How to Convert Your Therapist LLC to C-Corp in Connecticut (2026)
As your Connecticut-based therapist LLC grows, converting to a C-Corp might become a strategic move. This guide outlines the process for 2026, covering key considerations and steps. From navigating Connecticut's business regulations to understanding the tax implications for your therapy practice, we'll provide a clear roadmap. Let Lovie streamline the complexities of this transition, ensuring compliance and efficiency.
When to Convert
Conversion Steps
- Assess Your Current Structure: Evaluate your current LLC's operating agreement, assets, liabilities, and ownership structure. Determine if a conversion or a new C-Corp formation is more suitable for your therapist practice's needs.
- Create a Conversion Plan: Develop a detailed plan outlining the steps involved in the conversion, including asset transfer, liability assumption, and equity restructuring. Consult with legal and financial professionals to ensure compliance with Connecticut law.
- File Articles of Incorporation: File Articles of Incorporation with the Connecticut Secretary of the State to create your C-Corp. Ensure compliance with CT's requirements for corporate formation, including naming conventions and registered agent designation. The filing fee is $250.
- Transfer Assets and Liabilities: Transfer all assets and liabilities from your LLC to the newly formed C-Corp. This may involve updating contracts, leases, and bank accounts to reflect the new entity.
- Update Licenses and Permits: Update all relevant licenses and permits, including your therapist licenses and any business permits, to reflect the C-Corp's name and structure. Ensure compliance with Connecticut's Department of Public Health regulations.
- Notify Relevant Parties: Inform clients, insurance providers, and other relevant parties of the change in entity structure. Update your NPI (National Provider Identifier) information as necessary.
- Comply with Ongoing Requirements: Maintain compliance with Connecticut's corporate requirements, including filing annual reports ($150 fee) and paying the business entity tax ($250).
Start your formation with Lovie — $20/month, everything included.