Don’t Leave Yourself Behind
Once you have either bought or sold your practice you will probably feel a huge sense of relief and as though everything has finally come together. However, there is still one more process that needs to be completed and that’s integration: the handing over of a practice from one owner to the next. There are a few things you need to be aware of when it comes to this and preparing for what’s to come will mean the whole journey is smoother and less stressful for everyone involved.
As part of due diligence, you should have been informed of any changes to staffing. This means you might need to replace an individual and recruiting the right person for the role means giving yourself as much time as possible, so start early. The idea of recruiting can be stressful but, fortunately, Dental Elite’s recruitment team would be honoured to help with this process.
The NHS payments in any practice will be paid via BACS transfer. This means that upon completion it’s integral to ensure that the bank details are correct so that the correct person receives the monies.
It’s important to get this ordered ahead of completion. There would be nothing worse than not being able to open on your intended first day in practice because you can’t take payment.
You may be buying a practice owner’s assets and will therefore need to amend associate contracts from the principal’s name to the new owner’s name, formally novating via a Deed, which needs to be witnessed. Alternatively, there is the option to issue the entire team with brand new contracts. Within the scope of TUPE (Transfer of Undertaking [Protection of Employment] Regulations 2006) this could be a great idea. Of course, staff contracts will automatically novate under TUPE but tidying them up after completion is good practice to ensure everyone is adequately protected.
This can be one of the most complicated parts of the entire process as the business doesn’t close to wait for completion. It means ensuring that any owed monies are paid to the right people involved. These calculations will be based on: the most recent NHS schedule, patients under treatment, up-to-date UDA performance, patients who have pre-paid for treatment, and monies already collected under patient charge revenue (later deducted from future NHS statements). This process can of course be stressful but a specialist dental accountant will be able to help.
Appointments and Scheduling
Changes to the staffing structure and daily rota can happen post-completion which must be clearly communicated to the team. It could also be advantageous for the new principal to maintain some free time slots in the diary to allow for last minute queries or more time to get to know staff and patients in the short term. Bering prepared for this not only reduces the risk of you running late, but it also gives the team a chance to come to you with any questions during the day.
How are people’s holidays kept track of? This is something that needs to be discussed as part of the handover process. It’s also important to calculate whether either the buyer or vendor owes monies for any over or undertaken holiday among the team prior to completion.
You may be apprehensive about taking on a new team if you’re the buyer as generally the human race doesn’t like change and this could lead to an unwelcoming team. However, the best way to tackle these kinds of issues is to face them head on. It could be a good idea to arrange a social event in order for everyone to get to know each other in a less formal setting.
Overall, dental practice transactions are generally long winded and can be very stressful for those involved, especially as they involve making a significant change to one’s livelihood. There’s nothing worse than making mistakes that could have been avoided with the assistance of experts. That’s why Dental Elite are here to support you every step of the way, including after completion of the sale. You can even get a head start on preparation by going to their website and downloading their full integration guide today.