Replies to post #110624 on Progressive Care Inc (fka RXMD)

[J1989]

Man your a true hero thanks so much for your posts and saving all of the investors here

[Jimmy Quick]

Growth-Up, that's what PharmcoRx is Doing

One of things we worked on really hard over the last six months and especially last four months is trying to build the exposure of what it means to be PharmCo. A lot of people don't understand what PharmCo means, what it is we do because when we interact with the pharmacy we were used to walking past aisles and aisles of groceries to get to a pharmacy technician who gives us our medications every week. That's the limit of our interaction with pharmacy.

That is not what PharmCo does. We are advanced pharmacy services. We are a healthcare company. So we do pharmacy - pharmaceutical coaching, medication therapy, management, consultation, education we do a lot more than just put pills in the hands of patients, we work with doctors, we optimize medication therapy, we save insurance companies money by examining patient medication therapy and making sure the medications the patient is on are cost effective and that is why insurance companies are trying to partner with us on program that will benefit their members,
We're talking to a number of institutions about how to integrate pharmacy into the healthcare space, into the patient's care team and by doing that that will allow us to have more stability. Now we as a pharmacy just PharmCo have better stability in our patient base, better stability in our physician base than anything else. I know that there are some questions about attrition, I have seen some things where patient or our shareholders are having questions about whether we're losing grounds, we don't lose ground it patients try PharmCo they don't because we can do everything a pharmacy can do, everything CVS does, everything Walmart does, everything a PBM pharmacy does and mail order pharmacy doesn't and we do it better.

So if you like what we do there is zero reason to switch everybody else is going to charge you more money. Everyone else is going to deliver a poor service. So there is no reason to switch. Once you come to PharmCo is a common joke, once you are PharmCo you are forever PharmCo and does with our stuff too. We have numbers of boomerangs who think that they want to find a job somewhere else, within two weeks they are back at PharmCo because we're the best and they know that.
And so we're seeing a lot of advancement, we’re seeing a lot of opportunity, and I want to get now - I know I really fed up and glass over the financials. I hope that we’ll do another podcast with Stuart, and he can go further into detail. But I do want to get into the question-and-answer because there is a lot to talk about and there is a lot of exciting things going on here.

[Jimmy Quick]

Growing-Up and Out, that's what PharmcoRx is doing Annually

Shital Mars
So we, I forgot to mention, I can't believe I forgot to mention, we signed an agreement to buy a building. This is humongous news. Anybody who has stopped by our pharmacy knows that we are bumping into each other. You have to glide past a lot of shoulders to get anything done over here. And that is a testament to our growth. Growth is a great thing and so we are so excited to be able to have our own property to pay mortgage and have equity in a piece of land. And that's going to do wonders for our growth.

Now we're not inhibited, now we can add more machines, now we can add more tele-pharmacy kiosks, now we can have more staff, more development of our mail order, more development of our long-term care. We are no longer - once that new location closes, we will no longer be inhibited in our growth in any way for a number of years.

So we are very excited to move forward. That closing I do anticipate happening if not the end of this year the very beginning of next year. I know that the holidays are coming up, so there could be some delays just into that and not do anything else. We've spoken with the bank, the mortgage is well on its way to being approved if it's not approved already. We have no indication if there's going to be any hiccups from now until when we close.

I know that there are some questions about the structure of the deal note. And pardon me Stuart if I'm jumping around here. I know that there are some questions on the structure of the note, for those of you that are wondering on that, we will disclose the full agreement on the note at closing.

Again, once we sign, once it's real, once the money is in the bank, once we have the keys, then it's real for everybody else and we will disclose the note and hope that there's no changes between now and then.

Just to be clear though there is no discount on the convertible portion of this note. We do have to affirm the principal balance which is $300,000. We can pay that in cash at any time after closing, there's no prepayment penalties. So there's nothing to worry about there, it is an equitable deal but it does provide us the opportunity if a year from now. Again, that note is convertible in one year. We wouldn't have to come up with the cash right away, we do have the opportunity to use the cash for our growth and our capital needs and we're not talking about spending a lot of cash in that. That is based on market rates a year from now not today.

So as we grow and as our equity and our share price improves over the next three months and over the next 18 months that will limit the number of shares we would have to issue if any for the convertible note. So it was beneficial to us to not have to come out of pocket for $300,000 right now because we have a lot better uses for it.

Now, the plan for how we're going to use it. Again, I talked about staffing, I talked about tele-pharmacy, I talked about mail order and long-term care, I talked about Discharge, I didn't talk about DischargeRx and hospital programs, getting mail order licenses, accreditations and an expanded compounding lab.

So once we have the facility built out, once we have a licenses s in place, we will be consolidating all of our operations that is currently happening in north Miami beach. We will retain a small footprint in north Miami beach in that same 901 location, we have 5,000 square feet there, we'll bring it down to about 1,000 square feet to accommodate a lot of healthcare facilities we have, Jackson Memorial right down the street from us, we have clinics and patients that reside in the area, that come into the pharmacy and still view that as a convenient location for them to communicate with us.

So we are going to retain that and we do believe that that's going to be a cost effective opportunity where we'll have enough prescription revenue from just that small two to five mile radius to cover the cost of that bay.

The rest of it essentially as we do 2,000 to 3,000 prescriptions out of that one location. The rest of it the other 20,000 or so prescriptions a month that we today will move and also all of our administrative staff will move. Right now we're operating two separate leases. So I'll have an office inside that location, we won't have to have this other office space, and all of our files and everything will be maintained there. We won't have to have as many storage units for everything. So once the two year lease is up in December 2020, we will greatly reduce the cost of our real estate.

[straighttalk2004]

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