What is a Professional LLC (PLLC)?
A Professional LLC (PLLC) is a special type of LLC required in many states for licensed professionals — including doctors, lawyers, accountants, architects, engineers, and therapists — who want to operate their practice as an LLC. A PLLC provides liability protection for business debts but does NOT protect against malpractice claims arising from the owner's professional services.
Key differences from a standard LLC: (1) All members must hold the required professional license, (2) The state licensing board must typically approve the formation, (3) Malpractice liability remains personal (the PLLC protects against business debts, slip-and-fall claims, and other members' malpractice — but not your own), (4) Some states require professional liability insurance. States that require PLLCs for licensed professionals include California, New York, Texas, and about 30 others. States that allow standard LLCs for professionals include Florida, Delaware, and Wyoming. Formation cost is the same as a standard LLC, but you may need to submit proof of licensure with your filing.