Video summary:

In this transcript from a video, Andy Gale from Gale & Vallance in Orange County shares a legal overview of how to start a nurse practitioner business in California. You’ll learn the distinctions between registered nurses and nurse practitioners, how the corporate structure is regulated in California, naming requirements, licensing considerations, and more. This video is designed to give you a general understanding of nurse practitioner professional corporations.

To learn more about how to start a nurse practitioner business in California and avoid legal pitfalls, check out our detailed article on ownership and compliance rules for NP businesses in the state.

Please note: This video does not constitute legal advice. Always consult a licensed attorney to evaluate your unique situation and ensure your compliance with California laws.

 

Introduction (00:00:00 – 00:00:14)

Transcript:
I’m thinking of starting a nurse practitioner professional Corporation in California but I don’t know how
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Why Watch This Video (00:00:14 – 00:00:23)

Transcript:
In this video we will show you the things you need to know before starting a nurse practitioner professional Corporation in California.

Nurse Practitioners Taking Charge (00:00:23 – 00:00:43)

Transcript:
Nowadays nurse practitioners are taking their careers to the next level by starting their own professional corporations. Many states including California allow nurses to own private practices. Before you get too excited and decide to start your professional Corporation it’s important to understand that there are several differences between a nurse practitioner and a registered nurse.
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Nurse Practitioner vs. Registered Nurse (00:00:50 – 00:01:15)

Transcript:
While both registered nurses and nurse practitioners focus on patient care and monitoring, they differ significantly in terms of autonomy and scope of practice. Registered nurses always need to be supervised by a physician, whereas nurse practitioners may act as Primary Care Providers functioning without direct supervision of a licensed physician so long as their functions are performed according to standardized procedures.

Scope of Practice & Education (00:01:15 – 00:02:15)

Transcript:
The activities comprising the practice of nursing are outlined in the Nursing Practice Act. A broad all-inclusive definition states that the practice of nursing means those functions including basic health care which help people cope with difficulties in daily living which are associated with their actual or potential health or illness problems or the treatment thereof, which require a substantial amount of scientific knowledge or technical skill.
To become a registered nurse, one needs a bachelor’s degree and must pass the NCLEX (National Council Licensure Examination) before applying for a license.
On the other hand, a nurse practitioner is a registered nurse who possesses additional education, preparation, and skill in physical diagnosis, psychosocial assessment, and management of health-illness needs in primary health care.
For example, nurse practitioners must earn a master’s degree or higher. Additionally, NPs are required to complete more clinical hours and obtain certifications and training if they wish to work with specific patient groups.

What Is a Nurse Practitioner Professional Corporation? (00:02:16 – 00:02:37)

Transcript:
Let’s dive deeper into understanding nurse practitioner professional corporations.
A nurse practitioner corporation is a corporation registered with the California Secretary of State and engaged in providing the professional services of a nurse practitioner.
The California Board of Registered Nursing or BRN regulates nurse practitioners in the state.

Governing Laws & Regulations (00:02:38 – 00:03:00)

Transcript:
Nurse practitioner professional corporations are regulated by the following state laws:
California Corporations Code,
Business and Professions Code,
The Nursing Practice Act (located in the California Business and Professions Code starting with Section 2700),
and California Code of Regulations.
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Naming Requirements (00:03:33 – 00:04:00)

Transcript:
The name of the corporation must comply with California Business and Professions Code 2778. It should contain the words “nursing” or “registered nursing” along with wording or abbreviations denoting corporate existence.
It’s worth noting that the California Board of Registered Nursing doesn’t prohibit the use of fictitious names or DBAs (Doing Business As), but the DBA name must contain the required words.
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No Certificate of Registration Required (00:04:04 – 00:04:19)

Transcript:
No professional corporation or foreign professional corporation providing professional services by persons duly licensed by the Board of Registered Nursing is required to obtain a certificate of registration to offer those professional services.
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Officers and Directors Requirements (00:04:24 – 00:05:07)

Transcript:
No, not just anyone can serve as an officer or director of a nurse practitioner corporation. In general, every shareholder, director, and officer of a nursing corporation—except an assistant secretary and an assistant treasurer—must be a licensed person.
For a nurse practitioner corporation with only one shareholder, it’s required to have one director who also serves as the shareholder, president, and treasurer. Other officers in this scenario need not be licensed persons.
For a nurse practitioner corporation with two shareholders, two directors who are shareholders are needed. These two shareholders will hold the offices of president, vice president, secretary, and treasurer.
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Final Thoughts & Legal Help (00:05:09 – 00:05:38)

Transcript:
Starting a nurse practitioner professional corporation in California can be as intricate as navigating a spider web. If you’re ready to take your career to the next level and start a nurse practitioner professional corporation in California, do it right by seeking the assistance of incorporation experts such as Incorporation Attorney.
We can help answer any questions you have about the incorporation process and requirements in California. Contact us today to schedule an appointment.
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Ready to Start a Nurse Practitioner Business in California?

Starting your own nurse practitioner professional corporation in California is a major step toward independent practice—but it also involves strict legal and regulatory requirements. From proper entity formation to compliance with naming rules and professional licensing, every detail matters. If you’re serious about building your business the right way, now is the time to seek legal guidance. Contact Gale & Vallance today to take the next step in starting your nurse practitioner business in California with confidence.