Healthcare Business Buy-Ins and Partnerships
A buy/sell agreement is a must for every healthcare business buy-in or partnership.
When contemplating a buy-in or partnership in the formation of a group healthcare business, owners and investors must be armed with knowledge of the specific issues in buy/sell agreements so that such an agreement can be properly drafted as the group is formed. This important pre-planning step can save potentially tens to hundreds of thousands of dollars and a great deal of unneeded stress down the road. At Key Healthcare Business Brokers, pre-planning in buy-ins and partnerships is an invaluable part of our services.
A buy/sell agreement is a must for every group healthcare business with more than one owner or investor. Corporations have similar buy/ sell agreements.
This important contract spells out the transition of a current owner/operator and how a new owner may be admitted into the ownership structure of the healthcare business. Once executed, many of these agreements are never looked at again until a buy-out event, whether anticipated, welcomed or not, forces it.
Financial issues impact both the owner and the healthcare business itself either positively or negatively. Events requiring a buy-out including how buy-out prices can be developed and paid for by the group along with valuation issues and related tax consequences are all important considerations.
Buy/sell agreements must be reviewed and updated periodically to take into account ongoing changes in the healthcare industry. Every group ownership should have its agreement reviewed at least once a year, generally at the end of the healthcare business fiscal or calendar year.
Are you forming a ancillary healthcare partnership? Are you currently in a healthcare business partnership without an active buy/sell agreement in place? Is your current buy/sell agreement over a year old and therefore needs review? Call us today to make an appointment for a no obligation consultation.