“To Think I’d Have to Close My Practice Because of the My Number Health Insurance Card” – A Doctor Supporting Regional Healthcare Laments the “Forced System Implementation” – Tokyo Shimbun Digital

News Highlights

A doctor who has been supporting regional healthcare is facing a situation where they are forced to close their practice due to the burden of adapting to the My Number Health Insurance Card (My Number Card). According to a Tokyo Shimbun report, the increased administrative burden associated with system adaptation is leading to physician burnout and the decision to close. While closing a practice incurs costs of several million yen, business succession offers the potential to receive compensation equivalent to 0.5 to 1.5 times the annual sales, and it is easier to balance consideration for staff and patients.

M&A Medical Editorial Department’s Perspective

The disruption in medical practice caused by the introduction of the My Number Card health insurance system is not merely a matter of system trouble. This doctor’s case highlights an extremely serious management issue where providers of regional healthcare are forced to abandon business continuity due to increased burdens beyond their core medical provision duties. In particular, for clinics without beds, closing down results in disposal costs amounting to several million yen. On the other hand, choosing business succession opens up the possibility of realizing “contributions to the community” in a new form, such as continuing to provide care to long-term patients and maintaining staff employment, while potentially earning compensation of about 0.5 to 1.5 times the annual sales. The current situation, where the burden of system adaptation becomes an obstacle to business continuity, suggests that business succession through M&A can be not just a “sale,” but an effective option for passing on the baton of regional healthcare.

Points This News Highlights

• The administrative burden of My Number Card compliance is directly impacting the management decisions of doctors supporting regional healthcare.
• There is a significant economic difference between the cost of closing a practice (several million yen) and the compensation from business succession (0.5 to 1.5 times annual sales).
• For clinics without beds, business succession cases have been completed in as little as 4 to 10 months from consultation to agreement.
• Choosing business succession over closing down increases the likelihood of balancing continued staff employment and patient care.

Practical Questions Arising from This News

• What specific administrative tasks are increasing due to My Number Card compliance, and what are the associated time and financial costs?
• What are the estimated costs of closing a practice (e.g., equipment removal, settlement of outstanding debts)?
• When considering business succession, what is the typical timeframe from consulting an M&A intermediary to the completion of the succession?

If You Feel “Should I Consult Too?”

Doctors who are experiencing increased administrative burdens due to My Number Card compliance and the resulting exhaustion may find it worthwhile to consider the possibility of business succession. Closing a practice means costs of several million yen and the loss of a healthcare provision system in the region. However, through business succession, you can avoid closure costs and potentially receive compensation equivalent to 0.5 to 1.5 times your annual sales. It is also possible to continue contributing to the region in new ways, such as by ensuring the continued employment of staff and the ongoing care of patients. We recommend starting with a free consultation to assess whether your clinic is suitable for succession and what options are available.

M&A Medical (CentralMedience Co., Ltd.) is an M&A support institution certified by the Small and Medium Enterprise Agency, providing support for the business succession of medical corporations, hospitals, and clinics on a full success fee basis. Consultations are handled with strict confidentiality. Free consultation here