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 $500,000 medical accounts receivable financing facility with a Community Integrated Living Arrangement (“CILA”) provider located in Illinois (“Company”).
CILA providers operate group homes that accommodate from one to eight individuals with behavioral needs. The Company has six CILA homes staffed with licensed personnel to assist persons with various degrees of disability. The personnel includes house managers, behavior therapists and full-time registered nurses. The Company was formed nine years ago and has been growing by acquiring new CILA homes.
Alleon was approached by the Company with a request to leverage its medical accounts receivable to acquire additional facilities and assist with working capital during times of the year when the state of Illinois delays payments. Alleon was able to structure the transaction as a financing facility made up of medical receivables that are billed to government insurance carriers with an advance rate of 80% on eligible receivables.
“We are excited to work with this company as it is providing much needed services in the community and look forward to helping it grow,” said Ben Rutkevitz, V.P. of Business Development at Alleon.
About Alleon: Alleon Healthcare Capital, a division of Alleon Capital Partners LLC, is a specialty finance company focused on providing cash flow solutions for healthcare providers in the U.S. that are unable to secure financing through conventional sources. Alleon works with providers nationwide, as long as they receive payments from Medicare, Medicaid, Commercial Insurances, Private Insurances, HMO/PPOs, Managed Care, No-Fault/PIP carriers, Worker’s Compensation carriers, and Letter of Protection (Personal Injury) cases.