Well-Drafted Buy-In Agreements Are Essential For Building Your Partnership
When you bring on your first partner into your practice, setting up a proper legal foundation is probably not the first item on your to-do list. However, a well-drafted Buy-In Agreement is essential to help your practice grow. Setting expectations at the start will help ensure all practice owners are “on the same page” when it comes to how the practice will be managed, as well as set out expectations for exit strategies.
Specifically, Associate Buy-In Agreements can help define how events including the following would be resolved:
- Exit strategies if one partner wants to sell and the remaining partners wish to retain ownership
- Rights of First Refusal
- What happens in the event of “deadlock” among partners.
- Divorce, death, or bankruptcy of one partner.
- When is shareholder approval required for the practice to acquire or sell assets, lease equipment, or enter into contracts.
- Which shareholders have “signing privileges” for contracts and/or bank accounts.
- Non-Competition, Non-Solicitation, and Non-Disclosure provisions for partners who leave the practice.
- Defining how and when dividends should be paid.
Meet Our Lawyers
Step One: Consultation
We learn about your practice objectives, and help you determine the optimal structure for your Associate Buy-In Agreement based on your practice goals.
Step Two: Flat-Rate Drafting
We draft a comprehensive Buy-In Agreement for you to present to your partners. We know that each party will have their individual objectives, and it may take some negotiation to achieve the optimal Buy-In Agreement. We operate on a flat-rate basis, so that you have no surprise bills, while also encouraging collegiality since you are not constrained by the “billable hour.”
Final Result: A Comprehensive and Fair Buy-In Agreement
Once the final Buy-In Agreement has been reached, we help ensure that all required signatures are completed. We then keep a digital copy in your Electronic Client File so that it is readily accessible should you need to review the Buy-In Agreement at any time.