What limits does North Dakota place on a med spa's business structure?
Ownership · part of The Practice Perimeter
Short answer
The cited rules do not settle this — no structure is mandated; they only say a professional corporation's owners are licensees in the same service plus nonlicensed employees and minority owners, and it may render one service type or an authorized combination.
A professional corporation is a corporation incorporated under chapter 10-31 for the purpose of rendering professional service which has as its shareholders only individuals who themselves are licensed or otherwise legally authorized within the state to render the same professional service as the corporation, nonlicensed employees as provided in section 10-31-07.1, and minority owners; and a professional organization may be created under the chapter only for the purpose of rendering one specific type of professional service and services ancillary thereto, or two or more kinds of professional services specifically authorized to be practiced in combination.
N.D. Cent. Code § 10-31-01(7); § 10-31-04(1) · verified Sep 8, 2026 · regulatory monitoring, not legal advice
The rest of what North Dakota says on this
The payment or receipt, directly or indirectly, of any fee, commission, rebate, or other compensation for medical services not actually or personally rendered, or for patient referrals;
N.D.C.C. § 43-17-31(1)(r) (Fee-splitting, rebates and payment for referrals) · verified Sep 5, 2026
this prohibition does not affect the lawful distributions of professional partnerships, corporations, limited liability companies, or associations.
N.D.C.C. § 43-17-31(1)(r) (Professional entities are expressly preserved) · verified Sep 5, 2026
How other states answer this
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Connecticut
- Delaware
- District of Columbia
- Florida
- Georgia
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New Mexico
- New York
- North Carolina
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Rhode Island
- South Carolina
- South Dakota
- Tennessee
- Texas
- Utah
- Vermont
- Virginia
- Washington
- West Virginia
- Wisconsin
- Wyoming
Related North Dakota questions
- Can a non-physician own a med spa in North Dakota?
- In North Dakota, may a non-clinical owner or manager be paid a share of revenue?
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← All North Dakota rules and changes · MedSpaRadar is regulatory monitoring and reference: it summarizes public laws, regulations and agency actions and links each to its source. It is not legal, medical, or compliance advice, and using it creates no attorney-client relationship. A summary can lag its source or leave out detail, and monitoring itself can be interrupted — so an absence of alerts means nothing reached you, not that nothing happened. Read the cited source, check its effective date, and confirm any change to your operations or clinical practice with qualified health-law counsel and your medical director. Legislative data via LegiScan (CC BY 4.0).