with Joe O'Dell · Pharmacy Specialists
LenderHawk analysis. Not affiliated with or endorsed by Acquiring Minds.
Sought to capitalize on home health industry tailwinds and aging population demographics by acquiring a profitable compounding pharmacy with three revenue streams and strong margins.
First year included three major crises: employee departure removing 20 percent of revenue, insurance recertification freeze blocking cash collection in January, and patient count duplication masking actual decline. Business stabilized by Q4 year one at four million EBITDA run rate but was ultimately destroyed by a 90 percent reimbursement cut on cardiology medication eliminating two million EBITDA, leading to two major layoffs cutting headcount from 100 to 20 and eventual closure after 2.5 years of operation.
SBA loan filings we matched to this deal