If you’re like me and over the age of 30, you may be thinking about what you’re going to do when you retire? If you’re a health professional, you can’t do hands on work forever. So you’ve got to start putting strategies in place before you reach the age of 40 and burn out. I recently met a physio who was in their early 50 and completely burnt out. They had a thriving practice but no exit strategy. As much as it’s very important to build a business and market it, you need to have something to show for all your hard work at the end of your career. See my original story (click here) and my exit strategy before starting my new clinic CompassPhysio. So lets try to get your house in order before it’s too late, here are some simple steps
1/ Plan: When do you want to retire? Do you want to retire fully or part time? How much money will make you happy or allow you to live the lifestyle you want? Once you start answering these questions you can start getting the advice you require and put a strategy in place to achieve these Goals. For example – I want to live on €50k a year (with inflation) and semi retired by the time I’m 55 and fully retired at 60.
2/ Business Consultant: One of the easiest ways to do something is to ask someone who has successfully done it already. At PracticeNav we’ve helped numerous businesses get their business in order before they start to plan for their exit strategy. Once we know what your goals are, we put plans in place to ensure your business runs smoothly and you get what you want out of it.
3/ Solicitor: Once you know what you want to achieve, then you need to have the right legal structures in place to make this as streamlined as possible. For example: If you wanted to sell your company, I would always advise to change the name of your company to something that isn’t your name. It would be very hard to sell a company to a young physio starting out called Mary Russell if the company’s name is “Colin Phillips Physio”.
4/ Accountant: Once you have your company set up or the structure you feel may best suit your exit strategy then it’s time to speak to your accountant so they can advise on the financial arrangements for your company. I can’t emphasise the importance of a good accountant. They may be a little more expensive than a “dodgy accountant” but it’s better to have everything in order before you exit. What you don’t want is to sell your business and be left with a huge tax bill when you think you are on the home straight.
5/ Financial Planner: Finally once you retire you need to have something to live off, like a pension or some other investments. This is where a good financial planner is key to the final step in the exit strategy. In my experience financial planners are just like healthcare practitioners, you get some really good ones and some really dodgy ones. So it’s best to shop around and ask friends or family for recommendations.
In the ideal world your solicitor, accountant and financial planner are all on the same page. Once you’ve establish who you’re working with try copy all parties into the same emails so everyone is aware of your progress. PracticeNav can help with regards to steps 1 and 2. Take our Online Audit which gives you instant results. This can help build your business in order to progress to the next steps in your exit strategy. Contact PracticeNav via email on firstname.lastname@example.org or take our Free business audit to find how we can help. Feel free to ask any questions in relation to this.