Buying a new practice – should I purchase the existing company or just the business assets?
Introduction Most Australian businesses are run as a Sole trader; Partnership; Company; or Trust, with the majority run as a company. Many dentists looking to buy a practice for the first time are not sure whether it is better or worse, and whether it is legally sound, to buy an existing company of the seller that owns the practice assets or to buy the practice assets individually and leave the original company with the seller. The short answer is that is legal and possible to use either option. Whether you should or not will depend on the circumstances but this article summarised the common considerations. Before you decide the way in which you will purchase the practice, and whether to buy at all, your lawyer and accountant should thoroughly review…