Timothy Brown, CEO of ROICorp, joins Dr. Suham Alexander to speak about the importance of employee and associate contracts in dentistry.
Contracts are important for the ongoing business of the practice and they help to avoid misunderstandings at the outset. The contracts package the rights and privilege of the employee and owner and helps to mitigate issues around termination. Additionally, when a business is appraised and is presented for sale, the purchaser and his/her advisors (banker, accountant, lawyer) generally view a practice more favourably if employee and associate contracts are already in place.
Important elements of employee and associate contracts
- Protect the use and ownership of information or records
- Non-competition clauses or restrictive covenants
- Non-solicitation clauses
- Trial or probation period