I know of an individual who is planning on buying out an architecture firm; however, she is not licensed. She has a degree in civil engineering, and a construction background, but does not have a degree in Architecture nor a license. I will be licensed in about a month, and my interpretation of the Architects Practice Act is that it is unlawful for any business owner to use a business name that includes "Architecture/Architect/etc" that is not licensed in California.
Can this person legally become owner or part-owner? Can they own the majority of the business? Does this it make it okay if they partner with a licensed Architect (even if that Architect only owns 49% or less)?
Here is an excerpt directly from the latest Architect's Practice Act from the California Architect's Board website:
§ 5535.2 Partnerships with Non-Architects This chapter does not prevent an architect from forming a business entity or collaborating with persons who are not architects, provided that any architects’ professional services that are provided through that entity or collaboration are offered and provided under the responsible control of an architect, or architects, and in accordance with the provisions of this chapter.
I'm still unclear about how WHAT PERCENTAGE of an architecture firm a non-Architect can own.... thoughts???
You can't have the equivalent of a professional limited liability corporation as everyone who is an owner would have to be licensed. You would have to be a general corporation. This is from personal experience when inquiring with the state.
In Michigan, a person has a form to file with the state showing ownership of a firm by a non-licensed person if there is a certain ratio.
If a M. Arch. is the only thing holding you back, you can get licensed in California without a professional degree. So you could go get licensed in that state and become an owner I suppose.
@chigurh Maybe. There are plenty of engineering firms in my town that have an architecture department. They still get consultant gigs that they aren't the architects on. From what I understand, their architecture departments are pretty bad as far as design goes. It is just a cost saver that they can offer clients. It doesn't mean the client has to hire them to do both engineering and architecture.
robothead: advise your friend to spend a few bucks with a good attorney with broad experience in the construction industry. That way she'll have an authoritative answer to the question(s) you are asking -- rather than relying on the profound legal expertise available here on Archinect.
Can an unlicensed Architect own an Architecture firm (fully or partially) in California?
I know of an individual who is planning on buying out an architecture firm; however, she is not licensed. She has a degree in civil engineering, and a construction background, but does not have a degree in Architecture nor a license. I will be licensed in about a month, and my interpretation of the Architects Practice Act is that it is unlawful for any business owner to use a business name that includes "Architecture/Architect/etc" that is not licensed in California.
Can this person legally become owner or part-owner? Can they own the majority of the business? Does this it make it okay if they partner with a licensed Architect (even if that Architect only owns 49% or less)?
no such thing as an unlicensed architect.
In my market, 51% of a practice must be owned by licensed architects or more specifically, no non-architect can hold a majority stake in a practice.
It varies by state. Check California's practice act.
Here is an excerpt directly from the latest Architect's Practice Act from the California Architect's Board website:
§ 5535.2 Partnerships with Non-Architects
This chapter does not prevent an architect from forming a business entity or
collaborating with persons who are not architects, provided that any architects’
professional services that are provided through that entity or collaboration are offered
and provided under the responsible control of an architect, or architects, and in
accordance with the provisions of this chapter.
I'm still unclear about how WHAT PERCENTAGE of an architecture firm a non-Architect can own.... thoughts???
You can't have the equivalent of a professional limited liability corporation as everyone who is an owner would have to be licensed. You would have to be a general corporation. This is from personal experience when inquiring with the state.
In Michigan, a person has a form to file with the state showing ownership of a firm by a non-licensed person if there is a certain ratio.
If a M. Arch. is the only thing holding you back, you can get licensed in California without a professional degree. So you could go get licensed in that state and become an owner I suppose.
http://www.ncarb.org/Getting-an-Initial-License/Registration-Board-Requirements.aspx?jurisid=9
Who in their right mind would want to buy an architecture practice?
WORST INVESTMENT EVER!
It could be practical if an engineering firm is trying to absorb one.
@jdparnell, only if said engineering firm is willing to burn bridges with any architect they ever consulted for in the past.
@chigurh Maybe. There are plenty of engineering firms in my town that have an architecture department. They still get consultant gigs that they aren't the architects on. From what I understand, their architecture departments are pretty bad as far as design goes. It is just a cost saver that they can offer clients. It doesn't mean the client has to hire them to do both engineering and architecture.
I just don't understand why everyone is trying to circumvent the system? Put in the time, get the education, and do it the RIGHT way...
robothead: advise your friend to spend a few bucks with a good attorney with broad experience in the construction industry. That way she'll have an authoritative answer to the question(s) you are asking -- rather than relying on the profound legal expertise available here on Archinect.
Good luck.
Quizzical, get yourself checked - you're talking a little too much 'reasonable advice' for these boards!
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