Med-X, Inc. was founded in 2014 by Matthew Mills (COO), Jennifer Mills (EXVP), Dr. David Toomey (CEO) and Ron Tchowzewski (CFO). Several of its products–including Nature-Cide and Thermal-Aid products–were developed and market-ready by 2016. However, Med-X, Inc. struggled in 2016 and 2017 to market its products effectively.
Funding had presented the biggest hurdle.
Massive R&D costs left the company without sufficient marketing funds until development was completed. In 2018 with R & D spending being cut by 70%, allowed the Company to start spending larger dollar amounts on marketing.
As a result, small to accredited investors began to gather behind the Company’s Crowdfunding initiatives and gave the Company a boost that led to over $2.5 million in revenue from 2018 to 2020, where the company passed the $1MM in sales annually.
At this stage of the game, Med-X needed to advance the Company to a higher level of funding to really get things moving. With Med-X’s Crowdfunding efforts yielding $250K to $350K of investment capital coming in monthly, was just enough to cover the company burn-rate leaving 20% to 30% for marketing, it just wasn’t enough needed to really continue strong growth.
Management decided it was time to focus on the investment banking community for help moving the Company to the next level.
The Company needed tools that shared the company vision and product lines briefly and convincingly to the investment banking world.
After months and months of circling the investment banking community Med-X, Inc. discovered the NewChip’s accelerator program. Among other components, the accelerator program guides participants to produce a simplistic one-page executive summary and an easy-to-follow 8-minute video that presents their company to potential large-scale investors.
When Med-X, Inc. initially distributed the executive summary and video across all of their marketing channels, they began to recognize that cutting down the process with a one-page executive summary and a short video, enabled the company to see and talk to more investment banks than they did before they participated in the NewChip Accelerator program.
Four months after producing the one-pager and the video, capital commitments from the Company’s capital raising initiatives began to slowly increase monthly, going from $7MM to $10MM in that period of time.
In addition to raising an additional $3MM bringing the total to just over $10,000,000 in investment capital, they procured a $100,000,000 commitment from a large-scale investor, which requires the Company to list on an exchange. This has led the Company to multiple investment banking interests from multiple parties and now the Company has dropped into a quiet period, while management prepares to list the Company on an exchange.
The Company management reserved the Nasdaq symbol “MXRX”, so it seems they are aspiring to list on the Nasdaq, but information is now scarce due to the quiet period, so time will tell where they are headed in the coming months.
According to Matthew, “The program showed us how to present our company . . . Putting together the 1-page executive summary and the 8-minute video was the key to us finding the right investment banking partners.” He continued, “We had been tripping over ourselves for a couple of years just giving too much information.”
Thanks to the NewChip program, Med-X, Inc. now has tools that communicate with a punch that reaches investors and moves them closer to getting their safe and eco-friendly products into the hands of all who would benefit from them.
Med-X, Inc. serves the pest control, pain management, and farming industries by developing “green,” all-natural solutions that don’t rely on caustic or harmful chemicals.
Med-X, Inc. is organized into three product divisions. Their Nature-Cide division features a family of all-natural pest control solutions based on proprietary essential oils formulations for professional pest control operators as well as consumers.
Thermal-Aid is a line of all-natural heating and cooling packs that are clinically tested and effective pain management solutions. Thermal-Aid packs reduce swelling, relieve pain, and are safe for adults, children, and pets.
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