Helping you reach an informed decision on your practice’s future
General Practices can gain many benefits from merging. By sharing resources, such as facilities and premises, as well as administrative work, practices can take advantage of economies of scale. Similarly, through sharing knowledge after a practice merger, you may gain greater clinical expertise and skills, improving the quality of care for your patients.
Legal aspects to consider
Merging contracts, or dissolving existing ones to create an entirely new one, can be difficult, and you must ensure that you continue to comply with regulatory requirements. Where premises are closing, there may also be break clauses to negotiate, and stamp duty or capital gains tax to consider. But you should take care to protect care of your working relationships too. Poorly-planned practice mergers can result in disputes with partners, which may require mediation or even resolution in court.
You will have to negotiate a number of agreements before you proceed with the merger. It’s important to remember that these agreements are legally binding, so you should be fully comfortable with everything that you agree to. Legal advice will ensure that your interests are protected – particularly when you are making financial contributions, or bringing assets to the arrangement.
How can BMA Law help?
Download our free guidance
With working at scale becoming the norm, practice mergers are on the rise. Mergers are complicated, so to help you get to grips with the process, we have put together a guidance document. Covering everything from contractual and regulatory considerations, right down to the practical aspects, such as harmonising IT systems, this document is a must-read for anyone considering a merger.