If you are seriously considering the positive benefits of a practice restructure or changing accountants who better understand your needs, we hope when you click on this link it will help.

Tick item # WhenWhat’s
 Who   Solution
1Week 1H&L staff assignedSee who is looking after you. Staff introduced via video teleconference and a brief planning and implementation overview is discussed including establishing contact persons with the practice normally the practice managerH&LWho is Really Looking After You?
 Signed engagement letter received by Health and LifeNew practice set up/restructure implementation checklist issuedPractice to up date implementation checklist  
2Week 1 to 2Products IssuedThe following structures, agreements and system templates are issued. Each individual client’s need will vary significantly H&LProducts
  Payment received for templates and software products. Products are issued to the practice.
  • DIY Implementation Checklist
  • Family Trust Deed
  • Corporate Beneficiary Constitution
  • Corporate Trustee Constitution
  • Service Trust Deed
  • Partnership
  • Property Trust Deed
  • Corporate Trustee Constitution
  • Asset Purchase Template Agreement
  • Tenant Doctor/Service Agreements
  • Practice Ownership Template Agreement
  • Property Ownership Template Agreement
  • Doctors Pay Calculator Software
  • New Award Compliant Employment Template Agreements for doctors, allied health, nurses and administration staff with job descriptions
  • Head lease agreement
  • Pathology, pharmacy and sub-leasing template agreements templates
  • MYOB/Quick Books Chart of Accounts
3Week 3 to 7Establish new legal structure(s) and start date.New structures are usually set up at the beginning of a financial year quarter. H&LNew Practice or Restructure
  This can be done in 72 hours if clients return signed documents immediatelyFor each entity where applicable Australian Securities Commission and business name lodgement, ATO registration for TFN, ABN, GST, PAYG, Workcover, Super Employee Declarations and Payroll Tax registration.This is a critical step  for establishing new practice bank accounts a single merchant facility, re-directing Medicare and Third party insurer and payer payments, suppliers, executing practice agreements and implement systems.  This includes issuing template invoicing and letterhead disclaimers.  
4Week 4 to 7Prepare 5 year financial projectionsThis assists practices with budgeting and cash flow management. Including providing a brief valuation of the practice if managed correctly. To do this exercise properly Read on… High Performance Management Planning
5Week 3 to 12Establish new chart of accounts for each entityUp to 7 entities are being created at one time and up to 8 chart of accounts (including the billings trust account) are established. The practice manager and book keeper needs to be trained on the new accounting procedures.H&LNew Practice or Restructure
6 Week 12 to 30Tenant Doctor/ServiceSigned and executedH&LBusiness & Practice Agreement Template
  Contractor AgreementsTemplate agreements are modified by the practice first, then issued to all providers after H&L modifies and checks any new terms and conditions that may not be commercially appropriate.  
7Week 6 to 12Doctors Pay CalculatorThis systems implementation and training can only be completed when signed copies of service agreements are sent back to H&L.H&LSoftware – Doctors Pay(Service Fee)  Calculator TM Program
  Set upH&L prepares data files and processes the first pays using the two new chart of accounts for the service trust and billings trust account are set up.  
8Week 12 to 20Doctors Pay Calculator TrainingIn the first month, this training is performed using your practice computer system via a video teleconference which can be recorded for future reference  
  Your practice staff is trained using live data from the H&L prepared payroll data.In the second month the Practice Manager prepares the payroll with assistance. In the third month the Practice Manager performs the payroll with little or no assistance depending on confidence. At the end of the financial year H&L will finalise all calculations as part of its normal year end activities for accounting clients and if requested by consulting clients.H&LSeminars and Training
9Week 2 to 12Employment AgreementsTransfer staff into the new entity. New award compliant employment agreements need to be executed and signed with each employee. H&LBusiness & Practice Agreement Template
10Week 12 to 30Practice Ownership AgreementThis agreement is executed and signed between group practice owners. H&LBusiness & Practice Agreement Template
 11 Week 12 to 30 Practice Ownership Agreement This agreement is executed and signed between group practice owners. This may be required earlier if banks use the property as security. H&L 
   The template agreements are modified by the practice first. H&L then checks any new terms and conditions that may not be appropriate before each owners advisers vets the document. Then the tenant and their advisers vet the document.  
12Week 12 to 42Property leasesHead leases must be executed and signed before any legal sub leasing arrangements can be executed and signed. H&L conducts a national tendering process to co-located diagnostic, pharmacy, specialist and allied health services. A combination of fixed and percentage of gross receipts leases that are compliant with new anti-kick back rules. The template agreement is modified by the practice first. H&L then checks any new terms and conditions that may not be appropriate before each owners advisers vets the document. H&LBusiness & Practice Agreement Template
 13Week 2 to 12Asset Purchase Agreement This is used to transfer from the old practice entity all its assets, rights and obligations to the new entity. This ensures any new owners have clear title to the practice. This document attracts stamp duty.This document is usually completed with an independent valuation and completed when the books of the old entity are closed. H&LBusiness & Practice Agreement Template
14Week 55 to 80Financial StatementsIt takes 12 months of trading before the full financial results of a restructure is clear. Only then can an accurate financial performance. benchmark and The Good, Bad & Ugly report can be completed. Accounting costs are high winding up old entities as well as preparing final financial statements and tax returns for the old entities. H&LThe Annual Practice Traffic Light Reporting Cycle

The High Performance Management Cycle

Statutory Compliance Mandatory
*Health & Life can assist in the initial set up
** Board means a meeting of practice owners. No Board exists for a single owner operator. Practice and property ownership agreements are not required until another owner joins the practice or buys into a property. For succession planning, good systems and documentation is mandatory to obtain a fair sale.

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About me: David Dahm BA (Acc.), CA., FCPA, CTA, FFin, CPM, FAAPM, FAIM, FGLF.

Chartered Accountant, Chartered Tax Adviser, Registered Tax Agent, Former AGPAL Surveyor 10 years of service

David Dahm is CEO and founder of the national medical and healthcare chartered accounting firm Health and Life and global Founder and CEO of the not for profit project the International Healthcare Standards and Ethics Board (www.ihseb.org)

After a serious work related car accident in 1989, and nine operations later I continue to be a patient and provider advocate. I enter my third decade as a national Chartered Accountant for Medical and Healthcare practices in Australia. I am a former 10-year Australian General Practice Accreditation surveyor. I come from a medico family. I have served on the AAPM national Board and was the inaugural national Chair of the Certified Practice Manager CPM post nominal. I continue to provide accounting tax and practice management advice to many practices all over Australia.

You know who you are and I thank you for this real honour and privilege to serve you and your community through you. Note, I am not a lawyer please seek appropriate legal and accounting advice. This information is for general information and discussion only.