LOS ANGELES, Oct. 28, 2003 (PRIMEZONE) -- PracticeXpert, Inc. (OTCBB:PXPT), today announced that it has entered into an agreement that will provide the company with access to as much as $2 million in capital under a revolving credit facility.
Under the agreement, the lender will advance the company 90% of its eligible outstanding accounts receivable, up to a maximum of $2 million, and with an initial advance of $500,000. The credit facility is secured by a charge against all of the assets of the corporation. It also contains a conversion privilege, that allows each of the Company and the lender to convert, at a fixed conversion price, a portion or all of the loan to equity.
Jonathan Doctor, chief executive officer of PracticeXpert, Inc. stated, "Obtaining this credit facility is an important milestone for the company. It does a number of things for us, all of which should allow us to continue executing on our business strategy. First, it allows us to free up the working capital we have tied up in our receivables and to put that capital to work in growing the business. Second, we can use some of the funds we receive to complete some of the acquisitions we are working on, and that we believe can be closed in the near term. We believe that obtaining this line bodes well for the future prospects of our company."
About PracticeXpert, Inc.
PracticeXpert, Inc., a healthcare technology and services company, is in the business of developing and deploying systems, technologies and services designed to improve operational efficiencies, reduce billing errors and enhance cash flow for medical practitioners. Its services revolve around its flagship patent-pending hand-held patient encounter system, PXpert(tm), and include medical billing, collections, transcription, clinical trial accruals, contracting and practice management. For additional information visit www.pxservices.com.
Note: Any statements released by PracticeXpert, Inc. that are forward- looking, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act. Editors and investors are cautioned that forward-looking statements invoke risk and uncertainties that may affect the Company's business prospects and performances. These include economic, competitive, governmental, technological and other factors discussed in the statements and in the Company's filings with the Securities and Exchange Commission.