Starting a company in California? The best decision to make for any budding entrepreneur is to consult and work alongside a trusted business lawyer when opening a company. If you plan to put up a professional medical corporation in California, is wise to hire an experienced attorney that specializes in forming these kinds of business structures.
Google IS NOT The Best Go-To Guide for Forming Professional Medical Corporations in California
We live in a generation where everyone wants the quickest way of doing things – instant coffee, instant noodles, and yes, instant business. This is, perhaps, the reason why many budding entrepreneurs try to DIY their way to opening a company. Many of these startup businesses would go on Google and search for a step-by-step guide on how to put up a corporation.
The Internet is a treasure trove of information, but not all of the things you find are necessarily from experts. Many business people think that they save a lot of money because they get the information they need for free. However, economically appealing as this route may seem, much of the information that the Internet provides regarding the formation of professional corporations are either lacking, misleading, or completely wrong.
A Mistake in the Formation of a Medical Corporation Could Cause the Company A Lot of Financial Losses
A lot of people think that incorporating a business simply means preparing a few pieces of paper and they’re all good to go. Of course not! Corporate law formation is a complicated business. Any mistake in the formation process – may it be missing documents, undeclared information, lacking requirements – can cause a lot of legal problems in the future. These legal problems can be very expensive to remedy.
Avoid making any mistake in the formation of your professional medical corporation. Seek the advice of a trusted lawyer that specializes in incorporating medical businesses in California.
Another reason why it is best to consult with an expert business lawyer when starting a professional medical corporation is that the State where you’re starting the company may have different requirements for your specific profession.
CLIENT QUESTION: Why Do I Need an Attorney to Form a Professional Medical Corporation?
A recent client called us a few weeks ago. She wanted to understand why many professionals hire a business attorney when forming a medical corporation. She asked,
“Hi! I’m a licensed physician that recently moved to Los Angeles. When I was practicing in Seattle, it was quite easy to get an LLC for my business. Now that I am based in California, I found that my colleagues needed to hire an attorney. I am wondering why. Is there really a need to hire a corporate lawyer?”
OUR ANSWER: Incorporating a Company in California is Professional Work that Requires Help from an Expert
We answered this client’s question by presenting an analogy that they can relate to. We replied,
“What corporate lawyers do for businesses is can be likened to what doctors do for their patients. These days, many patients like to self-diagnose themselves. They think that all they need to do is Google their felt symptoms or watch a few videos on YouTube regarding a medical condition. Then, they’d head off to their local health food store to take care of anything that a licensed physician might be able to do for them. They think, ‘how hard could that be?’ Why spend time and money on repeated visits to a medical clinic ran by doctors and medical professionals, when a few minutes of research can solve pretty much any problem that they think that they have.
You, of course, know the answer to this. What you do, as a doctor, takes a lot of expertise to do. It’s not always best to go for the fastest and cheapest alternative. These routes, many times, cause more harm than good. In the same way, what we do, as corporate lawyers, takes expertise as well.
If you were to go down to the local law library to see all of the professional texts that are available for lawyers to use when they’re forming various business entities, you would instantly understand that there is a lot more to it than filing a piece of paper and paying your $70 filing fee. Why would they need an entire section in the library to cover this area of the law when one could do the same thing with spending five minutes on a website such as LegalZoom?
Obviously, there is some giant disconnect. In the state of California, all licensed physicians are regulated by the California Corporations Code, the California Business and Professions Code, the California Code of Regulations, and the California Medical Board.
The clients that we work with are serious about their business. They don’t want to be lawyers, they want to be doctors. They don’t want to worry about having done something wrong and, at a critical time in their practice, having to deal with some governmental entity or their professional board. It is one of the simplest things to outsource for any small business, and the majority of professionals in the medical field choose just to do that.”
Can I Have More Than One Fictitious Name for My Medical Corporation in California?
A lot of physicians prefer to operate under a different, more creative business name. It’s a good thing the California law allows you to own a fictitious name permit. In fact, you can own more than one!
A fictitious name permit gives licensed surgeons and physicians the ability to acquire a trade name other than their own. Applications can be submitted to the California Medical Board. Each fictitious name permit requires a separate application in case you wish to own more than one. The process can be done online so you can monitor your application’s status easily. These permits are renewable every two years.
Hire a Corporate Lawyer That Specializes in Forming Professional Medical Corporations in California
Incorporation Attorney is a trusted group of business lawyers in California. Our team is well-experienced in forming professional medical corporations. Schedule a FREE meeting with us via teleconference by calling us today! Dial +1 (714) 634 4838 now!
