team model, from Accounting Foundation through Financial Leadership.
Monthly close and financial reporting
Books closed by the 15th every month with a clean P&L, balance sheet, cash flow statement, and plain-language management report.
Revenue cycle visibility
Dashboard tracking days in A/R, denial rates, and net collection percentage by payer so you can hold your billing company accountable.
Provider-level and service-line profitability
Reporting that shows what each provider, location, and service line contributes to your bottom line after overhead allocation.
Cash flow forecasting
Rolling 13-week cash flow forecast built around insurance payment cycles so you always know your runway.
Budgeting and scenario planning
Financial models for new providers, locations, or acquisitions showing breakeven timeline and cash investment required.
Provider compensation modeling
Production-based comp plans, buy-in structures, and MGMA benchmarking delivered as ready-to-use financial models.
Tax strategy and compliance
Entity optimization, S-corp reasonable comp analysis, retirement plan maximization, and proactive year-end planning.
Practice valuation and transaction support
Deal models, structure analysis, and attorney coordination for practice acquisitions, sales, or partner buy-ins.
Free Download
2026 Healthcare Practice Financial Benchmarks
Overhead ratios, revenue per provider, AR targets, and profit margins for medical practices, dental, behavioral health, and skilled nursing.
No spam. Just the data.
Healthcare is not one industry. We know that.
A dental practice and a skilled nursing facility have almost nothing in common financially. We've built specialized expertise across each vertical.
Medical Practices & Physician Groups
Multi-provider groups and solo practitioners navigating payer complexity, provider compensation, and growth decisions.
Learn MoreBehavioral Health & Wellness
Counseling groups and wellness clinics managing session-based revenue, multi-payer credentialing, and the transition from solo to group practice.
Learn MoreSkilled Nursing & Long-Term Care
SNFs, assisted living, and long-term care operators managing census-driven economics, Medicaid/Medicare cost reporting, and per-patient-day profitability.
Learn MoreDon't see your exact specialty? We work with urgent care centers, ambulatory surgery centers, home health agencies, and other healthcare verticals too. Let's talk about your situation.
What this looks like in practice.
The Situation
A four-provider internal medicine group doing $4.2M in revenue couldn't explain why their bank balance never matched their P&L. Financials ran 8-10 weeks behind, and they were about to sign a second-location lease with no model to support it.
What We Did
We deployed a finance pod, rebuilt their chart of accounts for provider-level reporting, and implemented a monthly close. A payer mix analysis revealed their largest commercial payer was reimbursing 22% below contracted rates.
The Result
They recovered $187K in underpayments within six months by renegotiating contracts with data. The second location hit breakeven in 11 months, three months ahead of the model's 14-month projection.
Before Northstar, I was making decisions based on my bank balance on a Tuesday. Now I have a monthly package showing where every dollar goes, which providers are most productive, and my cash position 90 days out. I should have done this three years ago.
Healthcare Practice Owner
Internal Medicine Group
Resources for healthcare practice owners.
2026 Healthcare Financial Benchmarks
Download the free benchmark report and see how your practice compares on revenue per provider, overhead ratio, and profit margin.
Read7 Financial KPIs Every Medical Practice Owner Should Track
The seven metrics that predict whether your practice is heading toward growth or trouble, and how to act on each one.
ReadSelling to Private Equity: Financial Prep for Physicians
What PE buyers look for in your financials, how to maximize your valuation, and the deal terms that matter most.
ReadS-Corp, C-Corp, or LLC: Best Tax Structure for Doctors
Compare entity structures side by side and find the one that minimizes your tax burden based on your practice size and goals.
ReadCash Flow Forecasting for Medical Practices
Build a rolling forecast that accounts for insurance payment cycles so you always know your cash position 90 days out.
ReadNegotiating Payer Contracts: A Data-Driven Approach
Use your own claims data to identify underpaying contracts and negotiate better reimbursement rates with commercial payers.
ReadHealthcare accounting questions we hear every week.
Most well-run medical practices target a net profit margin between 15% and 25%, depending on specialty, payer mix, and overhead structure. A fractional CFO can benchmark your practice against industry standards and identify the specific levers that move your margin, whether that is renegotiating payer contracts, optimizing staffing ratios, or reducing supply costs.
Healthcare accounting requires deep knowledge of revenue cycle management, payer reimbursement timing, provider compensation models, and compliance requirements that general CPAs rarely encounter. A specialized healthcare accountant understands how to properly recognize revenue from insurance claims, track payer-level profitability, and structure financials for practice valuation or partnership buy-ins.
Provider-level profitability requires allocating collections, direct compensation, malpractice insurance, and a fair share of overhead to each provider. We build provider P&L dashboards that show contribution margin per physician so you can make data-driven decisions about compensation structures, hiring, and capacity planning.
Practices generating $3M to $30M in revenue typically need CFO-level strategic guidance but cannot justify a $250K+ full-time salary. A fractional CFO delivers cash flow forecasting, payer contract analysis, expansion modeling, and board-level reporting at a fraction of the cost, usually scaling involvement as your practice grows.
Payer mix analysis reveals which insurance contracts are profitable and which are actually losing you money after accounting for claim denial rates, reimbursement timing, and administrative burden. Armed with this data, you can renegotiate underperforming contracts, adjust your patient acquisition strategy, and focus capacity on higher-margin service lines.
Take the First Step
Let's talk about your practice.
Every engagement starts with a conversation, not a sales pitch. We'll learn about your practice and goals, then show you exactly how your finance team is configured for your business.
Or call us directly: 888.999.0280
Schedule a Healthcare Finance Consultation
Tell us about your business and we'll reach out within 24 hours.