CPOM Compliance for California Healthcare Startups

The Law in California

California prohibits corporations from employing physicians or controlling medical practices. The California Medical Board actively enforces these rules, and violations can result in license revocation, civil penalties, and voided contracts.

What California Founders Need to Know

• Corporations cannot employ physicians to practice medicine
• Non-physician-owned entities cannot control clinical decisions
• The MSO/PC structure is the standard compliant approach
• California requires a physician to own at least 51% of any PC
• Telehealth companies operating in CA must comply even if headquartered elsewhere

How FoundryPC Helps California Startups

FoundryPC specializes in matching healthcare founders with a Friendly PC Owner — a licensed physician who can own the Professional Corporation in California, enabling your company to operate in full compliance with state CPOM laws. We handle the matching, the MSO-PC structure, and ongoing compliance so you can focus on building.

Further Reading