Q: The partners' shares in the surgery are not the same as our profit shares as these were not altered when the partners changed their hours.
We divide the notional rent in the premises shares ratio and do the same with the interest on a small surgery loan, which we have reduced by making a capital repayment from partnership profits. The building's running costs are also paid out of profits.
We have received a grant to build an extension for which we will not get notional rent because of the grant. Premises upkeep costs will be higher. Our accountant says it is not possible to value the old and new parts of the building separately. What would be a fair way of handling this situation for all partners?