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How to evaluate a partnership offer

December 15, 2016

Provided by: Jennifer Kirschenbaum, Esq.



Hi Jennifer, 

I was offered partnership at my practice.  What do I do now?  Any advice?

Thanks,  Dr. T


Dr. T, its time to be cautiously optimistic.  A partnership offer is always exciting and hopefully will pan out as a great opportunity, however, the first step will be to evaluate the offer to determine the value requested in exchange for the potential value to be received.  Now, to do that, you need a great healthcare accountant, familiar with practice financials and projections. You (and your accountant) will want access to the books and records of the practice, complete disclosure of any practice debt or lending outstanding, as well as an assessment of the purchase price.  The devil is in the details.  Once the numbers are determined reasonable or acceptable, then we move on to the next stage - evaluating proposed contracts for restrictions, ability to leave and value, to name a few.

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