Throughout your career, you will likely be presented with opportunities to invest in businesses that are separate from your medical practice. These opportunities can present the chance to participate in a business as an investor while allowing you to maintain focus on patients and growing your practice. Though these opportunities can be lucrative building blocks for wealth generation, they can also present significant risks that, if realized, can be extremely costly and detrimental to your reputation.
These risks may be present even if the promoter of the investment opportunity is a relative or friend. For purposes of this article, we are not focusing on health care ventures. For those opportunities (such as an ambulatory surgery center, medical office building, etc.), in addition to the tips below, you must ensure compliance with all federal (e.g., Anti-kickback and Stark) and state health care fraud and abuse provisions. (more…)