Practice Management Member Conversations

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  • 1.  Non Compete Agreements - When and How

    Posted 07-25-2012 08:10 AM
    This message has been cross posted to the following Discussion Forums: Small Project Practitioners and Practice Management Member Conversations .
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    We are a small firm of 8 people and I am the only owner and registered Architect. The firm has grown and developed over the last 10 years and now is situated in a strong position for future growth.

    We have two members of the firm who, I would expect, to pass their registration exam this year. They have been with the firm for 4 and 6 years. As they have grown in the firm, so have their responsibilities and client contact. They are project managers in the firm and as such the client contact is great and personal. As we all know, the Architect's  relationship with our clients is paramount and returns future work if positively maintianed.

    So my question for the group is this....How do other firms handle the firm's client relationships as firm members become registered?  So the frim members stay with the firm and do not run with any of the firms clients? Naturally partnership is an option, but what about Non-Compete Agreements and how and when to implement them? 

    Any thoughts would be appreciated.   

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    Chris Zimmerman AIA
    President
    CPZ Architects, Inc.
    Plantation FL
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  • 2.  RE:Non Compete Agreements - When and How

    Posted 07-26-2012 12:16 PM
    Re: "Naturally partnership is an option, but what about Non-Compete Agreements and how and when to implement them?"
     
    Non-compete agreements are not "natural" because of partnership.

    What non-compete provisions do firms use in partnership agreements? Since the value of stock is prospective, a partner leaving a firm, who plans to, or does, set up or join a competing firm, affects the value of stock, which should impact what the value of the shares they are selling. 

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    Mike Webber
    Michael A. Webber
    AE Finance
    801 67th St.
    Downers Grove, IL 60516 USA
    C 1-630.732.5423
    mawebber@amkw.com
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