I am starting a new provider. I would love to hear how pay arrangements have been made in other practices. She essentially is starting a practice from scratch in our existing space. The questions are…will she be an employee or a partner or contractor? What has worked for others…and what has not worked.
Hi Tonya, I have enjoyed your post. Great job. I am an NP and opened my own DPC in September, I’m in a rural location. I am interested in how you added another provider. Are you sole proprietor? Or did you creat a partnership?
There are a lot of options that you have to take on a new provider - a lot of those decisions will / should be determined by what will and will not be provided to her in this new position…
- How much will she benefit from your practice already being setup? Do you have any staff or other resources that she will easily tap into to start her practice?
- Will you share call with each other?
- Are you providing anything else (computer, supplies, etc.) other than the office space?
We have added another provider as an employee, and that is because she is able to walk in without having to recruit her own patients, purchase anything on her own, etc. We are essentially assuming a lot of risk, so her pay is as an employee without any options for partner.
If you are considering partnership, I would warn you that it should only be an option after a certain period of time (perhaps 1-3 years of working together), as partnerships can turn sour and difficult quickly. You would be protecting yourself and the potential partner with a policy like that in place.
Best of luck to you!