Physician buy sell agreements

I just finished giving a key note address today at the Florida Institute of CPAs annual healthcare conference. My seminar was on physician buy sell agreements. The main thing I wanted to get across to the particpants was that they need to REVIEW their buy sell agreements each and every year.

Most agreements haven’t been reviewed for years and with healthcare changing so rapidly, most are out of date. Make sure the buy out financial arrangement is reasonable and well as the pay out terms. Also make sure the agreement is tax-advantaged for both the practice and the departing physician, Finally, make sure all non-financial issues are adequately covered.  These includes things like restrictive covenant, terminating a physician, and how to handle temporary disability, just to name a few.

About the Author

Reed Tinsley CPA

This article is written by Reed Tinsley, a Houston, TX-based CPA with over 30 years of experience advising physicians and medical practices across Texas and the United States. Reed holds certifications as a Certified Valuation Analyst (CVA), Certified Healthcare Business Consultant (CHBC), and Certified Financial Planner (CFP), specializing exclusively in the healthcare sector. He is a published author, nationally recognized speaker, and trusted advisor to physicians on accounting & tax, practice management, and financial planning. Schedule a Free Consultation.