Everything doctors, lawyers, accountants, and other licensed professionals need to know about forming a Professional Limited Liability Company.
Everything doctors, lawyers, accountants, and other licensed professionals need to know about forming a Professional Limited Liability Company.
A Professional LLC (PLLC) is a specialized LLC designed for licensed professionals such as doctors, lawyers, accountants, architects, and engineers. PLLCs provide personal liability protection while allowing professionals to practice their licensed trade. Requirements vary by state and by profession. Some states require PLLCs for certain licensed services.
PLLCs are taxed identically to standard LLCs — default pass-through taxation with the option to elect S Corp or C Corp status. The key difference is regulatory: PLLCs must comply with state licensing board requirements. Some states impose additional taxes or fees on PLLCs.
Same tax treatment as standard LLCs with pass-through taxation. Some states may impose additional professional licensing taxes.
| Structure | Liability Protection | Tax Framework | Complexity | Ownership Type | Primary Use Case |
|---|---|---|---|---|---|
| C Corporation | Full | Double (Corporate + Personal) | Complex | Shareholders (unlimited) | Venture capital-funded startups & large enterprises |
| Corporation | Limited | Pass-through | Moderate | Members | Various |
| DBA | None (depends on entity) | Same as underlying entity | Minimal | Same as underlying entity | Businesses wanting multiple brand identities |
| LP | Limited (for limited partners only) | Pass-through | Moderate | General + Limited Partners | Real estate & investment funds |
| LLC | Limited | Pass-through | Simple | Members (unlimited) | Small business owners seeking liability protection |
| LLP | Partial (partner-to-partner) | Pass-through | Moderate | Partners | Professional service firms |
| Nonprofit | Limited (for directors) | Tax-exempt (501c3) | Complex | No owners — board governed | Charitable & mission-driven organizations |
| PLLC | Limited (varies by state) | Pass-through | Moderate | Licensed professionals only | Doctors, lawyers, accountants & architects |
| S Corporation | Full | Pass-through (S Corp election) | Moderate | Shareholders (max 100, US only) | Established businesses wanting tax savings |
| Sole Proprietorship | None | Personal (Schedule C) | Minimal | Single owner | Freelancers, consultants & sole traders |
Form your business using streamlined processing pipelines, real-time documentation tracking, and compliance guides configured for your state.