Dental and Medical Counsel Blog

What Are Professional Corporations And PLLCs?

By Ali Oromchian, Esq.

corporation.jpgSo, you’ve decided to purchase or restructure a dental practice. Congratulations! One of the very first steps that you will have to take as you start down this new path is to decide upon a legal entity for your business. If you will be working alone or in a small office with one or two other practitioners, then you may be inclined to choose a sole proprietorship or a partnership when structuring your business. These options, however, place you at risk of having your personal assets used for business debts. Therefore, to protect yourself, you should create a business entity for legal purposes.

Most businesses are able to function as a regular corporation or an LLC (limited liability company); however, some professional businesses are different. While some states allow dentists to function under these entities, all states allow dentists to form either a professional corporation or a professional limited liability company. California, for example expressly prohibits licensed professionals from operating as an LLC, leaving professionals such as dentists to choose from professional corporations or professional limited liability companies.

Forming a separate legal entity such as a professional corporation, “PC,” professional services corporation, “PSC,” or professional limited liability company, “PLLC” can your assets by establishing an entity which is separate from yours as an individual. The amount and type of paperwork required in order to create these entities varies from state to state, but the peace of mind is well worth the time and expense. A dental transition attorney can assist you with questions as to which legal entity may be best for your needs.


For additional resources regarding Corporate Law, Business Law or Practice Management, feel free to explore our other blog posts and articles. Additionally, if you would like to learn more about our services and how we can help you or your dental or medical practice, please contact us below.

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Posted on 09/14/2017 at 11:51 AM

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