Finding, soliciting, and attracting physicians to a particular hospital or area. Hospitals devote resources to the search, and provide incentives, for physicians in specialties which are needed by the hospital and community. Such incentives may include relocation reimbursement and either initial employment of the physician or provision of a loan (with favorable terms) to enable the physician to start and build a practice in the area. Physician recruitment sometimes raises issues of inurement (private gain to an individual from the profits of a nonprofit corporation). For example, if the hospital pays the physician a salary in excess of reasonable compensation, or provides an interest-free loan, these incentives may be considered by the Internal Revenue Service (IRS) to be inurement and thus jeopardize the hospital’s tax exempt status. The hospital must show that it (and the community) receive measurable value for the incentives provided.