Physician Services
Business Formations
for Physicians & Medical Practices
Texas law restricts medical practice ownership to PLLCs and PAs. We form, structure, and operationalize the right entity for your practice.
Choosing between a Professional Limited Liability Company (PLLC) and a Professional Association (PA) is one of the most consequential decisions a physician will make when starting or restructuring a Texas medical practice. Each structure carries distinct tax, governance, liability, and long-term flexibility implications. Our attorneys guide physicians through the complete formation process — from entity selection and Texas Medical Board compliance to operating agreements, shareholder agreements, and capitalization strategy.
What We Deliver
PLLC Formation for Physicians
A Professional Limited Liability Company combines limited liability with flexible taxation and simpler governance — well suited for solo practitioners and small groups.
- Certificate of Formation filed with the Texas Secretary of State
- Texas Medical Board (TMB) and licensure compliance review
- Physician-specific operating agreement
- EIN, initial resolutions, membership ledger
Professional Association (PA) Formation
A PA offers a corporate-style structure with shareholders, directors, and officers. Preferred by many physicians planning to grow or recruit partners.
- Articles of Association and bylaws
- Shareholder agreement with buy-sell provisions
- S-corporation tax election support
- Board and officer appointments
Governance & Operating Agreements
The bedrock of a defensible, partner-ready practice. We draft physician-appropriate governance that anticipates partner admissions, departures, and disputes.
- Capital calls, distributions, compensation formulas
- Voting thresholds and deadlock resolution
- Non-compete, non-solicit, confidentiality covenants
- Admission and withdrawal procedures
Multi-Entity & Holding Structures
For larger practices, ASCs, or multi-location groups, we design layered structures to isolate risk and optimize tax.
- Real estate / equipment holding LLCs
- Management Services Organization (MSO) alignment
- Series LLC coordination where appropriate
- Ancillary services entity planning
Our Process
Strategy Call
We review your specialty, partners, goals, payer mix, and tax posture to select the right entity.
Formation & Documents
We file with the Texas Secretary of State and draft your full governance package.
Launch & Compliance
EIN, banking letters, licensure alignment, and a first-year compliance calendar.
Frequently Asked Questions
Straight answers to the questions our clients ask most.
Can a Texas physician form an LLC or a standard corporation?+
No. Under the Texas Business Organizations Code, licensed physicians who want limited liability while practicing medicine must form either a Professional Limited Liability Company (PLLC) or a Professional Association (PA). Standard LLCs and business corporations are not permitted for medical practice.
Should I choose a PLLC or a PA?+
A PLLC offers simpler governance, flexible taxation, and suits solo or small-group practices. A PA uses a corporate structure (shareholders, directors, officers) and is often preferred by practices planning for partners or institutional growth. The right answer depends on specialty, partner plans, tax strategy, and risk profile.
Can non-physicians own a Texas medical practice?+
Generally no. Texas prohibits the corporate practice of medicine. Only Texas-licensed physicians may own the shares or membership interests of a medical PLLC or PA, with limited exceptions for certain allied professionals in specific structures.
Do I need a separate entity for real estate or equipment?+
For asset protection and tax planning, we typically recommend separating significant real estate and expensive equipment into distinct LLCs and leasing them to the practice. This isolates valuable assets from practice-level liability.
How long does formation take?+
Standard Texas SOS filing is typically 3–7 business days, with expedited options available. Complete governance and compliance packages are generally delivered within 2–3 weeks of engagement.
Ready to Protect Your Future?
Take the first step toward securing your legacy. Schedule a free consultation with our experienced team or contact us today to discuss your legal needs.
Call us directly: (888) 517-4575