Entering the partnership track is no joke. There is a lot that you need to know about your employer or future employer that maybe you don’t see day-to-day.
Justin Nabity is in The Doctor’s Life Podcast studios to guide you through entering the partnership track. All episodes of The Doctor’s Life Podcast are available here, iTunes, Android, and on SoundCloud. Make sure to subscribe and you will be the first to get new episodes of The Doctor’s Life Podcast.
Before signing a contract with a partnership track it is very important to request and review the following items:
The last three years of:
- Income statements (Profit/Loss)
- Balance statements (Assets, Liabilities and Equity)
- Tax returns
- Accounts receivable reports
- Itemized list of debts
- Most recent practice valuation
- Most recent partner buy in documents
Is it a problem to ask a potential employer for this information? No, we advise clients to do it all the time and most of the time they get it
Could asking for this damage the relationship? Not likely and we’ve never seen it cause a problem. The worst thing they can say is no.
Why is it better to request this information? The most expensive part of running a company or organization is labor. The last thing an employer wants to do is make a mistake in this area. When both parties have clear expectations of the first few years and eventual partnership, it’s a win for everyone. This increases the chances of doctors staying on board and becoming a partner rather than leaving after a short period of time. It’s better for an employer to get this right the first time rather than have to learn the hard way.