When your practice runs out of money

Will you be prepared?

Comments

Anonymous
Practices like this usually hit you with “noncompetes” or restrictive covenants that exclude you from a certain distance from the practice.
If we were lawyers instead of physicians, such covenants in employment contracts would be the unethical practice of law. All 50 states and the District of Columbia, I have yet to see an exception, the respective Bar association forbids such noncompetes, and would sanction a lawyer who would make an associate sign such a covenant.
Anonymous
Maybe the legal profession forbids it, but in the IT world it’s not unheard of.
A think a better point is that even if one is an MD, good financial practices are still valid. You may think that your income is bulletproof, but it’s not.
Three to six months of living expenses, in the bank. Any financial columnist will tell you that.
Anonymous
I find a lot of docs in groups like to say that they like to be free of the business headaches. That is foolish. No matter what kind of organization you are in, you need to keep up with both it’s financial health and how well it is tracking your production, collecting, and passing on your share of the collections to you.
Whether you are managing it or not, you will go down with it, and there is more bad management happening than good. Embezzlement is also frighteningly common in medical practices.

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