Alleon Healthcare Capital (“Alleon”), a specialty finance company focused on providing healthcare accounts receivable financing, medical accounts receivable factoring, and cash flow solutions to medical providers in the U.S. recently closed a $400,000 medical accounts receivable factoring facility with a New Hampshire based sober living facility operator (“Company”).
The Company has two facilities which provides supervised shelter services in a safe, secure, welcoming, and homelike environment that ensures individual safety. Its goal is to join communities and families in providing opportunities for citizens to achieve health and independence from substance abuse.
The Company approached Alleon with a request to leverage its medical accounts receivable to ensure working capital availability to cover ongoing operational expenses in a timely manner. Alleon was able to structure the transaction as a factoring facility made up of medical receivables that are billed to the New Hampshire Department of Health and Human Services with an advance rate of 80% on eligible receivables.
“Mental health has been a challenge since the start of the pandemic, especially in underserved and rural communities. Many residents are resorting to alcohol and drug abuse to cope with the challenging times and our client is making a difference by fighting this horrible disease. We are extremely excited to be part of this ongoing effort to curb drug and alcohol abuse and hope a difference is made in these communities.” said Ben Malyar, V.P. of Business Development at Alleon.