Professional LLC or Professional Corporation Formation

Many states require professionals to form a professional corporation (PC) or professional limited liability company (PLLC) to operate as an LLC or a corporation.

PLLCs and PCs Offer Many Advantages

PCs and PLLCs are C Corporations, S Corporations and Limited Liability Companies that have the sole purpose of providing professional services. Typically, licensed professionals, such as doctors, lawyers, accountants, architects, or engineers, must form PCs or PLLCs, rather than regular corporations or LLCs. And, generally, only professionals can be owners. Formation documents must be filed with the state and a registered agent appointed.

CT Is Ready to Help by:

  • Conferring with you on your business structure options—so you understand the risks and advantages
  • Discussing the specific PLLC and PC rules that apply in your formation state—so there are no surprises
  • Meticulously preparing and filing your formation paperwork in your formation state—you don’t need to worry about the ins-and-outs of state bureaucracy
  • Serving as your registered agent—so you can rest easy knowing experienced, trained professionals will receive and rapidly convey important state and legal documents

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Who can be a Professional Corporation shareholder, director, or a member in a PLLC?

Many states restrict who may be owners of a PC or PLLC. For example, in some states only licensed practitioners of the specific service that the corporation provides may own stock and serve on the board of directors. Other states require at least 50% of the shareholders and directors to be licensed professionals. Many states have similar rules for PLLCs.

What do I name my PC or PLLC?

Naming a business is always an important decision. The name of your PC or PLLC can’t be "deceptively similar" to names already in use. Additionally, your name usually must show your business is a PC or PLLC. Some states require your profession to be part of the company name (for example, Johnson Chiropractic, PC).

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