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Magnabid

Matching Patients with Quality Doctors

Small OPO
Beverly Hills, CA
Health Tech
US Investors Only
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Matching Patients with Quality Doctors

Name Your Price | Find Your Doctor

Magnabid is an online medical marketplace that matches patients with high quality doctors.


Patients can name their price for a medical or cosmetic procedure and get matched with a doctor's offer.


Our goal at Magnabid is to help more patients afford cash medical and cosmetic procedures by providing easier access to doctors’ deals.


Built By Healthcare Professionals

Dr. Anita Sabeti created Magnabid out of her own frustration with existing medical marketing solutions. She found that health industry middlemen were prohibiting patients from securing procedures at affordable prices and doctors were stuck seeking new patients through inconvenient sites like Groupon and Yelp.


With the help of her husband and computer scientist, Ben Mansouri, and his cousin Pez Zarifian, a Systems Engineer at NASA-JPL, the three developed an online platform that gives doctors like Dr. Anita, the flexibility to customize offers based on their schedules and let patients name their price.


Magnabid currently has a community of early-adopters in Southern California and with your investment plans to gradually cover the entire United States.


How It Works

Unlike our competitors who charge doctors large sums of money to market their business, Magnabid charges doctors a small monthly fee to match them with new patients. While other marketing platform can take up to two weeks to reply to patient's bid, we keep a repository of doctors' offers and match them with a patient's bid immediately. Once a patient's bid is entered on our site, our algorithm quickly searches for compatible offer from participating doctors and instantly matches doctors' offers with the patient's bid. If there is not match, patients have the flexibility to put their bid on a "WishList" which is accessible by doctors 

The Offering

Investment

$0.35/share of Class A Non-Voting Stock│When you invest you are betting the company’s future value will exceed $4M.

Magnabid believes in empowering patients to find their desired procedures at an affordable price while providing doctors with a truly hassle-free and low-cost platform to market their business.

What We Have Accomplished So Far

To date, we have been focused on developing our bid-to-offer matching algorithms and the development of our website. Our site is fully developed for the first phase of our functionalities: doctors can now create and manage their offers under their profile and patients can bid on their favorite medical procedures. We have also implemented our Wish List algorithm which allows the patient to keep their bid in our database if there is no immediate match for their bid.


Having gone through a successful pre-seed round, Magnabid.com is now ready for primetime! We have developed a fully functional website and have developed a user base of doctors who actively use our platform to market their business. We are currently developing a mobile app to allow patients to place bids for their favorite procedures on the go. Patients can also book appointments with doctors and get rewarded for showing up to their appointment. To date we have attended several events to promote Magnabid and meet with doctors as well as investors, including MGMA 2017 in Los Angeles, Collision in New Orleans, and Startup Grind in San Francisco.


We are currently opening our seed round with the goal of putting the finishing touches on our technology and reaching out to more doctors and patients. Our goal is to provide a world-class customer service to our doctors and become the most value-added online marketplace for our patients.


Our Market Traction and Previous Success

We successfully raised $121,392.60 during our pre-seed round in the second quarter of 2017 which allowed us to grow our business in many areas. Here is a list of what we have accomplished using the proceeds from our pre-seed round:


  • Completion of our website with functionality for doctors to create offers and for patients to bid on medical procedures
  • Development of our our mobile app underway to provide patients with all that Magnabid has to offer, on the go!
  • Architecture of new and improved matching algorithms that allows us to match patients with doctors' offers faster and more efficiently
  • Signup of 53 doctors in Los Angeles and creating 100s of matches between patients and doctors' offers
  • Representation at several events to promote MagnaBid.com to doctors and prospective partners

MAGNABID.COM

Doctor's Dashboard

Patient's Dashboard

What Makes Magnabid Different

From the beginning, we aimed to create a website that would truly benefit both patients and doctors - Magnabid was created by a doctor, for doctors, and for the benefit of patients. Our site is 100% free for the patients, which allows them to place their bids as soon as they sign up using their (validated) cell phone number. Our medical board conducts a thorough background check of the doctors who sign up with us in order to ensure that only certified providers can offer their procedures through our site. When a match is made, the doctor and the patient receive each other's contact information and the patient can make an appointment with the doctor using our website or our mobile app. Patients will receive reward points for showing up to their appointments which they can exchange for discounts at future doctor visits. Doctors only pay a small monthly fee for marketing their business using our site which allows them to reduce the cost of their marketing and in turn grow their business. Our introductory fee for doctors is $100/month.

"Trust and quality have been our core values. We wanted to create a trusted community between patients and doctors, where patients feel comfortable with the quality of care and doctors find more 'cash-based' patients at their offices."

Ben Mansouri

CTO & Treasurer

Speaking with Voyage LA

Current Procedures Patients Can Find on Magnabid.com

Our Market and Industry

According to PricewaterhouseCoopers, the U.S. healthcare market was a $2.8 trillion dollar market, and according to Centers for Medicare and Medicaid Services:

  • After 5.3% growth in 2014, national health spending is projected to have grown 5.5% in 2015.
  • The national health spending is projected to grow at an average rate of 5.6% per year for 2016 to 2025.

Based on these estimates, we calculate the size of the healthcare market to be $3.1 trillion today, and to grow to $5.1 trillion by 2025

The size of the healthcare market was predicted using data found on PwC Health Research Institute's website.


PwC’s Health Research Institute predicts that this market will soon undergo significant changes by disruptive technologies similar to those that reshaped the retail, banking and travel markets. The same report also suggests that healthcare providers should consider payments as a way to differentiate themselves, noting that retailers, airlines, restaurants and others have used payments to attract customers and build consumer trust, loyalty and satisfaction. Examples of these novel payment methods include Amazon.com's one-click shopping and Walmart’s WalmartPay.

Source

Why Now Is The Best Time For Magnabid.com?

Source: Commonwealth Fund calculations based on Kasier/HRET, 1999-2008 MERS-IC; U.S. Census Bureau, Current Population Survey; Congressional Budget Office.


Why Now?

Now more than ever, the doctor-patient community is in need of Magnabid.com. With the rising cost of insurance premiums and deductibles, our nation is in need of a more efficient system to remove the middleman and directly connect patients to doctors. The dizzying rise in the cost of health care has reduced the purchasing power of many lower and middle class families. Thereby, impacting their quality of life, which is what the health care system was meant to help sustain in the first place! At the same time so many necessary procedures are labeled as "cosmetic" (e.g. LASIK, breast reduction surgery, ENT procedures related to snoring, etc.) by insurance companies and not covered. Many patients are incapable of paying for these expensive procedures out of pocket unless they are able to find an affordable offer from a doctor directly.


On the other side of this equation are the doctors in our community whose businesses are suffering from obscene marketing costs, forcing many to hustle to do side jobs only to maintain their business. The cost of inefficient marketing platforms has been skyrocketing, despite the obvious lack of benefit to both doctors' businesses and patients' ability to systematically find affordable procedures.

Source: Centers for Medicare and Medicaid Services, Office of the Actuary, National Health Statistics Group.


The Media's View On The Future Of Our Business Model

On January 26, 2017, an article in Times magazine noted: "Nowadays many of the people seeking cash-based care are middle-class Americans with high-deductible insurance plans. For a patient with an $11,000 family deductible, for example, it might make more sense to seek out a cash-based center."  


The same article also mentioned: "With the Affordable Care Act on the chopping block, many experts expect the free-market model to take off. While congressional Republicans have yet to produce a viable replacement for the Obama Administration's health care law, almost any change is likely to result in more Americans' choosing high-deductible insurance plans, which would help fuel the cash-based marketplace for years to come."

Source


Magnabid aims to serve cash-only physicians as well as those who have direct-pay deals for their patients. However it is interesting to note that according to an article on the Southern California Public Radio (SCPR) website "[the number of cash-only physicians] have been growing by 25 percent a year over the past four years." This trend suggests a shift away from traditional doctor-insurance-patient relationship towards a direct doctor-patient only relationship. 

Our Team

Ben Mansouri, CTO (right) and Pez Zarifian, CEO (right) at StartEngine workshop

FAQ

Q: Is this your first round of raising capital?

A: No, This is the second round. The first round has been closed for 122K in July 2017 (25% over our expected amount) 


Q: What were the accomplishments from last round?

A: We have built our sales taskforce and have  extended the number of providers, Invested in building the mobile app (We will have the mobile app ready for patients in coming weeks), and we have added new functionalities to our technology.


Q: I see that you have plans to add provider sales force and some consumer-focused advertisement. How much is the projected expense

A: We will spend 60% of raised capital for Patient marketing and 20% for Doctor marketing.


Q: Is your website functioning yet? Is it functioning on mobile?

A: Yes, the website is fully functioning and it is mobile friendly. Mobile apps are also in testing mode and they will be available to patients soon.


Q: It seems this is relatively centralized in California, how do you propose to reach out medical professionals in other states? 

A: Yes, we are planning to expand our services to  New York and Florida by end of 2018 and gradually reaching out to other states in 2019.


Offering Summary

Maximum 1,001,595 shares of Class A Non-Voting Stock ($350,558.95)

Minimum 28,571 shares of Class A Non-Voting Stock ($9,999.85)


Company
Magnabid, Inc.
 

Corporate Address
9735 Wilshire Blvd. Unit #123
Beverly Hills, CA 90212
 

Description of Business
An online marketplace connecting doctors and patients
 

Type of Security Offered
Shares of Class A Non-Voting Stock
 
Purchase Price of Security Offered
$0.35
 

Minimum Investment Amount (per investor) 
$350










Irregular Use of Proceeds

There will be no irregular Use Of Proceeds

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Most recent fiscal year-end:
Prior fiscal year-end:
Total Assets
$10,789.00 USD
$4,665.00 USD
Cash And Cash Equivalents
$104.00 USD
$395.00 USD
Accounts Receivable
$0.00 USD
$0.00 USD
Short Term Debt
$24,206.00 USD
$6,875.00 USD
Long Term Debt
$0.00 USD
$0.00 USD
Revenues And Sales
$0.00 USD
$0.00 USD
Costs Of Goods Sold
$0.00 USD
$0.00 USD
Taxes Paid
$0.00 USD
$0.00 USD
Net Income
-$11,207.00 USD
-$2,810.00 USD

Risks

A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment. In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document. The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature. These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.


Updates

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