“Mainsail has played a key role in growing our business through add-on acquisitions and product line expansion. Jason and Gavin bring critical strategic thinking to the business-decision process and provide the necessary financial and logistics support to quickly take advantage of growth opportunities.”

 - John Griscavage

   CEO, Professional Healthcare

Professional Healthcare

Situation 

  • In 1984 Sherri Burke founded Nurse Providers to provide nurse staffing and private duty homecare, and later acquired Professional Healthcare at Home (PH@H), a Medicare licensed home health agency
  • Professional Healthcare quickly established itself as the market leader in Northern California and by 2006 PH was serving 10 counties and generating $15 million in pro forma revenue
  • Understanding the future challenges of scale, Sherri Burke determined it was necessary to bring in a strategic and financial partner to help the company continue its growth

Mainsail Partners Impact

In August 2006, Mainsail Partners formed Professional Healthcare (PH), LLC to acquire a stake in PH@H and its affiliates. C. Jason Payne and Gavin M. Turner joined the Board of Directors and worked with Ms. Burke to accomplish the following:

  • Recruited new management team members, including a CEO, VP of Marketing, VP of Sales, and VP of Operations
  • Invested in deployment of point-of-care technology to create a platform for operational scalability
  • Negotiated and secured a $10 million credit facility for expansion
  • Created a corporate development program leading to the acquisitions of Victorian Home Health, Haven Home Health, and Home Health Services, expanding the coverage area into Utah, Nevada and Arizona
  • Rebranded the private duty business to enable cross-selling of services
  • Launched a California based hospice program
  • Funded the opening of six de novo branches
  • Built a direct sales model to diversify payor and referral sources

Result

  • Professional Healthcare has experienced above average industry organic growth since the investment by Mainsail Partners
  • In addition to outpacing the market through organic growth, PH has expanded geographic coverage and market share through multiple accretive acquisitions
  • Increased annual revenue by nearly 4X in 5 years since Mainsail's investment, including three consecutive years of revenue and profit margin increases during a challenging macro-economic period
  • Acquired by Kindred Healthcare in September 2011