Changes to Shareholder Qualifications for New York State Professional Service Corporations
Effective January 1, 2012 in New York State, design professional service corporations first organized on or after January 1, 2012 may have shareholders who are not licensed as design professionals. The main qualification is that non-professionals cannot own more than 25% of the shares or constitute more than 25% of the corporation’s director or officer positions. The professions included in the scope of this amendment include architecture, landscape architecture, engineering and land surveying.
Prior to this amendment, ownership of registered limited liability partnerships, professional limited liability partnerships and professional service corporations in New York could only include licensed and registered design professionals.
For more information please visit the NY State Education Department’s Office of the Professions link at: http://www.op.nysed.gov/corp/pcorpdpc.htm