A Management Service Organization (MSO) is a business that provides non-clinical services to medical providers. An MSO may simply provide management and administrative services to a practice or IPA, or it may acquire a practice’s assets and enter into agreements to provide the practice with space and equipment. MSO’s may be owned by a non-healthcare provider, investor, hospital, group of physicians, joint venture or a health-plan. Generally, the purpose of an MSO is to assist physician practices or IPA’s with the administrative challenges associated with running their business.

This can be a very attractive to physician practices because, while the practice receives significant administrative assistance from the MSO, unlike an employment scenario, the physicians can maintain a key level of autonomy.