I think this is a very reasonable approach and one that I plan to implement. Tentatively, I will be spending the first two years of practice saving cash (admittedly at a low 1-2% money market rate – I don’t have the risk tolerance for stocks in a 2-3 years window – that is what the Roth IRA/401k are for) with the goal of paying cash (or taking out the smallest personal loan possible) to buy into the practice/ASC.
The end result is that we will be cash poor once we buy in but likely that means that we are planning on staying with the practice long term and thus will likely purchase a home with a physician 0% down loan (purchase price max 1.5x of salary).
Caveat is that all retirement accounts will be maxed out before saving excess cash for the planned buy-in.
Of course this long term plan means that the practice will likely go bankrupt 2-3 years after buying in (taking my 457 with it) and I will have a large mortgage to maintain and my accumulated cash cushion will be off to the creditors and I’ll end up working locums to make ends meet while my wife wonders why she didn’t marry that tall, handsome, successful lawyer she was dating before me.