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Banu Prasad

๐Ÿ‘ค Speaker
145 total appearances

Appearances Over Time

Podcast Appearances

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

how much to rise through equity versus the growth, which would give us the optimal return for us as the founders in the long run.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

It's actually, yeah, I'm okay as long as we are happy with the growth.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

The problem we are trying to solve is to increase the growth.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

And there is a huge possibility to increase the growth.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

And hence, we are now internally debating whether we should raise equity capital or through some other debt financing and other route.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

If you raise debt, how much would you try and raise?

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

close to and it needs to be paced out so we are looking at anywhere between 1 to 1.5 million to cover our hardware cost.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

The real challenge for us is to if we right now we are adding 300 patients a month

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

And as I said, we have added a lot of new providers onto our platform who have not started the engine.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

Once they start the engine, that 300 patients per month will go to 1,000 patients per month in the next three to four months, which drastically increases our working capital need.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

And that's the challenge we are trying to resolve, whether equity is the only way.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

We are in talks with some series, say,

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

health tech VCs as well.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

But considering the valuations and those kinds of things, that is where we are internally figuring out what is the right capital structure for us to optimize.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

Yeah, but when we raised the $5 million, we didn't have any... Wait, you raised $5 million?

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

No, not raised $5 million.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

When the valuation cap in the previous year was $5 million.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

Yeah, but we will be reaching close to 3 million ARR by end of this year.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

So it's next another four to five months.

SaaS Interviews with CEOs, Startups, Founders
HealthTech Hits $1.4m ARR in 12 months with genius medicare reimbursement model

How to Make Elephants Dance.