Hi Guys! Long time that I've been away. I have, over the last year, been working as a child/adolescent/adult psychiatrist and also have a private practice, where I am a solo member LLC.

However, I have a potential business opportunity that I want to pursue. I have several therapist colleagues, not MDs, who may be interested in working 'under' an entity and seeing patients. I would form the entity, cover the rent/marketing/logistics.

I would NOT be providing clinical services under this entity, myself (as far as I have it planned out for now) ... The reason is that I expect the therapists to take insurance, which I currently do not in my LLC, and do not wish to in the future - I don't know if I can be under the same entity as my therapist colleagues and NOT take insurance, so I'm just planning to not provide clinical services under that entity, and keeping it strictly psychotherapy with therapists!

I am debating keeping it 'simple' with an LLC, but wonder about a PC given the noticeable higher individual protection from the potential malpractice issues of the therapists (hopefully none!) ... The plan is to have just ONE member/owner of this entity (myself) - at least for now. The therapists would be either 1099s or W-2s, I'm hoping they can be 1099's legitimately. (I worked as a 'clinical associate' as a 1099 in a private practice somewhat akin to this, which was a PC, that had psychiatrists and therapists in the practice.)

Also, was wondering what tips you can give me to maximize tax savings if I have 3-4 therapists working with me and covering their cost by allowing the PC to withhold a percentage of their income. As I mentioned, I was working for an entity (briefly) in South Jersey (above). In this arrangment, I was keeping the majority of my income but they were deducting a percentage in lieu of charging me rent or charging me for marketing, etc. I intend to provide marketing and logistical support, and keeping a percentage for myself would cover the similar costs of the entire PC/LLC (and hopefully allow for a profit). Please let me know whatever feedback you could provide about how to best set this up. My understanding is that a PC is better than an LLC because it will provide my PC more protection from the potential malpractice issues of the individual therapists working under the umbrella, but are the highest tax costs worth it?

Thanks in advance!

Zip Code: 08831

I posted a response to the"Corp's, S-Corp's, and LLC's" forum. Please try to post your questions to the applicable forum if possible.

Zip Code: 01801