April 2010  
Keys To Buying or Selling a Practice 


Buying or selling a veterinary practice generally is a long and arduous process.  Preparation and a good lawyer are key to smoothing the bumps along the way.  How well you plan determines whether you will control the process or vice versa.  Beyond identifying what is to be sold and the purchase price there are several planning issues that must be addressed.  For instance:


·        How will the sale price be taxed?  Tax planning may require transformation of the practice legal structure and long waiting periods to optimize tax on sale. Bear in mind that the buyer may not accept the structure you wish to use for the transaction (e.g., he may prefer to buy assets rather than an interest in the practice entity.)


·        Has an appraisal of the practice been performed?  To increase practice profitability and sales price, it may be worthwhile to get an appraisal.  Implementing the appraisal's recommendations may take several years.  From the buyer's perspective, a purchase without an appraisal may mean the practice does NOT have the cash flow to fund the purchase payments.  If the buyer defaults on the payments, seller may have to take back practice, long after retirement.


·        Are there any liabilities that should be taken care of before the sale (e.g., settle a claim)?  You also need to address any personal guarantees you have given to the business, and third party claims on any assets to be transferred (such as spouse and secured lenders).  If the practice entity owns the real estate, you may need to divest it (at what tax cost?) back to yourself or another entity you own because the buyer may be unable to afford to buy both. (click here to read entire article)  


Meet A Woman Who Really Cares

Thank goodness the world is filled with kind, caring people who truly love all animals.  Ana Julia Torres is a special woman whose life is guided by such a love.  Ms. Torres has created sanctuary houses in Cali, Columbia, for hundreds of animals rescued mainly from drug traffickers and paramilitary warlords, as well as from circuses and animal-smuggling rings.  "Some of the cruelties I've seen make me ashamed to be a human being," said Ms. Torres, 50, a school principal and animal-rights advocate, who initially opened the sanctuary 16 years ago.  The creatures in her sanctuary, some 800 in all, range from the tiny kinkajou, a nocturnal mammal similar to a ferret found in Colombia's rain forests, to baboons

born across the Atlantic in Africa.  Many former circus animals, including an old chimpanzee named Yoko, still find repose at Villa Lorena, as Ms. Torres's sanctuary is called.  Other animals, like a king vulture and a pygmy marmoset, one of the world's smallest monkeys, were rescued in raids on wildlife smugglers who seek to profit from Colombia's biodiversity.  But some of the most striking animals at Villa Lorena, located up a dirt road in the slum of Floralia, are the great cats that once belonged in the private zoos of drug traffickers.  Indeed, descendants of the hippos once owned by dead cocaine baron Pablo Escobar still roam the grounds of Hacienda Nápoles, his once luxurious retreat, where he amassed a private collection of exotic species, including rhinoceroses and kangaroos.  Ms. Torres's sanctuary surpasses Mr. Escobar's menagerie in its diversity.  About 500 iguanas roam its trees and pathways near corrals for peccaries, flamingos, mountain goats and peacocks.  Cages house toucans and spider monkeys.  However, Ms. Torres closes the sanctuary to all but a handful of visitors.  "The animals here are not meant to be exhibited; they need to be protected, and have a right to live in peace."
(click here to read entire article) 


The Days Are Really Getting Shorter


The massive earthquake that struck Chile on Saturday may have shifted Earth's axis and created shorter days, scientists at NASA say.  The change is negligible, but permanent: Each day should be 1.26 microseconds shorter, according to preliminary calculations. A microsecond is one-millionth of a second.  A large quake shifts massive amounts of rock and alters the distribution of mass on the planet.  When that distribution changes, it changes the rate at which the planet rotates. And the rotation rate determines the length of a day.  "Any worldly event that involves the movement of mass affects the Earth's rotation," Benjamin Fong Chao, of NASA's Goddard Space Flight Center in Greenbelt, Maryland, said while explaining the phenomenon in 2005. (click here to read entire article) 


World's Tallest Dog


In case you missed it, there is a new "big dog" in town.  According to the Guinness Book of Records, a Great Dane from Tucson named Giant George is officially the tallest dog in the world - measuring 43 inches from paw to shoulder and 7.2 feet from nose to tail.  The title was announced after a special Guinness World Records adjudicator from London visited the gentle giant to verify his measurements. Giant George weighs 245 pounds and consumes around 110 pounds of food every month.  This 4 year-old beauty sleeps in a queen-sized bed and recently took up 3 seats when travelling on a commercial flight.  He displaces Titan, a Great Dane from San Diego by being five inches taller.  

Veterinary Business Advisors
Countryside Plaza North
Bldg E, Ste. 1403
361 Route 31
Flemington, NJ 08822
Phone (908) 782-4426
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