If you currently have the Auto-Debit System with merchant accounts, the average timeframe to transfer your practice/business to another person takes about 7-10 business days. Please allow plenty of time for the transfer.  This article will go over the necessary steps for you to transfer your practice/business to another person. Cash Practice Systems will work with both parties to ensure a smooth transition.

 

STEP 1: Setting up merchant accounts for the NEW owner (this will take the most amount of time, so it should be started ASAP):

The new owner will need to set up merchant accounts in his/her name so that the transactions processed will be deposited into their bank account. The merchant accounts also tell the processing bank (Paya) who is financially responsible for the merchant account, including all the activity on the merchant account. Setting up the merchant accounts takes the most amount of time, so be sure to get started ASAP.

Click HERE for the instructions to apply for the new merchant accounts.

 

BEFORE ANY CHANGES CAN BE MADE TO THE CASH PRACTICE ACCOUNT, STEPS 2 & 3 MUST BE COMPLETED.

STEP 2: Letter of transfer, signed by BOTH parties:

This letter needs to state that the practice/business was sold and that the Cash Practice account (including all patients, auto-debits, etc.) will be transferred to the new owner. HERE is a letter template that we have created to make this as easy as possible for you. Please print the letter, fill in the appropriate information, have both parties sign it, and then send it back to us. Fax #: (877) 291-5825 or securely upload HERE.

The letter will also include what the current owner wants to do with their merchant accounts:

  • Does the current owner want his/her merchant accounts closed on the transfer effective date, regardless of whether the new owner has set up their new merchant accounts? This means if the new owner hasn't set up merchant accounts yet they will have no way to process any transactions until the new merchant accounts are set up.
  • Does the current owner want to allow the new owner to use the current owner's merchant accounts until the new owner sets up their merchant accounts? This means that the deposits will continue going to the current owner and the current owner will need to settle up with the new owner regarding what money is owed to who. Determining the dollar amount of the transactions processed is easy (search Cash practice for the date range), however determining the processing fees for those same transactions is much harder. This is why we recommend the new owner set up his/her merchant accounts ASAP to avoid this situation.

 

STEP 3: Update the membership billing information from the OLD owner to the NEW owner:

The billing information determines who owns the Cash Practice Systems account, therefore no changes can be made to the account until the account is owned by the new owner. HERE are instructions for how to update the membership billing information.

 

STEP 4: Closing the OLD owner's merchant accounts:

We will send the old owner merchant account closures that they will need to sign and return to us. We will submit them to the processing bank for closure either once the new owner's merchant accounts are set up OR on the effective date of transfer (whichever was indicated on the signed transfer letter). 

 

STEP 5: On-Demand Training videos for the NEW owner:

STEP 6: Updating the information in Cash Practice from the OLD owner to the NEW owner:

If there is a change in staff, you may need to inactivate current account users to prevent them from logging in, or you may need to add new account users. Please click on the appropriate links below on how to do so:

In Summary:

  1. New owner needs to apply for their own merchant accounts
  2. Both owners (old and new) need to sign and return the transfer letter and indicate WHEN the new owner would like their merchant accounts closed
  3. New owner needs to update the membership billing information to their credit card or bank account
  4. The old owner needs to sign and return the merchant account closure forms 
  5. New owner can start training on the systems
  6. The new owner needs to update the email address, username, and password information in Cash Practice 

Should you have any additional questions regarding the transfer of your practice, please contact our Merchant Services Department at (877) 343-8950 x 105.