Otherwise, you risk being a partner of the Canadian Revenue Agency – which can have significant tax consequences – or being treated by creditors or complainants as partners and thereby risking shared liability. A critical element that may or may not be included in the list of assets of the sales contract, but which must be dealt with in part of the sales contract, is whether the buyer continues to occupy and treat patients in offices currently used by the practice of chiropractic. If the seller chiropractor owns the office space used by the practice, it can be added to the list of assets as an asset or the seller may agree to lease the space to the buyer at a pre-defined price and term. However, if the seller or his professional services company does not own the existing location of the practice and the buyer needs the subsequent use of the place because he considers that the location of the practice is essential for continued success, the sale of the company or its assets may depend on the buyer`s ability to continue using the current location of the practice. The intermediation of the practice for the maintenance of the existing site can generally be obtained by the fact that the lessor jointly leases the offices to the seller and offers the buyer either the resumption of the seller`s current lease on the assignment or the signing of an entirely new lease. Once all the details of the sale and its structure are correctly defined, all participants must agree on a purchase price and payment of that price to the seller. Both items will be included in each purchase and sale agreement. Although the payment is either by a lump sum payment at closing or by monthly, quarterly or annual payments over a fixed period, it is customary for the sale of a professional chiropractic practice to be structured as a type of loan issued by the seller, with a negotiated interest rate and maturity. In this context, the loan is insured by the practice itself, so that if the buyer is late at any time during the term of the loan, the seller can recover his property in practice. Many chiropractors and other professionals prefer this type of structure because it allows a buyer to distribute the purchase price over time, which can be advantageous in the early stages of possession and management of a practice, and provides the seller with additional and optimized safeguards against a buyer`s potential failure. While this trend may be a bit of a change in the past of chiropractic, it can be seen as a sign of the maturity of our profession, since we are now closer to the mainstream of dentistry, medicine, law and other professions than the fringes. And true to form, it`s a rare event for a solo dentist to start from scratch let alone find a solo MD or a lawyer. Also note that all partners are representatives of the partnership and may enter into binding legal contracts on behalf of the partnership, even without the knowledge of other partners.
This could of course become a tension in the case of a trump partner, who links the partnership to a great commitment that other partners do not want. They want every doctor to be insured by disability insurance. In addition, you should look at spending management and the distribution of partnership revenues if a partner cannot work at all. Group practices – two or more chiropractors – are certainly not uncommon and can have many benefits, including buying volumes, common resources and the benefits of professional interaction.