Alleon Healthcare Capital closed a $2.5 million medical accounts receivable financing facility for a home care provider in New York.
The company provides personal care, private duty nursing, clinical care and related home care services throughout New York as a New York State Department of Health-licensed home care services agency. Formed in 2019, the company grew by acquiring two New York home health care agencies and is continuing its acquisition initiative while providing technology to the industry in New York.
The company approached Alleon Healthcare Capital with a request to leverage its medical accounts receivable to acquire additional facilities and expand operations. Alleon Healthcare Capital structured the transaction as a financing facility made up of medical receivables that are billed to government and commercial insurance carriers, with an advance rate of 85% on eligible receivables.
“We are excited to provide financing to the company, as it is bringing efficiency and modernization to the home care space. Furthermore, its management is highly experienced and well positioned to execute on its scaling and acquisition strategy,” Ben Rutkevitz, vice president of business development at Alleon Healthcare Capital, said.
