Cliff's Notes

The Business of Dentistry

What Effects the Value of Your Practice? You don’t know what you don’t know! Commercial “Professional” Lease Agreements

I recently had an office lease review done for one of my clients and was quite surprised at what was un-covered. The agreement was so top heavy in favor of the landlord that I felt the original professional that reviewed it for the doctor committed malpractice.

Your professional practice … The value of your practice may be a large part of your estate. Imagine this, you have a $1.2M practice that is valued at $875k. All of your ducks are in order including a written quick transition plan that that pro-tects your estate. But, will the lease allow a fast transfer of ownership? What rights does the landlord have to the transition? There is so much in the fine print that unless you are experienced in lease “legalese” there is a good chance there is a paragraph or even a sentence that is missed that directly effects the value of your practice and it’s impact on your estate and your family.

Protecting the value of your practice … So many professionals overlook the fine print when signing documents. We tend to trust our advisors or brokers and there is nothing wrong with that. However, how to those agreement effect other agreements? You want to take on an associate/partner and put there name on the lease for shared liability and the landlord “legally” says no! During day by day operations we negotiate everything from patient payment plans to personal life insurance to a teenagers curfew (those are the tough ones). All agreements must benefit the whole and that’s your job, you are the whole, you are the CEO.

The CEO … It’s time to take full control. Start by understanding the restrictions in all of your signed agreements and how they effect your personal estate. I sug-gest starting with your practice lease agreement and please feel free to contact me with any questions or concerns. Consider attending the free seminar, you don’t know what you don’t know.

Important Commercial Real Estate CE Seminar for Dentists!

Wednesday Evening April 25th … 6:30 PM until 9:00 PM … 2 CE’s

Double Tree by Hilton Hotel, Fort Lee, NJ

If you are buying/building a practice, have a lease that is coming up for renewal or is expiring in 24 months or less, or would like to understand how the lease impacts the sale and valuation of your practice, then you must attend this CE event! 2 CE’s Light meal served 

For Free Attendance use Promo Code: Grassroots!

By Phone: 1.800.459.3413 … By Email: info@cirrusconsultinggroup.com … Online: http://www.cirrusconsultinggroup.com/seminar

 

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April 22, 2018 Posted by | Uncategorized | Leave a comment