Introduction
Hey, I’m Morgan Davis, a business attorney based in Raleigh, North Carolina, specializing in cannabis and wellness. Today, let’s dive into the legal landscape of medical spas in North Carolina and what you need to know as an owner.
My Background
A few years ago, I co-founded a medical spa with friends. My contribution was the legal work, making me well-versed in North Carolina’s medical spa laws. Although I’m no longer involved in that project, I gained valuable insights into this industry.
The Medical Spa Industry
Medical spas occupy a unique space between healthcare and wellness, much like cannabis. They offer a variety of treatments, some medical and some not. Popular services include:
- Aesthetic Services: Botox, Dysport, Kybella, fillers, lip plumpers, eye lifts, Brazilian butt lifts, etc.
Despite the spa-like environment, many of these are indeed medical treatments.
Corporate Practice of Medicine
North Carolina, like many states, prohibits the corporate practice of medicine. This means only licensed individuals (physicians, physician assistants, or nurse practitioners) can own entities providing medical treatments.
However, the reality is more complex:
- Medical Treatment Entity: Handled by licensed medical professionals.
- Management Service Organization (MSO): Handles business operations like reception, non-medical staff, and physical infrastructure.
Key Legal Points
- Taxation and Tipping: Payments for medical treatments are not taxable and cannot be tipped or commissioned.
- Prescribing Treatments: Only physicians, PAs, or NPs can prescribe treatments. RNs or other staff must work under their supervision.
- Facility Oversight: Medical spas are not routinely inspected, but the providers are regulated by their respective boards.
Structuring Your Medical Spa
Medical spas often follow a structure similar to specialized medical practices. The medical professionals focus on patient care while the MSO manages the business aspects. This division allows for efficient operation while maintaining legal compliance.
Conclusion
If you’re considering opening a medical spa in North Carolina, understanding the legal requirements is crucial. Ensuring compliance can help you avoid legal issues and focus on providing excellent care to your clients.
For expert guidance on structuring your medical spa business legally, give us a call. We’re here to help you navigate the complexities of this growing industry.
