Professional incorporation · Medical

Medical Professional Corporations in BC.

An MPC is a BC corporation approved by the College of Physicians and Surgeons to provide medical services. The legal work to set one up is part standard BC incorporation, part College application — and the College piece is where most of the time goes. We handle both.

The structure

Three rules that define an MPC.

The College of Physicians and Surgeons of BC sets the structural rules for medical professional corporations. The three that matter most at incorporation:

Share ownership. Physicians must hold all voting shares, or companies controlled directly by a physician or physicians must hold all voting shares.

Corporate name. The College requires the name to identify the physician and indicate it is a professional corporation. Common forms: "Dr. Jane Smith Inc." or "Jane Smith Medical Corporation Inc." The name has to be cleared through both BC Registries and CPSBC before incorporation.

Scope of services. The corporation can only provide medical services and services incidental to medicine. The corporation cannot, for example, run an unrelated business. If you want to operate other ventures alongside the practice, those go in separate corporate entities.

The process

Five steps from first call to billing through the MPC.

  1. 01

    Pre-clearance with CPSBC

    We confirm the proposed corporate name with CPSBC before filing the BC company. This avoids the case where the BC name is cleared but CPSBC declines to approve it as an MPC.

  2. 02

    BC company filing

    Standard BC incorporation: articles, share structure (typically common voting and one or more classes of non-voting if family members are participating), founding resolutions, minute book.

  3. 03

    College application

    CPSBC application form, supporting documents (corporate documents, minute book extracts, declarations from the physician), application fee. CPSBC reviews; some files require follow-up correspondence.

  4. 04

    Approval and certificate

    On approval, CPSBC issues a Certificate of Authorisation. The MPC can now bill MSP, third-party insurers, and patients through the corporate entity.

  5. 05

    Billing transition

    Notify MSP and any third-party billing relationships of the corporate change. Update banking, accounting, and payroll. Your accountant typically takes over from this point for the financial side.

Frequently asked

MPC questions we get most.

What is a Medical Professional Corporation?

A Medical Professional Corporation (MPC) is a BC corporation approved by the College of Physicians and Surgeons of BC (CPSBC) to provide medical services. Like other BC corporations, it has shareholders, directors, articles, and a minute book. Unlike a regular corporation, only the physician can hold voting shares, the corporate name has to comply with CPSBC rules, the corporation can only provide medical services (and certain services incidental to medicine), and the corporation must report annually to the College.

When does it make financial sense to incorporate?

Incorporation has tax obligations and tax consequences, and the decision should be confirmed with your accountant. Based on our understanding, once your professional income passes a certain threshold above what you need for personal living costs, incorporating can become more advantageous for tax reasons — earnings retained in the corporation are taxed at corporate rates rather than personal rates. The threshold and the math are specific to you. Confirm with your accountant before incorporating; our role is to set up the corporation correctly once the decision is made.

Who can hold shares in an MPC?

Physicians must hold all voting shares, or companies controlled directly by a physician or physicians must hold all voting shares.

What does the corporate name have to look like?

CPSBC requires the corporate name to include the physician's surname (or full name) and a designation indicating it is an MPC. Common formats include 'Dr. Jane Smith Inc.' or 'Jane Smith Medical Corporation Inc.' The name has to be cleared through both BC Registries (general name search) and CPSBC (College approval) before the corporation can be incorporated and approved as an MPC.

How long does the whole process take?

The BC company can be filed in 1 to 3 business days. CPSBC approval as an MPC takes typically 2 to 6 weeks after the College application is submitted. We usually file the BC company first (with a corporate name pre-cleared with CPSBC) and then immediately submit the College application. The physician cannot bill through the corporation until College approval is granted; we co-ordinate the timing to make sure the corporation is fully approved before the changeover.

What ongoing obligations does the MPC have?

Annual confirmation to CPSBC that the corporation continues to meet the rules. Annual report to BC Registries to keep the corporation in good standing. CRA tax filings (corporate income tax, GST if registered, payroll if employees). Minute book maintenance — board resolutions for major decisions, share certificate updates if shares change hands, share register and director register kept current. We can act as the registered and records office to keep the minute book up to date.

Can I incorporate as a group of physicians together?

Yes. Multiple physicians can be shareholders of a single MPC, or each physician can have their own MPC and the MPCs can in turn be partners or shareholders in a larger structure. The right answer depends on the practice arrangement, the income-splitting goals, and the exit plans. Group MPCs add complexity around shareholder agreements, profit-sharing, and what happens when a physician leaves — all of which need to be drafted carefully.

Setting up an MPC?

Tell us your name (for the College pre-clearance), whether family members will hold non-voting shares, and your timeline. We'll come back with a quote covering the BC company, the College application, and the minute book.