Should I set up a company for my private practice?

Deciding on Setting Up a Company for Your Private Practice

As a GP considering a move to private practice, you might find yourself pondering whether to set up a company. The decision is significant, as it can impact your business operations, financial outlook, and even your work-life balance. Let's delve into the factors you should consider to help make this decision.

Understanding Your Options

Firstly, determine how you see your role as a private GP. Would you prefer to work as a sole trader, become a salaried private GP, join a limited liability partnership (LLP), or establish your own company? Each option comes with its own set of responsibilities, legalities, and lifestyle implications. Take the time to explore these thoroughly to understand which model aligns best with your goals.

The Benefits and Considerations

Establishing a company might seem daunting, but it does offer several benefits. For instance, it can provide a clear separation between your personal and professional assets, potentially offering protection against liabilities. Additionally, there's the potential for tax efficiency. On the other hand, the process involves adhering to more regulatory requirements and possibly more paperwork.

“My accountant was really helpful in explaining the benefits and limitations for my situation.” — A Private GP

Financial Considerations

It's essential to weigh the financial implications before setting up a company. Forecast your billing potential and consider any other work you might be undertaking. Speak to an accountant who is familiar with the healthcare industry to understand how setting up a company will affect your financial status. They'll be able to offer tailored advice that aligns with your business aspirations and personal financial goals.

Guidance from the British Medical Association (BMA)

The BMA is a valuable resource for private GPs navigating this transition. They offer advice on various related topics, including contracts and insurance. Understanding these elements can guide you on how to structure and manage your private practice efficiently.

Consider Technology Solutions

Technology solutions like EMIS Web and Hero Health can be crucial in running a smooth private practice. EMIS Web facilitates comprehensive patient records, supports clinical decisions, and ensures safe care delivery. Meanwhile, Hero Health integrates seamlessly with EMIS Web, offering online booking and billing, which can significantly enhance administrative efficiency and patient engagement.

Setting up a company is a major step. Take the time to gather all necessary information, consult with advisors you trust, and choose the path that best aligns with your professional vision and personal needs.