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rakhi.v
rakhi.v, Tax Attorney
Category: Tax
Satisfied Customers: 4473
Experience:  Have graduated in Law with specialization & emphasis in Financial Laws and has working experience of over a decade.
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How to sell shares to doctors?

Customer Question

I am purchasing a hospice in Huston, Texas. I am trying to figure out the best way to sell shares to doctors who are going to be investors. Do I allow a group of physicians to buy in at 150K for 33% of the business/profit or do I develop a separate management company to sell those shares at a less amount? Like $100.00 per share and not have them own the 33% of the company?
Submitted: 25 days ago.
Category: Tax
Expert:  rakhi.v replied 25 days ago.
Hello and welcome. Thank you for providing an opportunity to assist you.
In my personal opinion, it would not make sense to develop/form a separate management company which will in turn manage your hospice facility. It would make things unnecessarily complex. Further, if the doctors who own a stake in the separate management company, will be anyway benefited as the only revenue that the management company will have will be from managing the hospice facility.
Having said this, I would suggest that do not allow anyone to buy stake at all in any company, be it hospice or the separate management company that you may form for this.
In my opinion, the best method would be the own the company all by yourself. You should compensate the doctors professionally by way of fees / salaries and this will make them either the independent contractors or your employees as the case may be.
I would advise you not to mix ownership issues with the professional services that you might take.
Expert:  rakhi.v replied 19 days ago.

Dear Friend,

Is there anything more that I can help you with ? Please feel free to continue the conversation.

Warm Regards,

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