Associate Contract Evaluation

[Mike Zeus]

Hello fellow dentists. I last posted in this forum as a scared little dental student looking for DAT advice. Now here I am asking for associateship contract advice.

I have been offered a position in Howard County, Maryland and would like to just run some of the numbers to get some feedback. I like the dentist and do not believe they are trying to trick me or anything, but I would like some assurance before I sign on the dotted line.

Compensation is 35% of my collections minus 35% of my lab fees
I have a $400 minimum daily salary for the first two months, after which the 35% is the only income
Non-compete is within 5 miles for 3 years.
There is a two month trial period before which we can part ways and there be no non-compete in effect.

The rest of it is pretty straightforward. Does this seem fair? Thank you.

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[browncrack]

collections based pay is a classic way to get not paid. Have you seen historical collections data? Will you get a copy of lab invoices? This is low % for a contractor but if you are an employee perhaps it is reasonable. Do you have to repay the initial minimum daily versus collections for services during the initial two months or will you get paid for all collections plus keep the initial minimum?

 

[Mike Zeus]

collections based pay is a classic way to get not paid. Have you seen historical collections data? Will you get a copy of lab invoices? This is low % for a contractor but if you are an employee perhaps it is reasonable. Do you have to repay the initial minimum daily versus collections for services during the initial two months or will you get paid for all collections plus keep the initial minimum?

Thanks for your reply. They did say they would provide copies of invoices. I will be brought on as an employee, not a contractor. Also, I will not have repay the minimum; my collections will be added to that the following pay period.