South Link Health Services Ltd offers two options buying equity in a practice;
- Acquiring 100% equity in the practice by purchase
- Acquiring 50-100% equity and the seller retains the remaining % and receives a proportion of the profits.
South Link Health Services is very much in favour of the partnership model.
When the scenario arises that a GP wishing to sell is part of an existing partnership with one or more GPs who do not wish to sell, SLHSL will enter into a partnership agreement similar to that of any existing partnership.
The Acquisition Process
- Initial visit/discussions
- Confidentiality agreement signed by both parties
- 3 years financials reviewed
- Offer /Negotiation – agreement reached with SLHSL Board approval
- Equity purchase negotiated
- Settlement date agreed
- If 50% equity agreed, Partnership Agreement drawn up
- If only one GP or a 2 or more GP owner practice selling, terms and new limited partnership agreement negotiated and drawn up
- Full due diligence undertaken
- Doctors employment options negotiated and signed
- Staff offered SLHSL contracts similar or same as existing contracts
- All transfer procedures undertaken i.e. back to back contracts