340B Overview and Valuations | Partnership Series [Podcast]



In the latest installment of our Partnership Series, Julie Crozier from Secure340B shares her wealth of knowledge and insights on the 340B program with host Becky Templeton of R.J. Hedges & Associates.

This insightful discussion provides a comprehensive guide to navigating the complexities and maximizing the program’s benefits for pharmacy owners currently participating in 340B or considering participation. Whether evaluating the financial implications or seeking expert assistance in contract reviews, Secure340B emerges as a valuable partner in ensuring the success and sustainability of pharmacies in the 340B space.

The 340B program, initiated in 1992, is a federal drug discount program designed to aid qualified hospitals or clinics (covered entities) in serving under-served patients by providing reduced drug costs. The program compels manufacturers to participate if they intend on placing their drugs on State Medicaid formularies. Ms. Crozier details the intricate web of players, including covered entities, contract pharmacies, third-party administrators, and wholesalers in the 340B landscape, as well as, crucial information that pharmacy owners should be aware of including:

  1. Overview of the 340B program, its initiation in 1992, and its purpose to assist covered entities (hospitals or clinics) in reducing drug costs to under-served patients.

  2. Explanation of the 340B program’s key players, including covered entities, contract pharmacies, third-party administrators, and wholesalers.

  3. Discussion on virtual inventory, where drugs are replenished at no cost to the pharmacy, highlighting potential pitfalls and the importance of meticulous inventory management.

  4. Insights into the valuation of pharmacies in the 340B program, emphasizing the need to list 340B as a specific line item, considering various scenarios such as dispensing fee arrangements, ownership changes, and manufacturer restrictions.

  5. Overview of Secure340B’s services for pharmacies, including assistance in identifying covered entities, comprehensive analyses of dispensing fees and inventory management, and expert contract reviews.

  6. Emphasis on the tailored solutions provided by Secure340B, catering specifically to the needs of independent pharmacies in the 340B program.

Secure340B offers services catering to pharmacies interested in entering the 340B program or those already enrolled. Services range from helping pharmacies identify covered entities in their vicinity to conducting comprehensive analyses of dispensing fees, inventory management, and contract reviews. The company’s focus on the independent pharmacy sector ensures tailored solutions to address the unique challenges and opportunities presented by the 340B program.

When Partnered with the R.J. Hedges & Associates Business Sales & Acquisition team, Secure 340B can help pharmacy owners.  Ally Hess, Business Broker with R.J. Hedges & Associates said, "Working with Secure 340B has been a game-changer for our company and the independent pharmacy industry. Their team's wealth of knowledge in the 340B program is truly impressive, guiding us through complexities with ease. Their unwavering helpfulness, coupled with a proactive approach, ensures our questions are answered promptly, fostering a sense of trust and reliability. What sets Secure 340B apart is their remarkable versatility, tailoring their support to your unique needs, and optimizing your 340B program effectively. Secure 340B is more than a service provider; they are an invaluable partner in our success." 

"Secure 340b was a very knowledgeable source when we were evaluating the profitability of our program. They helped us understand the program and did so in a very quick turn around time. They were always available to answer our questions and made a very complex program easier to understand." -Jen @J&J Pharmacy 

To find out how your pharmacy is doing with 340B take their quiz here. 

To discuss your 340B options, please contact Secure340B's Julie Crozier | Chief Executive Officer

Becky Templeton

Becky is a Board Certified DME Specialist and Accredited Business Intermediary. Her education and training background fuels her desire to understand how things work, while trying to get the simplest answers and best methods for implementation. She is the go to woman for R.J. Hedges’ training and the voice of many of our videos.

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