Category: Business

The Infamous Operating Agreement, Part 4

The Infamous Operating Agreement, Part 4

Make sure you have read Part 1, Part 2, and Part 3 before you read on.

This fourth and last (and longest!) post about our operating agreement probably contains one of the most critical sections – the details on how we agreed to run the show day to day. You’ll also find our agreements about indemnity (snoozefest, but still important), non-competes and other restrictive covenants, and some miscellaneous agreements that we felt were important. Schedule B and C toward the end were the agreements that each of our spouses signed.

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The Infamous Operating Agreement, Part 3

The Infamous Operating Agreement, Part 3

Before diving into this post, read Part 1 here and Part 2 here.

In this third post about our operating agreement, you’ll see how we handle money (income and losses) as well as our plans for the depressing events of injury, death, or divorce of a partner. We also made plans for what we will do if we want to sell our shares of the business (you’ll see that we designed future sale terms so the junior partner is incentivized not to sell until at least 10 years after their buy-in), add a new partner, or liquidate our company.

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The Infamous Operating Agreement, Part 2

The Infamous Operating Agreement, Part 2

If you haven’t already, read Part 1 here.

This second post about our operating agreement covers how we assigned rights and duties of our “manager” (which we decided would be one of us) as well as rights and duties of all business partners. Per our agreement, none of us – including the manager – can make any big decisions or changes to the business without the agreement of the other members/partners in the business. We designed it that way on purpose.

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The Infamous Operating Agreement, Part 1

The Infamous Operating Agreement, Part 1

This is what I get asked about the most when talking about my business partnership – this lengthy, complex agreement that took us the better part of a year to put together and is one of the big reasons our partnership has remained strong (and fun) for over 5 years while 70% of business partnerships fall apart around us.

Note: if you are not interested in business partnership agreements, stop reading now. Our OA is about as wordy as the Treaty of Versailles (although arguably much more successful), and the only interesting photos in these OA posts will be the banner pics. 

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Why Business Partnerships Might Just be Perfect for Millennials

Why Business Partnerships Might Just be Perfect for Millennials

Millennials are changing the workplace. Love ’em or hate ’em, this is a reality.

And it’s a reality we’ll all have to deal with for the next several years, since the tail end of the Millennial generation is just starting to graduate college, move back in with their parents, and apply to part-time jobs so they can spend 20 hours per week at rallies protesting student loans.

Haha! I’m totally kidding. Sort of.

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Teaching Your Employees How to Ask for a Raise

Teaching Your Employees How to Ask for a Raise

I believe that we should be teaching our employees how to be successful – not just in their specific roles in our business but also in their own career paths as the professional men and women they are. This means they need to know how to ask for raises and negotiate pay.

I don’t do raises or performance reviews just because another calendar year has passed. I meet with my employees when I need to or want to. I have an “open door” policy that allows my employees to schedule time to meet with me when they feel the need. This has worked well for my particular business.

I want my employees to love their jobs. I want to empower them to ask for the things they want out of their job, including raises.

The instructions below were written with the help of an excellent employee of mine who has been with me for four years.

 

Here is what I ask my employees to do when they feel they have earned a raise:

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FAQs on Student Debt, Loan Forgiveness, and Refinancing

FAQs on Student Debt, Loan Forgiveness, and Refinancing

Okay friends, I’m starting to get questions about student loans pretty frequently from my fellow doctors. It’s some version of “Good for you for getting your student debt under control and all, but WTF am I supposed to do about mine?”

Usually the more detailed questions go something like the following, so let’s go through them one at a time and I’ll do my very best to answer in a reasonably helpful way:

How did you decide what to do about your loans?

Great question!

Here’s why we decided to destroy our student loans, as well as the update on our progress from May of 2018.

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Doctors with Money Problems

Doctors with Money Problems

I was just about done with the original version of this post when the Wall Street Journal published this article with the apparent goal of making my profession look like it’s composed entirely of Tesla drivers who can’t do math.

This article of course popped up almost immediately in my social media doctor groups and in my social media finance / FIRE groups and got thousands of comments and shares and emoticon reactions.

The doctor group’s reaction was largely along the lines of “No one understands what doctors go through, student loans are the worst, school costs so much, the educational system / federal loan program is oh-so-broken, etc.” The FIRE group’s reaction was (to bring it down to PG vocabulary): “Stop whining and pay back your debts like you said you would, you spoiled rich brats.”

Things got so exciting that Dave Ramsey got involved.

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The Financial Life of a Computer Engineer

The Financial Life of a Computer Engineer

Our guest post today is from an awesome computer engineer who agreed to share some interesting financial, schooling, work, and investment details from his life so our young people can have a real-life story to consider when contemplating career choices. 

In case you were concerned that our guest-poster is a boring and out of shape nerd who spends his days indoors hunched over a keyboard, you should know that in addition to already kicking ass at personal financial management at the tender age of 28, Mr. Computer Engineer has completed over 10 long-distance running races, summited every single one of the 54 14ers in Colorado, and traveled all over the world to hike, climb, and ski. The photos in this post are his. 

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Questions for Your Future Junior Business Partner

Questions for Your Future Junior Business Partner

Below are some questions to get your discussion rolling with your future long-term junior partner. You will, of course, come up with many other questions related to your specific situation.

These are questions that might be helpful if you are the selling partner (that is, you currently have ownership in the business – even if you plan to sell fifty percent or more). These questions might be most helpful for those considering entering into a private practice healthcare partnership – since that’s where I’ve had the most experience – but I’ve tried to phrase most of them so they could apply to other businesses as well.

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