If you are in a partnership with another dentist, or considering creating a partnership, be certain to formalize a buy-sell agreement. Such an agreement is helpful if one of the partners dies, or is unable to continue practicing dentistry, as it provides a structure and valuation method for the other partner to purchase the business. Consult with legal representation to create a buy-sell agreement, and have an existing agreement reviewed periodically to determine the sufficiency of the terms.
One of the chief ways to fund a buy-sell agreement is through a life insurance policy. By having life insurance, funds should become available quickly to close out the financial interest of the deceased party in the business partnership. There are several types of life insurance available. Your MDA Insurance account executive can assist you with selecting the
right policy for your needs. For more information, please call 877-906-9924 and speak with a life insurance agent.