I was recently part of a webinar titled “Protecting and Exit Planning Your Healthcare Practice” discussing the sale of healthcare practices and how to prepare for such a sale from a financial and legal perspective. The webinar was presented and sponsored by a colleague, Ivy H. Menchel, CFP, CBEC, CDFA, a Family and Business Wealth Advisor with Sagemark Consulting.
There are various possibilities to consider when transitioning out of your practice, including, but not limited to, selling it to a third party, selling shares or interests to an associate over a period of time, or transitioning it to a family member’s ownership. Below is a summary of a few key points from the webinar.
From the legal perspective, there are a number of items the seller needs to start thinking about.
- How far in advance they should start thinking about the transition.
- The documents required in order to make the transfer more efficient.
- The practice information that is allowed to be provided to the potential buyer, without breaching any federal, state or local laws, including HIPAA.
- Removing or understanding the requirements of any outstanding liens or leases.
From the financial perspective, it is important to speak to someone about what may occur once you make that transition. Do you have enough money to live on? What’s your next step? The idea is to ensure that you are aware of what to expect and to prevent any financial hardships, as much as possible.
There are also many non-financial concerns, including the emotional aspect of moving on from something that you have worked at for so long.
Calibrating all three of these concepts — the legal, the finance, and the emotional — is the best way to make sure that you are prepared for a smooth transition.
To view the webinar presentation, click here
To learn more about Ivy, click here.
Contact me with questions or comments.
Stephanie J. Rodin, Esq.
Rodin Legal, P.C.
Tel: (917) 345-8972
Fax: (917) 591-4428