Succession planning is an extremely important aspect of any practice. Succession planning should be looked at through multiple lenses inclusive of leadership succession plan and ownership. Once a practitioner reaches a certain point in their professional journey, retirement becomes a reality they can see in the near future – the consideration of a succession plan becomes a very important decision.
Today, we are going to be talking about some of the most effective and relevant aspects you need to consider for effective ownership succession planning. We will have future articles on succession planning related to leadership and employees from within.
Getting ready to sell:
Once you decide to start your succession plan, you need to consider the importance of a properly organized decision that is going to allow you to get optimal results. This means that you are probably going to have to consider hiring a physician or clinician that will eventually take over, but you should do this with ample time to see if this person is up to the task.
Some practitioners might consider selling the practice to a hospital or a health system. Remember that you are selling your prestige and your client base, so the options are quite vast. You need to determine a buyout agreement and this will establish the benefits you get as a seller.
It’s always a good idea to consider started your succession planning process at least 7 years before you retire. Finding the right team of people to get involved is also crucial. This includes a good tax advisor, a wealth advisor, and an experienced attorney that knows how to deal with this kind of process.
Prepare for retirement:
Getting ready for your retirement is very important and this means you need to be looking into any tax-deductible advantages and benefit plans. This is essential before you finally start the transition process. Ideally, you and the buyer are going to benefit equally from this process. This is the reason why you need to look for a proper team to help you obtain the best results.