Medquip, Inc., an American medical device company, plans to patent, design, and market medical devices that are related to niche markets for endoscopic surgery. With the help of surgeons and physicians in gastroenterology, three devices were already designed. Seven patents have already been filed. The company plans to achieve $16million in sales by the end of year 3. The company plans to generate $50 million in revenue for the fifth year. The company has already used a top patent law office to file patent applications for its three first market entries.
The market segments are well defined and are all subject to high growth trends. One market is projected at $160 million within the next three year. This market is endoscopic variceal (ligation) Medquip was one of the original founders and helped to design the market leader. The product has since been greatly improved by Medquip. Another market addresses a clearly defined and unmet need in endoscopic surgical: clearing the fundal pools and tissue during surgery. A new and innovative design has been created to answer the needs of surgeons.
This market should begin at $20 million but could expand to several hundred million as soon as approvals are obtained for many varied surgical procedures. Medquip intends licensing this technology to a bigger company. The company becomes mature by year three. The company may be profitable in year three if a license agreement can be signed.
Mission
Medquip, Inc.’s mission is to develop, market, and patent new technologies in the field of medical devices. The technologies will fill market niches that each account for a minimum of $20 million dollars in potential sales. Each technology will either be an improvement on an existing technology, device, or design a new device to meet a clearly defined medical need. Each product will be priced to appeal primarily to managed-care customers that focus on the lowest possible cost of treatment.
Keys to Success
The keys to success for Medquip, Inc. are as follows:
- Initial capitalization obtained.
- All filed patent applications
- Ability to generate revenue early from European markets that are not regulated.
- Licensing of at least one technology.
- To fully finance product development and prototyping, you can get low-interest loans and/or grants.
- Recruiting top-notch leaders before second round financing.
- Successful 510k approval from FDA to market Visi-Band in the U.S.
- Implementation of a successful sales and marketing strategy to the U.S. managed-care market in order to achieve minimum 10% market share for $16 million revenue.
- Increased product development and continued market share gains to produce a $50 million revenue company by year five.
Objectives
Medquip, Inc. has the following principal goals:
- To have a 10% market share in the endoscopic variceal market by year three.
- To make $16million in revenue by year 3.
- In the first six months, to raise $1 million in private seed capital.
- To obtain low interest loans from Puerto Rico and grants of $1.2 million each year.
- To license its technology for the obliteration/suction/irrigation market for $1 million dollars in year one.