--- layout: post title: The Ultimate CPOM Compliance Checklist for Digital Health Startups description: A 10-point checklist for digital health founders to ensure their business is compliant with the Corporate Practice of Medicine doctrine. category: CPOM & Compliance date: 2026-02-23 ---

The Ultimate CPOM Compliance Checklist

Use this 10-point checklist to audit your startup for CPOM compliance.

  1. **Entity Formation:** Is your clinical entity a Professional Corporation (PC) or PLLC owned by a licensed physician?
  2. **MSO Structure:** Is your business entity a separate MSO that provides only non-clinical services?
  3. **Management Services Agreement (MSA):** Is there a comprehensive, fair-market-value MSA in place between the MSO and PC?
  4. **Clinical Autonomy:** Does the MSA explicitly state that the PC and its physician owner retain full control over all clinical decision-making?
  5. **Fee Splitting:** Does your fee structure avoid impermissible fee-splitting arrangements between the MSO and PC?
  6. **Physician Compensation:** Is the friendly physician owner compensated at fair market value for their clinical and administrative duties?
  7. **Marketing & Advertising:** Does all marketing clearly distinguish between the non-clinical MSO and the clinical PC?
  8. **Patient Billing:** Are patients billed by the PC for clinical services?
  9. **State-Specific Rules:** Have you reviewed the specific CPOM laws in every state where you operate?
  10. **Legal Review:** Has your corporate structure been reviewed and approved by experienced healthcare counsel?