Why healthcare services?

Thank you, this is very informative.

Super late bump but would like to add some points:

Have worked in HC Services mostly but have experience in HCIT too. This is spot on.

Only thing I'd like to add is along with the mix of de-novo / M&A growth, many large players work with HCIT vendors too to help consolidate their back offices.

Only downside is HC Services on average may pay lower for business roles vs other HC sectors. HCIT does pay better on average but the market competition is quite insane (so many HCIT vendors that offer similar / near identical solutions).

I really like investor-backed HC services (PE / VC backed) as they tend to grow way faster than corporate HC Services companies (although large health systems may be an exception as they tend to invest a lot in outpatient and some even have corporate VC arms).

And to your M&A point - the vast majority of buyout funds that are invested in healthcare companies are in healthcare services - much more likely than biopharma, medtech, biotech - and therefore helps with exit ops / talking through relevant deal experience and market trends for PE recruiting

Probably oversimplifying it here but you likely wouldn’t recognize many of the top pure play HCS names besides maybe HCA or Elevance. Many of these companies are physician practice roll ups that retain the legacy practice name post-acquisition. So John Smith Dental Office might be acquired by DSO1, but it’ll still continue to operate as John Smith Dental Office post acq.