Category Boundaries
A physician sets which peptides your clinic offers and on what basis, in writing.
Peptides move faster than the guidance around them. A director who is comfortable with the category, protocols written to your state, and vendors that clear diligence are what keep a peptide program defensible.
Each of these is a decision your director owns, in writing, before it happens in your clinic.
A physician sets which peptides your clinic offers and on what basis, in writing.
Dosing, cycling and stacking rules approved before they reach a patient.
Research-use presentations kept out of patient care, with the rule written down rather than assumed.
A documented escalation path your injectors know without asking.
Peptide programs live or die on sourcing and documentation. We set both, then keep them current as categories shift.
Standing orders per peptide and route of administration
Sourcing rules: 503A, PUO and RUO boundaries made explicit
Screening, dosing and cycle protocols
Consent and patient-education documents
Lot documentation and storage requirements
Category gating tied to your credentials and state
Still not sure? Twenty minutes on the phone answers what a page can't.
It depends on the specific peptide, its compounding status and your state. We tell you which of the ones you want are workable and which are not before you stock anything.
That follows your state’s delegation and supervision rules, which your standing orders will set out per provider type.
Category 1 substances may be used in 503A compounding while FDA finishes reviewing them — a licensed compounding pharmacy will make them for a named patient. Category 2 substances were flagged for significant safety risk and are not appropriate for compounding at all. A peptide on neither list has simply not been reviewed, which is not the same as being cleared.
They stay out of patient care. Your protocols say so explicitly, which is what a board looks for.
When FDA reviewed bulk peptide substances for use in 503A compounding, it sorted them into lists. Category 1 substances may be compounded while review continues. Category 2 substances were flagged for significant safety risks and are not appropriate for compounding. That single distinction decides whether a peptide belongs on your menu, and it is the first thing we check before a clinic stocks anything.
Bulk substances placed in Category 1 may be used in 503A compounding while FDA completes its evaluation. These are the peptides a properly licensed compounding pharmacy will make for a named patient on a valid prescription.
What It Means for YouCategory 2 substances were identified as raising significant safety concerns for use in compounding. They are not appropriate for 503A compounding, and a clinic offering them is operating outside what the pharmacy framework supports.
What It Means for YouA third bucket catches people out: plenty of peptides sit on neither list. They are not cleared for compounding by being absent — they simply have not been reviewed, and a compounder working properly will not make them for patient use. Anything sold as research-use-only belongs in that bucket too, and it stays out of patient care entirely.
Category lists change as FDA completes review. Membership keeps your protocol and your catalog in step with the current lists rather than the ones in circulation when you opened — and your director confirms what your clinic offers.
Can a non-physician own a peptide clinic? Not the prescribing entity. Peptide therapy is medical treatment, and in most states the professional entity behind it must be physician-owned even when the business around it is not.
That is what the corporate practice of medicine doctrine decides — and it is the single rule that shapes how your business is built. Most states hold that medical judgment belongs to licensed clinicians, so a non-physician or a general corporation may not own or control an entity that practices medicine. The MSO model is the answer the industry settled on.
A doctrine in state law, not a company or a service. The professional entity — the PC — must be owned by a licensed physician, and control counts as much as ownership: who hires the clinicians, who sets the fees, who decides what gets treated.
The company that provides everything a Peptides clinic needs that is not the practice of medicine, under a written management services agreement with the PC. You can own the MSO outright, whatever your license.
How the two meet: a physician-owned PC employs the clinical team and holds the medical decisions; your MSO holds the brand, the lease, the staff, the systems and the supply; a fair-market management fee moves between them; and the line is drawn in writing where your state says it must be. 503A sourcing and vendor accounts sit with the MSO; what gets prescribed, to whom, stays with the physician.
How money actually moves through a PC/MSO structure — patient revenue landing in the PC, the fixed management transfer to the MSO, MedGrid's retainer, and physician compensation — the same CPOM flow of funds covered on this page, walked through step by step.
This isn't just how we recommend running the accounts. In a state that enforces corporate practice of medicine, this exact flow is required to keep a PC structure compliant: revenue lands in the PC first, the MSO is paid a fixed, fair-market amount rather than a share of medical revenue, MedGrid is paid a fixed retainer by the MSO, and the accounts stay separate.
It's also why MedGrid only builds on a PC — never a PLLC — in every state we work in. A PLLC lets revenue flow straight into a member's account with no equivalent separation, which is exactly the structure this flow of funds is built to avoid. Why that distinction matters.
These are the arrangements we most often find in place when a clinic comes to us, usually built in good faith, on advice from someone who had not read the state's rules.
The clinical entity was formed as a plain LLC owned by a non-physician. In a strict state that is the whole problem, and it usually surfaces at diligence or renewal.
A physician agreed to "be the medical director" with no management agreement, no delegation document and no standing orders. There is nothing to show a board.
The MSO takes a percentage of clinical revenue. Many states read that as fee-splitting regardless of what the contract calls it.
Treatment protocols copied from a training weekend, never adapted to this state or signed by the director who is supposed to own them.
General information about how these structures work, not legal advice for your clinic. Your director and your counsel confirm the specifics before you treat.
Twenty minutes tells you what direction costs in your state, what has to be on file before the first patient, and how fast you can start.