Many companies have based their business model on making associate buy-ins a complex transaction in order to charge an excessive amount for associate buy-in services. Unfortunately, many of these companies still continue to get it wrong. There are numerous associate buy-in models which add to the mystique of associate buy-in transactions. However, the models that are in the marketplace continue to needlessly penalize either the owner or the associate in terms of tax ramifications, questionable ownership rights and problems with the interim period prior to the associate buying into the dental practice.
While not simple, the associate buy-in process should examine and understand the conflicting nature between the owner and the associate, rather than pretending that no conflict exists. In recognizing that the owner and associate have different concerns in connection with the associate buy-in, one can better understand and advise the owner and associate on the relevant issues surrounding an associate buy-in and what to do in case a problem arises. Our law firm has been providing associate buy-in services for over three decades and believes that the owner and associate need to be fully aware of the inherent conflicts and issues associated with the associate buy-in in order to provide the best scenario for the individual dentists involved in the associate buy-in process. As such, every transaction is unique and different requiring a unique set of skills and understanding for the associate buy-in process. Our goal, in connection with the services that we provide for an associate buy-in, is simple: to provide the advice necessary so that both parties can be fully aware of the implications of the associate buy-in transaction so that they can move forward united in their understanding. We seek to provide the knowledge necessary so that each individual dentist understands the tax ramifications and ownership issues surrounding an associate buy-in so that if a problem arises in the interim period both parties can successfully handle such issues.