So, you are looking for a way to sell your dental practice, perhaps to a corporate. Here is how it works at Future Health Partnership (FHP).
We are looking for dental practice owners who wish to remain within their team, at the same level of clinical input for around five years, preferably ten. The practice is brought into FHP and immediately handed back for joint ownership by the entire team. All of the team become partners within FHP and share an equal vote with all of the existing partners across the group. The team, generally speaking, maintain their employee rights and don’t take on any liability but take responsibility for managing the business for their own benefit, and the benefit of all future staff.
The principle is the one that John Lewis and Waitrose is built on-they have thousands of partners and the model seems to work well.
FHP has no shareholders, so profits are not flowing out to external stakeholders. This keeps all surplus funds within the organisation, again to develop the business for all current and future staff.
Our philosophy is one of partnership with the entire team.
Long Term Stability
Along with this same philosophy the business can never be sold, this provides stability and gives the team something to work towards.
Simon, Kevin and Mark at board level are also not shareholders and simply draw a salary just like anybody else. The basic principle is that everyone is paid a fair day’s pay for a fair day’s work.
From a financial point of view we also want to be open, ethical and sustainable. The compensation figure is not based on goodwill.. It is based on a multiple of net profit (after drawings). The money to repay the finance comes from the practice and this alone must be repaid out of these profits over four – five –or six years.
This isn’t an immediate exit strategy, it’s a continuation strategy which enables you to go back to doing what you are trained to do.
Doing the right thing
We are looking for owners who ‘want to do the right thing”. You must have at heart rewarding your staff present and future for their hard work which makes you financially independent. Our way will also ensure your staff and patients are looked after as FHP belongs to them and can never be sold, the whole organisation truly is set up to exist in perpetuity.
Dealing with admin burdens varies from practice to practice but essentially we want you to concentrate on what you like doing most of and leave the irritating details/jobs to others which we will manage – all FHP practices take on the SUSAN practice management software which greatly helps with this burden.
We think the words – honesty, integrity and professionalism are at the heart of our ethos. We share all financial information with all of the team, nothing is hidden and everyone can see what is going on.
FHP truly believe that this is a unique, sustainable and ethical way to run a dental practice for the benefit of the team and the patients.