Over the next decade, many physician owners will likely retire, creating an exceptionally competitive market for medical practices wishing to sell to new owners.
Fremont, CA: Succession planning is critical for private practice owners, primarily because ownership transitions can occur at any time due to unanticipated occurrences such as sickness, death, or retirement.
Unfortunately, many physicians have not considered or do not have a detailed succession plan. This general absence of succession planning can create significant challenges for private practice owners and patient continuity of treatment. Over the next decade, a growing number of physician owners will likely retire, creating an exceptionally competitive market for medical practices wishing to sell to new owners. Private practice owners who want to protect their medical practice's future must implement a robust succession plan to enable a seamless transfer from ownership to retirement.
You have numerous possibilities if you are a private practice owner searching for help constructing a succession plan. Here are a few pointers to get you started:
Select a designated successor
The first stage in medical practice succession planning is determining who will take over the practice. One can go with an individual doctor, a group of doctors, a hospital, another practice, or a private equity-backed management organization ("MSO").
