Satellite Lab?

[RJS8669]

Anyone have any experience in running a satellite operation? This would be in another state. How was it set up legally and financially? Thanks -

 

[Car 54]

My dad used to have 2 satellite labs, but they were in the same state. I think the tricky part is getting the right people to run it. Maybe if you have a key employee who you would be willing to give up, and who would be willing to move, someones work and reputation you know, would help.

Maybe it's more of a headache and distraction than it's worth?

 

[RJS8669]

This is actually an ex-employee who left 15 years ago for personal reasons. Good guy - not the least bit worried about his character or work ethic...

 

[JohnWilson]

Sharing resources and the books is difficult and messy. Two separate entities/books and then sharing resources still messy but easier to manage.

Is the idea strictly geographic for new target market or to secure employment for this trusted individual?

I had a smaller lab out side of our normal pick up and delivery Zone for a several years and it was servicing a different type of customer. It allowed me to market a bit differently than my full service lab. We advertised implant restorations heavily and it was this growth that eventually led me to combine the staff in one building and push heavily to exclusively looking for bigger more comprehensive treatment. Locating and securing full arch work didn't happen over night, but has kept me way more viable than MANY labs my size and vastly more profitable based on national averages.

 

[RJS8669]

Yeah, I'm thinking separate entities. Basically he would outsource to me, and I bill him cost plus enough to make a dime, or two. He gets to to take advantage of my buying power and offer some solutions he currently cannot. If I structure it right, it should be a win/win...

 

[sidesh0wb0b]

Anyone have any experience in running a satellite operation? This would be in another state. How was it set up legally and financially? Thanks -

for legal and financial advise, i STRONGLY say........consult your CPA and attorney. if you dont have either, then dont bother.

 

[sidesh0wb0b]

Yeah, I'm thinking separate entities. Basically he would outsource to me, and I bill him cost plus enough to make a dime, or two. He gets to to take advantage of my buying power and offer some solutions he currently cannot. If I structure it right, it should be a win/win...

it is an interesting setup, just keep in mind with your buying power and name, he also makes part of your reputation.
you may want to consider a sep entity all together. as John said, for the books and more importantly for your sake.

on the legal side, you would be responsible for their actions. this guy could be the best guy in the world....but ppl can sue for no reason or any reason at any time without warning. protect yourself.
hire a CPA/attorney. do your due diligence.

 

[Tom Moore]

Finding someone smart enough to run it and not smart enough to take it is the rub.

 

[H.Ross]

Sorry to ask, but what is Satellite lab?

 

[dborla01]

https://en.wikipedia.org/wiki/Plymouth_Satellite

 

[Car 54]

Sorry to ask, but what is Satellite lab?

It's like a "branch" lab, separate from the main lab. Usually it is run by a key employee, as in this case, a well known former employee to help gain and service new accounts in a different city or state. It creates employment (jobs) and hopefully greater revenue for the main lab owner(s).

 

[CatamountRob]

It's like a "branch" lab, separate from the main lab. Usually it is run by a key employee, as in this case, a well known former employee to help gain and service new accounts in a different city or state. It creates employment (jobs) and hopefully greater revenue for the main lab owner(s).

Yes, this.
....or potentially, an anchor around the neck of the main lab that drags both into the depths.....
Sorry, just advocating for Satan.

 

[Car 54]

Funny and Agree, that was why I mentioned it could be a headache or distraction, you just said it more honestly

Edit: that is why you really have to be careful of who you hitch yourself up with.

 

[EJADA]

Great thread. This is an area I'm also looking at. Great info.

 

[dmonwaxa]

@ H. Ross

It could be this



Or it could be this

 

[dborla01]

We have a second office in another town and it works well as backup in case the main office slows down. The overhead is low there, so we consider it as gravy.

 

[JTG]

Funny and Agree, that was why I mentioned it could be a headache or distraction, you just said it more honestly

Edit: that is why you really have to be careful of who you hitch yourself up with.

One of my favorite parts in one of my favorite movies!

 

[rkm rdt]

 

[dborla01]

this is too funny.

 

[rkm rdt]

I worked at a " satellite lab" in my early years.

It was a good experience but the complaint was around the poor quality from the main lab. It was more of a factory than we were.

Now, I hear, the problem seems to be with the low prices being set by headquarters. Not going over well here.