OWNERSHIP REDEMPTION OPTIONS
An Ownership Redemption occurs when one of two or more practice owners wishes to sell his or her ownership interest in a non-solo owned practice. The sale of the ownership interest could be so the selling co-owner (the “Redeeming Owner”) can retire. However, it is not unusual for the selling co-owner to sell so he or she can invest the practice equity to take advantage of compound interest during the final years leading up to his or her retirement. In these situations, the selling co-owner is not ready to retire quite yet so the transaction is structured to allow the selling co-owner to remain with the practice as an associate for a pre-determined time.
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