What are the Advantages of Owning your Practice Rooms?

Finding a great practice location may invite opportunities for other medical providers to partner with you and extend your service offering.

Whether you are looking to set up your own practice rooms, or even if you are already set up, we give you a rundown of the benefits of owning your practice rooms and the structure most commonly used.

Owning your Practice Rooms

What are the advantages?

Many of our clients own their practice rooms. Whether you are a sole GP or are a partner in a Medical Practice. There are a number of advantages to owning your own practice rooms including:

• Owning a property in a prime location is generally a good investment for the future.
• Being your own landlord ie. not having to be concerned with lease renewals, maintenance arguments, investing in a fitout of a property you do not own, etc.
• Lease payments are no longer dead money, they are now either repaying debt on your assets or providing you with a source of investment income.
• Favourable structuring of your taxation arrangements in a manner that is effective for you.

How would you structure this arrangement?

Purchasing a property to utilise for your practice rooms can be done in a number of ways. The most common way is the use of a Unit Trust if two or more parties are involved.  Being able to utilise a Unit Trust allows flexibility in whom the Unit Holders are, whether it is a Family Trust or Self Managed Super Fund (SMSF) (provided specific conditions are met). This structure also allows ease of additional Unit Holders or transfer of Units from one party to another. There are alternative ways of structuring this arrangement.

Would this arrangement suit you and your business? Make a start today and find out more from our team at BLG Business Advisers .

Get in touch online or call (02) 4229 2211 to discuss your practice requirements.

*Information was correct at time of publishing and may be subject to change*