Partnerships are a lucrative option when an individual or organization wishes to buy a dental practice. The opportunity is attractive, especially for those who seek flexibility in work management and time scheduling. The most common reason partnerships fail, however, is the division of authority.
Here’s everything you need to know when considering whether to join a dental partnership or not:
When it comes to the point where you decide to buy a dental practice in partnership with another dentist, there are a few pertinent questions that need to be answered beforehand. First, start by learning what the ownership interest break-down will be. Make sure that you have this in writing. Next, it is important to know how patients will be assigned so that workload can be divided equally. Also, if the office space is leased, it is vital to see if you will be listed as the lessee or tenant.
Other relevant questions revolve around the respective shares and their exchange in several circumstances. For instance, if you buy a dental practice in partnership with another dentist, are you allowed to sell your share if and when you wish? Will you, as a partner, have the right of first refusal to purchase the other person’s ownership interest? Moreover, understand what will happen if a partner dies or becomes disabled as these matters can impact the overall decision.
Before you dive into a decision, make sure that you get proper advice from a professional who has experience in these matters. Never trust a partner blindly, as this can have dire consequences.