Empowering Women in Chiropractic What Happens If Your Practice Doesn’t Sell?

Click here to download the transcript.

Disclaimer: The following is an actual transcript. We do our best to make sure the transcript is as accurate as possible, however, it may contain spelling or grammatical errors.  We suggest you watch the video while reading the transcript.

Hey everyone, I'd like to thank ChiroSecure for hosting these events and allowing me to spend a few minutes with you today. I'm Dr. Randy Ross, CEO of Premier Practice Consultants, and today I want to talk about what happens if your practice doesn't sell? Or you really don't have the opportunity to wait for a sale.

Something has happened, is there another option? I have this conversation quite often with people and I thought it was important to maybe spend a few minutes going through. What I do with someone when either again, their clinic doesn't sell sometimes it's just so small. There's really no value in within our profession for someone to purchase it, or again, so maybe someone's sick and they really need to get out really quickly.

Click here for the best Chiropractic Malpractice Insurance

And there's a lot of reasons, but I'm just putting it under the category. of what happens if my practice doesn't sell. So what I always train someone on if you want to use that terminology and talk them through and I tell them, listen really carefully because the language I'm using can change the whole opportunity here.

So first of all, You need to have a doctor in your community, hopefully very close to your office. How far really depends upon, if you're in a rural area, you're in like New York City or something. But someone that's relatively close to you and really it needs to be someone that you trust.

Get a Quick Quote and See What You Can Save

Cause a lot of what I'm going to explain is really based on trust. But like I tell people, if the option is just locking the door, And shutting off the electric and that's the end of it. This is an opportunity that helps you. We're going to talk about a couple of reasons why it's better than locking the door.

So what I tell people is find that doctor, whoever that is, hopefully it's, a buddy, a colleague that you trust and ring them up and say, Hey, I. Considering retiring at some point, or if you happen to have a more emergent situation and you're comfortable explaining that you can go ahead and do that.

So let them, Hey, I'm thinking about retiring in the near future. Would you be interested? Here's the important thing to say. Don't say buy my files. Don't say buy my book of business. Don't say buy my list. Nobody wants that say, would you be interested in me folding my practice into yours? They're going to go what does that mean?

And what you're going to say is for two weeks or maybe four weeks, we don't do it for longer than four weeks, usually just a couple of weeks. I'm going to actually bring my practice into yours. If you actually moved down the block and relocated. So those patients that are scheduled are now going to be scheduled at that location and you're going to be there.

Okay. You're going to care for them. Just as you would. Hopefully they have some of the same equipment that you need. If not, you just got to adapt and then you're going to introduce them to the doctor that is in that clinic and their staff and everyone needs to be on board on this process. So what you say is I'm going to fold my practice yours.

I'm going to literally bring my practice over to you. I'm going to work there with my patients. So you'll meet all my active patients. Okay. At that time, I'll be exiting. I'll turn them over to you. And there's a transition process. I'm not going to go through that today. But, once that's done, the other thing you're going to do, or things I should say is, One, you're going to do a some type of a letter that's going to go to your database.

I like that letter to have a picture of you and the doctor that you're transitioning the practice over to. So they're going to get that benefit of that being sent out to your database and how you word it is really up to you. You're retiring, you're relocating, whatever it might be. This particular colleague is a good friend of yours.

You trust them, let them know their files will be there so that they can continue care, but also check the laws in your state. Should that letter include something like for 30 days, you can come take your file. If you need it, state, every state has a little bit different way. You have to handle some of these things, but, and then here's the thing that.

I think is the real gold in all that. You're going to also transfer your phone number to their office. Now we just did this the other day. Someone's been in practice 40 years, four zero. Okay. Do you know how many times his phone has rung? And we did this now his phone on 40 years is ringing in this other doctor's office.

If you have a website and you have a URL, if they want to grab that. So you're showing them all the benefits. This is why I say you're not saying you want to buy my list. There may or may not be value in that for people. Like I said, to me, the gold is, I'm getting your phone number, I'm getting your URL, so that's going to transfer to my website.

So that's where I really think the value is. You also get to Transfer conservatorship of your files to that doctor and if you think about it That's really important because every state is a little bit different But for argument's sake you need to maintain those files for seven years Okay, now you don't have to because you have transferred conservatorship of those files to this other doctor So that's really important.

So now you're probably thinking. Okay, how do I make any money off of this? There's a couple of ways that we've done it. We can do it for literally a buyout, a dollar amount. We just did one where I think it was 60, 000 that they paid. It was actually a rather large practice that the doctor got.

Injured to the point that he couldn't practice anymore, and he knew that it wasn't time to sell it. So that was a straight kind of buyout. Most of them I will tell you, and that's why I said it's important, it's a handshake agreement. What you're going to ask for is 50 percent of whatever they collect from your patients over the next We try and get 18 months.

If you get 12. The idea is if someone's honest and we hope that people are, we're all professionals and we're colleagues, and you hope that people are being ethical, that you're going to go ahead and you're going to get that again. It's better than zero. If you just lock the door, we've had people that get 50, a hundred thousand dollars over the course of time from this process.

And again, it's not buying your list. It's folding your practice into theirs. It's a significantly different process. Most people won't pay you for your list. I've heard where They give you like a couple of thousand dollars. And then you're not engaged. You're telling them I'm going to be engaged in this process.

It's as if we're transferring everything to you as if we're doing a transition and they are bound to get. A whole lot of business out of that. Sometimes people can't handle that much more business. I've run into that from time to time with this process, but for the most part, people are very grateful and thankful that we give them this possibility and this idea that might work beyond again.

Locking the door and literally getting nothing. Make sure if you do that, that you do check with your state association and your state board what is required of you legally as you're transitioning out of this practice, closing it for all intents and purposes from you, and the files are transferred.

Every state has their own regulations and you always want to make sure to do everything. legally. That's it for today. I'm Dr. Randy Ross. I hope this was helpful and helps you or someone, along the way. I want to thank ChiroSecure for hosting these events and allowing me to spend a few minutes with you.

Click here for the best Chiropractic Malpractice Insurance

Get a Quick Quote and See What You Can Save