Practice valuation · Partner Buy-In & Buy-Out
Medical Practice Partner Buy-In & Buy-Out Valuation in California
One independent number both sides can trust — so the partnership starts (or ends) without poisoning the relationship.
- CVA Certified NACVA Valuation Analyst
- USPAP Compliant Appraisal Reports
- 500+ Valuations 45+ specialties
The Number That Protects the Partnership
Buy-ins and buy-outs fail more often over process than price. When the senior partner's accountant produces the number, the junior partner discounts it; when the departing partner hires their own appraiser, the remaining partners hire theirs, and the gap hardens into a dispute. An independent valuation — engaged jointly, disclosed fully — keeps the transaction collegial and the number credible. This is among our most common engagements, and physicians like Dr. Kyong Kim have used us for exactly this: guidance through a partnership transaction with professionalism on both sides of the table.
What Makes Buy-In Valuation Different
It's a partial interest. A 25% stake is not simply 25% of enterprise value. Depending on the standard of value your agreements specify, discounts for lack of control and lack of marketability may apply — or may be excluded. We read your operating, shareholder, and buy-sell agreements first, because they often dictate the answer.
Owner compensation defines the upside. What the incoming partner is really buying is a future income stream above their salary. We model post-buy-in compensation and distributions explicitly, so the buyer sees the payback math, not just the price.
Funding structure matters. Whether the buy-in is funded by salary reduction, a note, or bank financing changes the economics for both parties. We provide the valuation support and coordinate with your CPA or tax advisor, so they can structure the funding in a way that fits your situation.
Buy-Outs: Departures, Retirements, and Deadlocks
For a retiring or departing partner, we establish the value of the interest under the governing agreement — or under California fair value standards when agreements are silent or contested. If the parties are already adversarial, see shareholder dispute valuation; if the interest is in a surgery center, see ASC buy-in & buy-out valuation.
Engagement Structure
Most buy-in engagements use a Summary Report jointly retained by both parties — one fee, one number, full transparency of method. If your partnership agreement already prescribes a valuation method, we can apply it as a calculation engagement instead. Where stakes or tensions are higher, a Detailed Report provides litigation-grade documentation. Turnaround is typically 1–2 weeks; we've accommodated buy-in candidates under tight decision deadlines, as clients like Dr. Xuan Cao can attest.
A clear, three-step process
- 1
Discovery Call
A confidential conversation about your practice, your timeline, and the purpose of the valuation. We scope the right report tier before you commit to anything.
- 2
Financial Analysis & Interviews
We interview you and normalize your financials. Owner compensation, one-time expenses, and related-party leases all get restated. Typical turnaround: 1–2 weeks.
- 3
Certified Opinion of Value
You receive a defensible, USPAP-compliant conclusion of value, walked through line by line. The report is documented to withstand scrutiny from a buyer, a court, a partner, or a lender.
Bringing in a partner — or letting one go?
One independent valuation keeps the transaction fair and the relationship intact.
Trusted by physicians across California
Real Google reviews from physicians and practice owners we have served. Read them on Google
“As a physician with partnership transaction of medical practice, he was an exceptional to guide me and advise me. He showed not only professionalism but also his eagerness to help and guide me through. Highly recommend him for any business valuation and transaction.”
Dr. Kyong Kim
Partnership transaction
“Fantastic valuation/appraisal specialist. I reached out to Alexey to help me evaluate a medical practice buy-in on short notice. He was able to work me into his schedule and accommodate my timeline despite how busy he was and provided crucial insight into helping me decide my next steps.”
Dr. Xuan Cao
Medical practice buy-in
“They get 5 stars across the board. Alexey was extremely thorough and detailed oriented. He did a deep dive into my practice’s financials, coding and practice history. He was easily approachable and prompt in answering questions and in completing the Appraisal. I am confident in the results and I would highly recommend him to any physician/practice for an appraisal.”
Dr. Robert Sacks
Ophthalmology practice
“I called Nechay as I was navigating the potential of selling my practice, and I had a lot of questions about my various offers for sale. Nechay was so responsive, methodical, and educational. He really allowed me to understand the landscape of selling my practice. He is an effective communicator, very patient on the phone and obviously extremely knowledgeable. I will be hiring him to help complete my transactions!”
Dr. Garima Lal
Evaluating sale offers
“I hired Nechay Appraisals to value my ophthalmology practice last year and couldn’t have been more impressed. From start to finish, Alexey was fantastic to work with. The end result was a highly professional and polished valuation report that provided valuable insights on the current state of my business.”
Dr. David Salvay
Ophthalmology practice valuation
“Alexey has been an excellent asset in evaluating our practice. His experience and practice suggestions have helped us tremendously. His working knowledge of medical practice evaluation and application of these skills is second to none. He is always readily available at a moment’s notice.”
Dr. Elio Vento
Practice evaluation
“Very attentive. Quick to respond. Knowledgeable.”
Dr. Betty Daniels
“Very professional, responsive and creates an excellent report and is accessible. Thank you!”
Dr. Daniel Laroche
“Alexey is very professional and a pleasure to work with. I was under time constraints and he completed his review on time despite those additional pressures.”
Dr. Charles Jackson
“Nechay listened carefully and provided objective feedback tailored to my specific situation. His honest communication and expertise made a complex process much easier. I highly recommend him.”
Dr. Maria Soledad Romero
“Highly recommend! From start to finish, he demonstrated expertise, professionalism, and genuine care. Not only did he deliver a thorough, well-researched valuation report, but he also took the time to explain key findings, offer strategic advice, and answered all our questions — even talked to our accountant and bookkeeper to dig deep into our situation.”
Dr. Alicia Sanchez
Medical practice valuation
“We hired Nechay Appraisals to value our ophthalmology practice the year before last and couldn’t have been more impressed. From start to finish, Alexey was fantastic to work with. He was very organized and very patient with us as we gathered what he needed. Every week he would check in to make sure everything was on track. We are getting ready to utilize his services again and are looking forward to working with him.”
Jenna Keller
Ophthalmology practice valuation
“I greatly appreciate the help from Alexey. The process was easy and the information was invaluable. The data provided was comprehensive and gave me perspective of my company that I was not aware of. I highly recommend Alexey and his company.”
Dr. Linh Ngo
Medical practice valuation
Frequently asked questions
Where the relationship is functional, a jointly retained independent appraiser is faster, cheaper, and less adversarial — and our independence means neither side gets a thumb on the scale. Separate experts make sense only once a genuine dispute exists.
Check your agreements first — many specify a formula or standard. Absent that, fair market value of the partial interest, with appropriate discounts, is typical. We flag when an agreement's stale formula produces a number far from market reality, because that's where future disputes are born.
A minority partner can't control distributions, compensation, or sale decisions, and can't easily sell the stake — so the interest is worth less per share than a controlling block. We quantify those discounts from your agreement's actual terms rather than applying boilerplate percentages.
It depends on the agreement's language and whether both parties will honor it. Courts often enforce clear formulas, but parties frequently renegotiate when the formula has drifted from reality. An independent current valuation gives you the factual basis for that conversation.
Yes. Valuation engagements are handled remotely from our California office. We work from your financials, interview you by phone or video, and send you the finished report. We have completed valuations in more than 35 states, and an on-site visit can be arranged when an engagement calls for it. Many physicians have no local appraiser who focuses on medical practices, so working with a specialist remotely often serves you better than hiring a generalist nearby.
Start the Partnership With a Number Nobody Resents
Jointly retained, fully transparent, USPAP-compliant.
All inquiries are kept strictly confidential.