5 New Issues Physicians Should Consider Prior To Selling Their Practice

Recent legislative and rulemaking activity at both the federal and state levels, along with changes in certain deal dynamics, are sure to impact physician practice transactions going forward. Below is a list of five new issues physician practice owners should consider in advance of a transaction. Many of these items should be addressed in advance of going to market or accepting indications of interest from potential buyers.

How will you treat employed physicians in a transaction in the absence of non-competes? The Federal Trade Commission's (FTC) final rule prohibits post-employment non-competes. However, non-competes remain permissible in connection with the sale of a business or an ownership interest. Although the final rule currently is subject to challenge in the courts, the FTC appears confident that the rule will be upheld.