Common Reasons Why Associateships Fail
Published on
- 15-03-2018
Read Time
- 2 minute read
- A written associate agreement does not exist.
- Philosophies of practice are incompatible.
- Dentists are unclear as to expectations of each other.
- Practice is not able to support an additional dentist.
- Associate is unwilling to adapt to practice policies and procedures.
- Associate has unrealistic income expectations.
- Associate is unwilling to listen to owner’s advice and suggestions because they are felt to be “outdated”.
- Associate is unwilling to devote sufficient effort to build the practice.
- Associate supports and is involved with the office staff in their complaints about the owner.
- Owner is not willing to pay the associate an equitable income.
- Owner is not willing to assign patients in a fair manner to the associate.
- Owner is not willing to listen to comments and recommendations of the associate.
- Owner is not willing to spend sufficient time with the associate.
- Owner is not willing to relinquish control or authority to the associate
- Owner is not willing to sell all or a portion of the practice to the associate, even after initially indicating he would.
- There is no agreement on the extent to which associate will participate in managed care and capitation patients.
- No agreement established as to value of practice or terms of the associate purchasing or buying into the practice.
Advisors
Avoid the problems listed above
It’s important for dentists to realize how to choose and work with professional advisors and consultants, specialists who are able to assist in the process of associating, buying a dental practice, or selling a dental practice. The average attorney or accountant in private practice may never be involved in a health care practice transaction. It is a specialty field and demands the use of a specialist, such as Henry Hemmen and Associates, Inc., to assist you as well as your attorney and/or your accountant. We have provided consulting and accounting services to doctors since 1964 and dental practice sales since 1992, specializing with dentists.