American HealthCare Capital is pleased to introduce a Teleradiology company for sale. The Company was established in 2015 by a U.S. licensed radiologist, as he saw a greater demand for radiologists working locum tenens for smaller and larger diagnostic and imaging centers nationwide. The 2019 covid pandemic encouraged more hospitals and imaging centers to seek remote radiologists while more doctors began seeing the lifestyle benefit of expanding their reach through virtual home offices.
Currently, the Company has a team of 14 radiologists who are independent contractors (1099). It employs eight support staff members (W2) offering radiology interpretation services across all 50 states in the U.S. There is also a back-office support team in Hyderabad, India, consisting of 5 employees that support the eight administrative staff members in the United States with data entry and timely filling out of forms for state medical licensing and hospital credentialing.
The Company is B2B, and its customers are large hospitals, including level ONE trauma centers, community-level hospitals, and imaging centers. Therefore, the Company does not bill patients or 3rd party insurance companies. The Company invoices the Clients and hospitals directly every 15 days on a cash basis and collects receivables every 15 days. In addition, the Company only pays its Radiologists and staff AFTER it has received revenues in full for work performed. For example, work performed by Radiologists in June is fully collected by July 15th. Radiologists are paid on July 30th AFTER depositing all revenues at the bank. There are no outstanding receivables month after month, and the Company does not utilize any lines of credit, loans or factoring to finance receivables or payables.
The Company is highly scalable as more hospitals and Radiology practices seek after-hours and multispecialty coverage, reducing turnaround time and democratizing access to underserved remote areas. The Company’s revenues have been multiplying with extremely healthy profit margins and a strong balance sheet. Gross revenues were nearly $2 million in 2021, over $5.6 million in 2022, and are on track to reach $7.53 million in 2023. Adjusted EBITDA was almost $389,000 (19.6%) in 2021, more than $2 million (36.8%) in 2022, and is expected to be $3.029million (40.22%) in 2023.
The Founder is seeking a strategic or a financial sponsor partner with the necessary skillsets to assist him in growing the company to a $100 million valuation in 5 years or less and will consider all offers and deal structures including majority control sale of his company.
The asking price for this investment opportunity is $18 million. The price excludes any cash and accounts receivable.
