Managers as Partners

It is now commonplace to have practice managers who are also practice principals, usually in partnership with a group of GPs. There is no set model for this - important requirements to consider include:

- The need for personal legal advice on the liability of being a partner

- The need for liability and locum insurances

- Whether to buy into the assets of the practice, including partnership-owned premises

- Whether to be a full profit-sharing partner or to be on a fixed share and, if the latter, is this guaranteed regardless of practice profitability and is there any form of bonus to reflect enhanced profitability

- Clarifying superannuation payments

- Signing a partnership agreement

- Having a mutual probationary period

- Being aware of the potential need to pay into the partnership in times of financial need or should the partners’ current and/or capital accounts become unbalanced