The Affordable Care Act (ACA) has resulted in an increased demand on hospitals and health systems to laser-focus on identifying and refining methods to capture savings in every corner of their operations, while still maintaining or improving the quality of patient care. The result is the advent of an era of disruptive innovation in health care delivery and the need to rethink traditional business models.
Enter onto the scene, Chris Godfrey, Founder and CEO of Bloodbuy. Chris and key members of the Bloodbuy leadership team created the technology and business model to break down the geographic barriers that existed in the traditional procurement and management of blood and blood products, which resulted in frequent spot shortages and massive price variations for identical blood products across the industry - an industry that had not seen significant business model change in nearly 40 years. This cloud-based platform enables blood centers to identify and communicate directly with hospitals, regardless of geography, with the goal of supplying lifesaving blood products that may not be available in that hospital’s immediate area. “Chris saw an opportunity to connect the dots and level the marketplace by creating an innovative web-based application that enables hospitals and blood centers across the country to find each other in a competitive marketplace, and in a way that is completely price-transparent,” said shareholder Jon Henderson, the lead Polsinelli attorney working with Bloodbuy. “Chris and his team help to ensure that this scarce asset is available at the right time and at the right price point, which levels the playing field.”
A core group of four Polsinelli attorneys served on the team that structured the contractual agreements with Bloodbuy’s customers, and the team addressed the unique patent requirements of this innovative technology. “This is a volume-based business model and represents an environment with multiple buyers and sellers participating, so it required conceptualizing the operating model and creating contractual relationships between purchaser and seller of the product each time a transaction was executed,” said Jon. “It’s the very first environment of its kind, and our team worked diligently to fully understand the business context behind the technology.” Members of Polsinelli’s Science and Technology, Corporate and Transactional, Health Care, and Intellectual Property practices were involved in this engagement.