|
Choosing the right appraiser to value your practice can be a
hard decision to make. Make the right decision with a seasoned
experienced professional that knows all aspects of your field.
Dr. Gartrell served as Assistant Dean at UOP, School of
Dentistry as well as an instructor, teaching management and
business issues related to dentistry.
He is one of only two dentists in the U.S. who is a Certified
Business Appraiser, and holds one of the profession’s most
prestigious earned certifications, Accredited Senior Appraiser
from the American Society of Appraisers. He is also the
published author of numerous articles on ethical management and
business issues pertaining to the dental field.
Independent Appraisal offers a broad range of valuation services
that include: valuation, transition planning, consulting,
economic analysis, and litigation support.
IA is the place to go for TRANSITION PLANNING. Forging relationships with associates
and partners is our specialty! Let us help develop YOUR PLAN.
|
|
- When selling your practice
- When bringing in a partner or
associate
- When purchasing a practice
- Marital litigation or other legal
issues
- To establish the value of your
practice for estate planning, tax purposes, asset
allocation, or insurance coverage
A professional appraisal takes the guess work out of valuing your practice. An accurate appraisal will help
you understand the value of what can be one of your largest assets: YOUR PRACTICE!
- Practice Appraisal
- Economic Analysis
- Transaction Pricing
- Transition Planning
- Civil and Divorce Litigation Support
|
Transitions … Where do you want to go? What do you want to
accomplish and when do you want it done?
Transitions can mean many different things to different
people. It may be in preparation for retirement (succession
planning), to make life style changes (more time for you and
your family), or to facilitate the sharing of a busy and
successful practice by maximizing facility utilization.
Independent Appraisal (IA) have been providing transition
services for more than twenty years under the guidance of Robert
S. Gartrell, DDS, helping practitioners in planning for practice
sales, partnerships (buy-in/buy-out), practice mergers,
associateships, and estate planning.
Proper transition planning is a complex endeavor that
encompasses financial, legal, operational, and emotional
aspects. To be successful you need to be well-organized to
achieve maximum success in each of these areas for all of the
doctors involved. Most failures can ultimately be traced to poor
planning. Ultimately, successful outcomes depend upon a
financial structure that is affordable for purchasers yet fair
and equitable to sellers.
When working with IA, each doctor will be treated in a fair,
even-handed and equitable manner. All parties concerns will be
considered and you will receive a plan that is specific to your
needs, creating financial clarity for decision making, while
avoiding the traps of poorly designed transitions.
The process begins with a review of your goals and objectives
and a preliminary financial analysis of your practice to
determine the issues of timing and cash flow. Potential concerns
of staff/team members will be discussed and should issues exist,
a plan of action formulated.
If the plan includes an associateship leading to either the
purchase of the entire practice or a fractional interest, it
will be necessary to discuss and establish the contract
specifications that will form the basis for any Associate
Agreement and subsequent Sales Agreement. Of particular
importance will be the protection of your productivity while
sharing with your associate, and at the same time providing an
environment that creates incentive to continue the process to
completion. If the associateship is developed over a period of
time, the issues surrounding the division of “Goodwill” between
the principal and the associate when the buy-in takes place will
be examined and an agreement that is fair to both parties will
be developed.
Transitional Planning and Implementation steps include:
- Practice Valuation establishing Fair Market Value
- Documentation in support of the transition to include:
- Initial Associate Agreement
- Purchase Agreement
- Operating/Partnership Agreement
- Project various scenarios for the transition
Fees are based on the needs of the clients and are agreed upon before
undertaking the assignment. IA will provide initial discussion
and planning at no cost to determine the extent and depth of the
transition assignment.
Please review the following list and provide as much
information as possible. We understand the list of required
information is quite lengthy and detailed; however, the items
are necessary to produce an accurate, well-informed appraisal
report of your practice. In addition to these items, you will
need to fill out a practice information questionnaire.
Required Items
- Financial statements (to include income statement and balance
sheet) and federal tax returns for the last five years. Please
include “to date” interim financial statements.
- Accounts receivable as of the Date of Valuation.
- Debt structure; List and describe any debt (both short-term
and long-term) that the practice presently carries.
- History and description of the practice along with plans for
the future (five years).
- Your personal resume or curriculum vitae.
- Short resume of key employees; number of the total employees
and their compensation.
- Planned major capital expenditures for improvements or
expansion, and/or debt reduction requirements, for the next five
years.
- Buy-sell agreements, if any. History of previous purchase or
sale of the practice.
- Any properties and/or investments not necessary to the
operations of the practice.
- Your estimate of Fair Market Value and basis for this
determination.
- Purpose of the appraisal.
- Please supply a list of fixed assets (if any) that may be
materially over or under-stated on the balance sheet. Supply the
value used for the balance sheet and the adjustment to Fair
Market Value.
- Practice brochures or literature describing the practice, if
any.
NOTE: For clear identification purposes of all practice data,
please mark all items appropriately to the corresponding
questionnaire number. Thank you for your cooperation.
|
