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1 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
Business Plan 2012
i n n o v a m e d e c p . c o m
Quality Investment. Quality Life.
2 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
Business Plan 2012
Quality Investment
Quality Life
CONFIDENTIAL. No offering is made or intended by this document. Any offering of interest in Innova Medical Technologies, Inc. (IMT)
will be made only in compliance with Federal and State securities laws. This document includes confidential and proprietary information of
and regarding IMT. This document is provided for informational purposes only. You may not use this document except for informational
purposes, and you may not reproduce this document in whole or in part, or divulge any of its contents without the prior written consent of an
IMT Principal or Partner. By accepting this document, you agree to be bound by these restrictions and limitations.
3 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
bad | IDEA
Listening to anyone
who tells you
where to get a really
great real estate deal
4 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
good | IDEA
Listening to Innova Med
Teach you how to profit from an
investment in healthcare
Finally…Freedom to be a dancing fool!
5 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
Contents
		1.	Executive Summary						7
		1.1	Mission							8
		1.2	Business Overview						9	
		1.3	Company Overview					12
		1.4	Success Factors						19
		1.5	Investment Structure					22
		1.7	Investor Capacity						24
		2.	Company Overview					25
		2.1	Ownership						26
		2.2	Experience						27
		2.3	Executable Strategy						28
		2.4	Manufacturing Experience					29
		3.	Operations						30
		3.1	Milestones						31
		3.2	Key Services						32
		3.3	Personal Letter From The CEO				33
		3.3	Founders Bio | Lisa Terry					34
		3.3	Founders Bio | George Nelson				35
		3.3	Management Bio | John McCallum				36
		3.3	Management Bio | Irwin Zucker				37
		3.3	Management Bio | David Gregory				38
		3.3	Management Bio | Steve Porter				39
		3.3	Management Bio | Peter Helander				40
		 3.4	 Hiring Plan						 41
		4.	Industry Analysis						44
		4.1	Critical Questions						45
		4.2	Medical Device Industry Snapshot				46
		4.3	Medical Device Industry Forecast				47
		5.	Customer Analysis						48
		5.1	Our Customers						49
		6.	Core Business Model					51
		6.1	Problems We Solve						52
		6.2	Solutions We Provide					54
		6.3	Implementation Snapshot					57
		6.4	Stakeholder Snapshot					58
		6.5	Stakeholder Benefits					59
		6.6	Civic Impact						60
		7.	Marketing Plan						61
		7.1	Core Approach						62
		7.2	Core Focus						63
		7.3	Core Offerings						64
		7.4	Core Marketing Competencies				66
		7.5	Core Selling Competencies					67
		7.6	USP							69
		7.7	Core Income Model					71
		7.8	Promotions Strategy					72
6 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
8.	Products							73
8.1	Core Medical Device					74
8.2	Supporting Devices						75
9.	Competitive Analysis					76
9.1	Industry Competitors					77
9.2	Competitive Advantage					79
10.	Financial Highlights					80
10.1	Financial Snapshot						81
10.2	Cost Assumptions						82
10.3	Income Projections						83
10.4	 Quarterly Balance Sheet 5 Year Projected			 84
10.5	Expenses Summary						85
11.	Reimbersement						86
11.1	Important Clinical Studies					87
								
12.	Reference Sources						93
12.1	ECP Overview						94
12.2	ECP Treatment Overview					95
12.3	ECP Critical Component					96
12.4	How ECP Works						97
12.5	 Beneficial Mechanisms of ECP				 98
12.6	Reimbursement						99
12.7	Patient Criteria						100
12.8	Important Clinical Studies					101
12.9	ECP Clinicals						102	
	
13.	Disclaimer						105
		
14	Contact InnovaMed					106
7 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1. Executive Summary
“ ““I have found no greater satisfaction than
achieving success through honest dealing and
strict adherence to the view that, for you to gain,
those you deal with should gain as well.”
Alan Greenspan
8 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1.1 Mission
ECP Gave
Us Our
Lives Back!
Where does a
better quality
of life begin?
70 million
people know
the answer.
Facts:
According to the World Health Organization (WHO), Cardiovascular Diseases (CVD’s)
affect over 70 million people, and represents 60% of all deaths worldwide. More people die
annually from CVDs than from any other cause.
CVD’s are recognized as the #1 Global Economic Risk to our worldwide economic stability.
The recognized #2 killer is Hypertension, and # 3 is Diabetes. ECP is recognized as the only
single medical therapy that effectively treats and/or cures all three.
In the U.S., CVD’s are responsible for one in every three deaths, equal to 2,200 deaths per
day, or one person every 34 seconds.
Innova Medical Technologies is about to change all that.
FOR QUALITY OF LIFE IT’S THE BIG ISSUE!
Our Mission: Our mission is to improve the health of all CVD sufferers, and others benefitted through our non-invasive,
life-saving, FDA approved treatment options via primary and specialty care providers around the world. Innova Med plans to
be an instrument of global change through education, patient advocacy and subsidized patient care to the indigent through
our non-profit organization, the Quality of Life Advocacy (QOLA). Innova Medical shall effectively serve our employees,
investors, and local community by thoughtful implementation of its integrity and leadership based business practices, which
outcomes shall provide a sustainable, profitable and long-term model of success and service in pursuit of our highest goal…
providing all of our stakeholders the opportunity to achieve a greater quality of life.
9 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1.2 Business Overview
Innova Medical Technologies, Inc. (IMT or Innova) was established in November, 2011 by its
Founders, George Nelson and Lisa Terry. After months of research, due diligence, focus studies and
successful pilot trials, Innova Medical officially incorporated in March, 2012. Beyond its Founders
contribution of capital necessary to support its pre-development efforts, Innova Medical successfully
acquired the longest-standing 30 year durable medical equipment manufacturing industry leader,
Cardiomedics, Inc. in September, 2012 for $15M.
Its Founders head executive, marketing, sales and distribution operations. John McCallum,
Cardiomedics past President & CEO, shall continue as President & COO from its Irvine, CA
location to ensure a streamlined manufacturing integration and expand into PR, Regulatory
markets, International Partner & Clinical funding development, and Irwin Zucker shall head R&D
and logistics operations.
IMT is a designated S-Corporation with a formation date of March 15. 2012.
Innovative Market Approach
Innova Medical’s Founder’s share a prior 10 year track record as a market maker responsible for
expanding dental services into the cosmetic sector via execution of its innovative and multi-market
development strategies within B2B, B2C, retail and vending distribution channels, being first to
market in what is now a $119 Billion per year industry.
Innova Med’s similarly unique ‘Medical Vending’ model shall trend away from the long-held
conservative capital equipment direct-sales only model, and ‘Cardiology only’ ECP market focus,
into a pay-as-you-go services model, called The Pulse Program, which will not require a physician
to layout capital of $65-85,000 in advance. As part of its Pulse Program, Innova’s corporate account
managers will be involved in marketing ECP to current patients, implementing and supporting
patient loyalty and retention programs, and work as an advocate between the physician and
Company, when patients are in need of the Company’s non-profit scholarship fund to assist in paying
co-pays or out-of-pocket expenses of private indemnity plans. Innova’s local market representatives
will also create brand awareness and create PR programs through civic and community involvement
in the local markets.
Innova Med offers a full-turn key business and marketing solution providing a synergistic and
innovative approach to exponential sales expansion of proven medical therapies. IMT provides
opportunities for med-tech investors and other stakeholders, and established, innovative solutions
for physicians, patients and payors.
10 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
Innova Med offers a full-turn key business and marketing solution providing a synergistic and innovative approach
to exponential sales expansion of proven medical therapies. IMT provides opportunities for med-tech investors and
other stakeholders, and established, innovative solutions for physicians, patients and payors.
Its alliance with the World Health Organization (WHO) will assist the U.S. in complying with 2010-2012 mandates
for member Nations to offer more affordable, accessible, patient-focused, primary healthcare alternatives over
speciality care with implementation of same beginning January, 2013.
Sales Forecasts
Forecasts place more than 200 new units into the Top 20 medical markets in the U.S. through Its Pulse Program
model within its first 12 months. Innova’s expanded marketplace of over 400,000 General Practitioners, D.O.’s,
Internists, D.O.’s, Urologists, Specialty Clinics, Sports Therapy Centers, and Medi-Spas, among others creates
expansive growth opportunities beyond the 14,000+/- cardiologists targeted to date by industry players.
The most profitable aspect of Innova’s Pulse Program is its ability to create and sustain residual income from
treatments performed by it’s in place unit’s year-to-year.
As a result of Innova’s recent acquisition of Cardiomedics, direct sales from existing exclusive international markets
including Mexico, Taiwan and Germany represent more than 200 additional device installations in a standard direct
sales fashion to hospitals and specialty clinics in those markets in the next 18 months.
Innova Medical is poised for global expansion as a result of the relationships being further developed through the
WHO, and jointly through the United Nations (UN) Medical Device Buying office, which preliminary discussions
forecast a deployment plan which includes introduction of our External Counter Pulsation (ECP) devices into 300 of
the 600 UN’s owned hospitals located in 39 countries around the world over the next 5 years.
Details of Innova’s strategic, marketing, sales, and financial plan can be found in detail within this plan.
1.2 Business Overview
11 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1.2 Business Overview
Corporate Structure:
Capital Request
Innova Med is seeking $2.75M in Expansion Capital, via Preferred Series B Equity, Convertible Debt or other hybrid
structure to reach its expansion goals in support of its recent acquisition.
Upon Issuance of Shares in the event the $2,750,000 capitalization sought is received in the form of equity, the company’s
equity structure fully diluted, inclusive of this projected round of financing is reflected below:
	 	 • Founders Shares represent 65%
	 	 • Directors and Employee Trusts represent 5%
	 	 • Current equity investors represent 2%
	 	 • Projected equity investors shall control 28%
	 	 • The Company has Authorized 20,000,000 shares
	
	 Notes: This projection shows the effect of the next round of financing.
12 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
IMT’s Executive, Sales and Administrative office is located at 1005 Alderman Drive, Alpharetta,
Georgia 30005, and is headedby Managing Partners, George Nelson and Lisa Terry.
		
		IMT’s R&D and Logistics Operations office is located at 19186 East Prentice
		 Circle, Centennial, CO 80015 and is heading by CLO, Irwin Zucker.
Innova Med’s logistic office is in a thriving business and residential area within minutes of Denver, CO.
CARDIOMEDICS Manufacturing office currently operates from a single location at 7 Whatney,
Irvine, California 92618-2849.
1.3 Company Overview
Innova Medical Building
(10,000 sf of office and 3,000 sf warehouse
IMT Currently Operates from Three Locations:
Innova Med’s offices are located within the Metro Atlanta area, in an upscale
business community which is shared by #261 on the Top Fortune 500 list,
Newell-Rubbermaid, UPS and Metropolitan Life. Lexis-Nexis, AT&T, and
Verizon Wireless are located in nearby office complexes.
Atlanta ranks fourth in the nation among cities with the most FORTUNE
500 Headquarters, boasting 25 companies such as Coca-Cola, BellSouth, and
Home Depot located within minutes from its corporate office.
Innova Med is surrounded by dynamism and enjoys the stability of a strong
regional economy, with an emphasis on the attractiveness of the local busi-
ness climate.
Home to 4 of the Top 10 Medical Specialty hospitals in the U.S. according to
U.S. News Reports4, such as Emory University Hospital, Piedmont Hospital,
The Shepard Center and Wesley Woods, Innova Med shall seek medical af-
filiate, advocacy and program partnerships to expand its brand.
Innova Med is Located 38 miles from Atlanta Hartsfield Airport, with ease of
access via Atlanta’s MARTA (mass rapid commuter train) and minutes from
Midtown and Buckhead, thriving financial and commercial centers.
13 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
Planned Manufacturing Facility Move:
The Company has just negotiated a successful contract manufacturing agreement with Spectrum Assembly, Inc.,
located in San Diego County, CA, which manufacturing will be transferred at significant cost savings and recognize
speed to market advantages over its current structure by November 8, 2012.
Spectrum Assembly has the certifications necessary to manufacture per specification, including ISO 9001:2008 and
ISO 13485:2003. The facilities are FDA registered and 21CFR 820 compliant, are compliant with GMP/QSR require-
ments, and routinely pass standard audits by UL, CE, and ETL.
IMT and newly acquired CARDIOMEDICS are now conducting business as Innova Medical Technologies, but
will retain the Cardiomedics name under a DBA to allow a smooth transition with its component suppliers and
regulatory agencies. Combined, Innova shall now act exclusively to manufacture, and operate its sales, marketing and
distribution programs.
Together they shall be known as the “Company” when references throughout this Plan are necessary.
http://www.saicorp.com/industries-served/medical/
1.3 Company Overview
14 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
In 2001, the FDA provided 510(K) clearance, and in 2002 the U.S. Health & Human Services approved this durable medical
device to deliver ECP therapy, which addresses unmet clinical needs in the management of individuals with various forms of
Cardiovascular Disease (CVD), the #1 killer of the human race. ECP is a non-surgical, non-invasive therapy offered through
healthcare professionals.
30 years ago, Cardiomedics was the first company to fund clinical trials and to achieve a FDA 510(k) certification. Since incep-
tion, its ECP device has been the only device with a historically recognized - ZERO adverse effect rate -and beneficial treatment
factor of over 87%...unmatched by any other medical device or surgical intervention.
In March, 2012, after 2 years and an additional $3M in R&D to develop the most advanced ECP hardware and software
technology in the market today, Cardiomedics launched the CardioAssist 4500gs, which showcased Its proprietary offerings
including the only iPad app based, Wi-Fi, remote viewing technology. It is also the only portable unit available today, having
moved away from the standard exam bed sized unit, which does not require a separate exam room to facilitate, thus removing
one of the top two barriers to sale.
The number one barrier to sale was the high $65-85,000 established direct capital cost to physicians and hospitals, Innova’s
unique marketing and distribution model overcomes this #1 barrier to sale, with details described further within this plan.
Since ECP’s first patent issuance in 1941 by a Harvard University Professor, Cardiomedics obtained 60 additional relative
Patents for therapeutic use, technology, utilization, components and for its graduated pressure regime. Further patents are
currently pending and another on the shear rate affect achievable only through is patented processes, shall be filed soon after
clinical trial completion in Germany by year end 2012.
Innova’s diverse product offerings also include patented, proprietary software and supporting consumables.
After clinical trial completion in Germany, which is also being conducted on a working proto-type home-based unit, Innova
plans to provide this supplemental home-based unit as a prescribed part of on-going therapy for cardiac patients, and via direct
B2C sales to consumers in the elective marketplace.
Critical Components
Critical to optimum health and vital function is the effective increase, transportation and utilization of oxygen and blood. In
layman’s terms, External Counter Pulsation (ECP) provides these core benefits which supports all critical systems and organs
within the human body.
1.3 Company Overview
15 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
Most of us suffer from a lack of oxygen, and thus proper blood function. Whether from improper breathing, poor diets, air
pollution or lack of exercise, our cells are being deprived of this vital element and thus weakens our immune systems.
Oxygen (O2) is one of the most important and critical components required to sustain life. Unhealthy or weak cells due to
improper metabolism lose their natural immunity and are thus susceptible to viruses and suscept the body to all manner
of infection and disease. Without O2, our health begins to suffer and we progress more quickly towards death.
O2 not only gives us life but destroys the harmful bacteria in our bodies, without affecting the beneficial bacteria that we need
for successful digestion, nutrient absorption, and toxin elimination. No antibiotic, herbal remedy, or surgical intervention can
provide these overall benefits.
Life styles today, in a modern world environment with depleted O2 levels in the atmosphere, actually requires our cells to use
more of this odorless/colorless gas to deal with several stresses on our body’s ability to function, and increases the risk of obesity,
cardiovascular disease, hypertension, and all other disease states. Conversely, reducing these major stressors through greater
oxygenation eliminates cellular toxins at an increased rate, increasing metabolism and assists in weight loss, and decreases
disease risk.
Specifically, ECP works by uniquely calibrated pressurization on the lower extremities, which increases blood flow and force
in between each individual’s heartbeat, and is maximized by the sheer rate affect, a patented process which individualizes the
expansion (and reduces the hardening affect) of collateral and arterial pathways, which improves oxygen and blood cell
transport. The effects of ECP further provide detoxification and purification of all of the body’s vital systems, which has proven
to be foundational in the body’s ability to heal itself…essential to restoring health and vitality.
ECP’s Benefits
Because of its improved oxygen transport to all vital organ, and its ability to regulate diastole and systolic blood flow and
pressure, ECP’s physical effect is seen through the expansion of arterial pathways, which in cardiac patients, creates a ‘natural
bypass’ around blockages in the heart. Overall, ECP has evidenced its ability to improve heart, lung, brain, and circulatory
function…and ultimately to extending life.
History
External counter pulsation has been clinically studied dating back to the 1960’s, when it was first introduced. It continues to
be studied today. The earliest studies were done in the areas of cardiogenic shock and acute myocardial infarction. Since 1990,
virtually all studies have been focused on either angina or heart failure.
1.3 Company Overview
16 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
In 1997, the first randomized, double‐blinded, placebo‐controlled study was completed (MUST‐ECP, 6 1995‐1997). It evaluated
the effect of external counter pulsation therapy, testing the reproducibility of benefits from earlier studies in cross-relational
modalities. Patients in the external counter pulsation group demonstrated a statistically significant increase in multiple areas,
and since 1997 clinical trial submissions to the World Health Organization’s International Registrar have more than tripled.
Likewise, the rise in patient numbers has seen a similar gain.
Clinical Evidence
ECP can be found today in major Cardiac Care facilities such as Mayo Clinic, Johns Hopkins University Hospital, Cleveland
Clinic, Stamford, Yale and Harvard Universities, among hundreds of other renowned cardiac centers worldwide.
Since its introduction clinical evidence continues to grow in support of ECP’s benefits beyond cardiovascular disease as an ef-
fective treatment and/or cure for other non-communicable diseases such as:
	 1. Diabetes					8. Sudden Deafness Syndrome
	 2. Acute Congestive Heart Failure			 9. Renal (Kidney) Failure
	3. Stoke						10. Macular Degeneration
	 4. Erectile Dysfunction				 11. Infertility due to low sperm count
	5. Obesity					12. Multiple sclerosis
	 6. Alzheimer’s					 13. Stem Cell growth, where repair of internally
							 damaged organs and other tissues in various
							 disease states has been evidenced.
Subjects are currently being recruited for or clinical studies are underway on External Counter pulsation as a treatment for the
following, with exciting implications:
	 1) Vascular Hemodynamics in Cognitively Impaired Patients which will study the effects on Alzheimer’s
	 and dementia patients. ClinicalTrials.gov Identifier: NCT01659398
		 a) Secondary data from this study will be mined to support peer reviewed studies which have shown:
			 i) Change in Ophthalmic blood flow (OBF) affecting patients with macular (eye) degeneration
			 ii) Change in Blood Viscosity affecting patient with hypertension (high blood pressure)
			 and other blood disorders
			 iii) Cholesterol composition of the blood affecting patients with high cholesterol
	 2) Acute Ischemic Stroke: ClinicalTrials.gov Identifier: NCT00983749
	 3) Left Ventricular Systolic and Diastolic Function: ClinicalTrials.gov Identifier: NCT01112163
	 4) Subclinical Atherosclerosis which shall study the Shear Stress factor affecting the Intima-medial thickness of the 		
cervical artery and the underlying inflammation- related molecular mechanisms. ClinicalTrials.gov Identifier:
	 NCT01106495
1.3 Company Overview
17 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
	 5) Coronary Heart & Artery Disease which will study the effects on reductions in heart attacks:
	 ClinicalTrials.gov Identifier: NCT01198405
		 a) Secondary data from this study will be mined to support peer reviewed studies which have shown
			 i) Improved vascular endothelial function measurement of flexibility of peripheral artery
			 and flow-mediated dilatation (FMD)
			 ii) cardiac structure and change in chamber diameter, left ventricular wall thickness, ejection fraction
			 iii) reduction in rate of new-onset diabetes
Clinical trials are currently being co-funded with hospital partners in India utilizing our manufactured ECP devices.
Innova Medical plans to further its clinical development on the above modalities, and shall utilize corollary data evidenced from
clinicals to further its study of effects on Cancer, ADHD and Autism sufferers. Secondary clinical data currently recognizes corollary
effects on these additional modalities, and which the Company feels could easily be added to the growing list of healthful gains.
Regulatory Acceptance
ECP is cleared by the Food and Drug Administration (FDA) for use in treating a variety of cardiac conditions, and is currently
covered for the following conditions by Medicaid, Medicare and private insurers as follows:
ANGINA ICD-9 CM Office Codes or Medicaid/Medicare Office (CPT) Codes G0166, with sub-codes below:
	 	 • 411.1 Intermediate Coronary Syndrome 	 	
	 	 • 413.0 Angina Decubitus 	 	 	   
	 	 • 413.1 Prinzmetal angina
	 	 • 413.9 Other/unspecified angina pectoris
	 	 • 414.9 Chronic ischemic heart disease, unspecified  
CONGESTIVE HEART FAILURE ICD-9 CM Codes
		• 428.0 Congestive Heart Failure
	 	 • 428.1 Left heart failure
	 	 • 428.9 Heart failure unspecified  
	 	 • 402.01 Hypertensive heart disease, malignant with CHF
	 	 • 402.11 Hypertensive heart disease, benign with CHF
	 	 • 402.91 Hypertensive heart disease, unspecified with CHF
	 	 • 494.01 Hypertensive heart and renal disease, malignant with CHF
	 	 • 404.11 Hypertensive heart and renal disease, benign with CHF
	 	 • 404.91 Hypertensive heart and renal disease, unspecified with CHF
1.3 Company Overview
18 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
Current clinical submissions are pending the FDA’s 510(k) review and approval for Acute Congestive Heart Failure (ACHF),
and Diabetes.
ECP is unique in that U.S. reimbursable rates for angina and covered cardiac patients have steadily increased at an average of
5% year-to-year over the last 5 years. The Metro Atlanta market saw an increase from $151.00 per treatment hour, or $5,285.00
per treatment course, to $164.00 per treatment hour, or $5,740.00 per treatment course, reflecting an 8.6% increase from 2011
to 2012.
The increase in reimbursable rates are contrasted by record decreases in the same period for surgical and invasive procedures.
Professional Recognition
One of hundreds of testimonials from the professional community…
Journal of American College of Cardiology 2007;50:1523-31.
Department of Internal Medicine, The George Washington University, Washington D.C.; and the Cardiovascular Institute,
University of Pittsburgh Medical Center, Pittsburgh, Pennsylvania.
“Between 25,000 and 75,000 new cases of angina refractory to maximal medical therapy and standard coronary revascularization proce-
dures are diagnosed each year. In addition, heart failure also places an enormous burden on the U.S. Health care system, with an estimated
economic impact ranging from $20 billion to more than $50 billion per year. The technique of external counter pulsation, studied for
almost one-half century now, is considered a safe, highly beneficial, low-cost, non-invasive treatment for these angina patients, and now
for heart failure patients as well. Recent evidence suggests that external counter pulsation (ECP) therapy may improve symptoms and
decrease long-term morbidity via more than 1 mechanism, including improvement in endothelial function, promotion of collateralization,
enhancement of ventricular function, improvement in oxygen consumption (Vo2), regression of atherosclerosis, and peripheral training
effects similar to exercise. Numerous clinical trials in the last 2 decades have shown ECP therapy to be safe and effective for patients
with refractory angina with clinical response rate averaging 80+%, which is sustained up to 5 years. It is not only safe in patients with
coexisting heart failure, but also is shown to improve quality of life and exercise capacity and to improve left ventricular function long
term. Interestingly, ECP therapy has been studied for various potential uses other than heart disease, such as restless leg syndrome, sudden
deafness, hepatorenal syndrome, erectile dysfunction, and so on. This review summarizes the current evidence for its use in stable angina
and heart failure and its future direction.”
http://clinicaltrials.gov/ct2/results?term=external+counter+pulsation&Search=Search
1.3 Company Overview
19 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
12
Stakeholders Who Benefit:
ECP uniquely satisfies these mandates while offering health solutions for 3 of the 4 Non-Communicable Diseases (NCD’s)
identified by WHO as leading Global Risks affecting the economic sustainability of our world. At the same time, the impact
of Innova Med’s Profit-Share Model (The Pulse Program) will be simultaneously felt on a corporate and investor level by
offering higher than average profitably, sustainability and Return on Investment to all of its stakeholders.
Success Indicators:	
Innova Medical Technologies (“IMT”) shares twelve characteristics common to successful businesses investments,
while offering uncommon advantages.
1. Strong Industry Reputation: 		
Mayo Clinic, Stanford Hospital, Duke University, and Cleveland Clinic, ranked as the #1 cardiac care hospital in the
world, along with hundreds of other renowned hospitals via in-patient, out-patient programs, private clinical facilities and
cardiology practices Worldwide have used IMT’s External Counter-Pulsation (“ECP”) Cardiac Medical Equipment success-
fully has for over 25 years since receiving its FDA 510(K) clearance.
2. Robust Growth Potential:			
Heart conditions affect nearly eight (8) million Americans. Heart failure is the only major cardiovascular disorder on the
rise. An estimated 400,000 to 700,000 new cases of heart failure are diagnosed each year and the number of deaths in the
United States from this condition has more than doubled since 1979, averaging 250,000 annually. This year, America’s 50
and older population will reach 100 million. According to the US Population Division, 1 in 5 people are expected to be 65
or older by 2035. Our growth potential is inexplicably tied to these factors.
3. Emergent Industry Outlook: 		
Since 2002, annual industry production in medical device sector has
exceeded $70 billion and experienced approximately 6 percent annual
growth, driven primarily by demand from baby boomers that are living lon-
ger lives than previous generations, requiring more sophisticated and longer-
term healthcare. As the U.S. population ages, and pressures to contain costs
increase, expensive hospital stays will be discouraged, and health care will be
increasingly delivered in alternative settings, such as in primary care and other
out-patient facilities. Healthcare has always been and will continue to be a
primary personal need and common human experience and therefore will continue to be stable industry which exceeds
valuation standards by almost double.
1.4 Success Factors
20 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1.4 Success Factors
4. Favorable Regulatory Environment:	 	
Recent regulatory and insurance reforms have widened approval classes, which until recently was a hospital and
cardiology only market, providing the pathway for expansion into an untapped and unserved marketplace. Effective
January 1, 2012 non-surgical procedures offer Medicaid payment bonuses of 10% thru 2016 to physicians who elect
therapies such as ours over surgical interventions. Additionally, the Electronic Medical Records Act has a scaled
implementation schedule over the next several years which will facilitate patient identification and acquisition more
swiftly and exponentially.
5. High Barrier to Entry: 			
The medical device industry is highly regulated. Domestically, medical device firms devote considerable resources
toward product approval processes, clinical trials, user fees and plant audits. FDA approvals require an extensive
investment in time and capital limiting manufacturer’s market entry capabilities, thus protecting your profits.
6. Market Experience: 	 			
In addition to IMT’s prior proven lateral market sales program success, their Acquisition in September, 2012
of CardioMedics, Inc. (“CARDIOMEDICS”) provides the Company the benefit, valuation, goodwill, ongoing client
base, industry reputation, and all of the Intellectual Property it has spent 30 years developing, including 60 Patents,
FDA 510(k) clearances, CE and ISO certifications. With CE approval (the European regulatory, FDA-like standard
for quality acceptance), the Company has the certainty it needs that our ECP devices and consumable goods will be
accepted as an approved export for sale and distribution into international communities. The top 15 year National
Sales Director for competitor, ACS, David Gregory, shall operate together with IMT on its Board and as its National
Sales Director, to ensure program success in this medical device sector in the U.S. and abroad.
7. Unique Selling Proposition (“USP”): 	
Innova Med’s major market differentiator provides a superior distribution model which accelerates the market
capture rate via entrepreneurial ownership of the ECP equipment and exclusive geographic markets (creating
a “market owner”). Market owners facilitate the placement of ECP units, at no cost to Physicians, deriving income
through an agreed upon per treatment profit-share program - transmitted electronically to all eligible parties via
Innova’s proprietary software immediately after insurance reimbursement. This eliminates the main objection to price
seen in 2 out of every 4 direct selling or leasing situations. This unique facilitation, together with technology advan-
tages assures that the income producing and collection models will be far superior.
Companies that are in an industry with a HIGH BARRIER TO ENTRY are often
good investments for a value investor. When a company is working in an in-
dustry with a high barrier to entry, the company can easily raise prices without
losing many customers.This flexibility allows the company to adjust prices dur-
ing economic downturns while maintaining stable profit margin. Additionally,
firms that work in such a market are not likely to see many new competitors
entering the industry, also contributing to the stability in their profit margin.
An Example of an Industry with a High Barrier to Entry:
Drug and chemical companies have a high barrier to entry because their
products are usually very hard to produce. New enterprises that wish to com-
pete with existing drug and chemical companies would have to spend a lot
of money in research and development as well as years of clinical trial before
they can even enter the industry.
INNOVA MED HAS OVERCOME & WILL BENEFIT
FROM HIGH BARRIER TO ENTRY STATUS.
21 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1.4 Success Factors
8. Expert Business Plan:   
Over the last decade, Innova Med has developed proprietary marketing campaigns and sales approaches which have
proven successful in the dental/medical device and consumables marketplace offered as Turn-Key Business Solutions to
Market Owners. Having both manufacturing and B2C and B2B sales and marketing program development experience,
IMT plans to utilize its experience and overlay its historically successful sales and distribution models to expand the
sales channels in the ECP market exponentially beyond the prior hospital and cardiology channels to include General
Practitioner’s, D.O.’s, internists and other primary care physicians which represent over 400,000. Cardiologists represent
just over 14,000 in the U.S.
9. Short-term Cash Flow Performance: 	
Proprietary software developed by CARDIOMEDICS, together with custom ‘ACH cash distribution’ software commis-
sioned by IMT of JP Morgan Chase Bank, combine exclusively for the benefit of IMT’s program to ensure electronic
funds transfers and immediate cash disbursements to all parties.
10. Long-term Income Streams:		
Reimbursement rates for medical devices are a primary concerns for U.S. medical device companies, as an adequate
reimbursement rate usually determines whether a product will be viable in a given market. An over 87% angina and
coexisting heart patient effective treatment rate, with sustained benefits lasting 3-5 years in each of three 5-year
follow-up studies, has ensured consistent pay-outs and an average 5% increase, by all insurers year to year. Innova
Med requires only minimal market penetration to develop elective income streams within the currently untapped
Medical, Anti- Aging and Alternative Medicine environments to enhance the already lucrative guaranteed income
streams derived from insurance reimbursements. Our current business plan factors only insurance reimbursements to
achieve its high ROI. Physicians need only treat three (3) patients per month to exceed $200k in annually revenue,
which is more than double the national average G.P. income.
11. Multiple Sales Channels:	 	
In addition to the guaranteed insurance reimbursements, peer reviews and clinical submissions are currently being
evaluated to validate ECP uses for Diabetic, Erectile Dysfunction, Stroke, Alzheimer’s, Parkinson’s and Weight Loss.
Seventeen other additional medical benefits are gaining recognition. While awaiting approvals by the Federal Health
Agency, IMT will market to consumers these elective benefits to develop additional income streams via multiple sales
channels as identified above, and will simultaneously sponsor consumer education and advocacy campaigns through our
wholly owned Non-Profit agency The International Wellness Foundation.
12. Superior Products and Performance:
ECP is both an FDA APPROVED device and therapy. Since its introduction into the medical marketplace over 44 years
ago, it has achieved incomparable performance measured by an over 70% average clinical improvement rate industry
wide, and an average 87% improvement rate by patients using Cardiomedics ECP devices, who have suffered with an-
gina, heart disease and related conditions.
22 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1.5 Investment Structure
Investment Offering:  
Innova Medical Technologies, Inc., doing business as IMT or Innova Med, (“We”, “Us”, “the
“Company” or “IMT”) hereby offers FIFTY-FIVE (55) UNITS consisting of 100,000 EQUITY
SHARES OF PREFERRED STOCK (the “Preferred Stock”) at a price of $50,000 per Unit,
for a total of TWO MILLION SEVEN HUNDRED AND FIFTY THOUSAND DOLLARS
($2,750,000), representing TWENTY-EIGHT PERCENT (28%) of the Company’s Authorized Shares.
Minimum subscriptions of ONE (1) UNIT or a minimum capital investment of ONE
HUNDRED THOUSAND DOLLARS ($100,000.00) is required. Lesser units shall only be
considered on the basis of Board level or other instrumental and equitable contributions
in-kind, on a case-by-case basis, and shall be approved by both majority owner/partners.
The Company, on a “best efforts” basis, is offering the Units (the “Offering”) and all proceeds
from the sale of such Units shall be deposited in the Company’s general account upon its accep-
tance of the subscription to meet the capital requirements of operation as indicated in this Plan
and within the Company’s Private Placement Memorandum. The Company may terminate this
Offering at any time.
Offering Type:
This Offering is a Reg D (506)5 which requires a Form D Federal and State filing upon sale of
its first securities. The company may sell its securities to an unlimited number of “accredited
investors www.sec.gov/answers/accred“ and up to 35 other purchases.
Accredited investors must meet minimum financial requirement thresholds to qualify as an accredited
investor. For individuals, there is a minimum net worth test and income test which determinations
shall be obtained via completion of the Qualifying Questionnaire provided by Innova Med.
Use of Funds:		
Innova is currently seeking Third Stage ‘Expansion Capital’ to enter the expansion/maturity
phase which supports its recent acquisition of Cardiomedics. The capital will be used for funding
capital expenditures, manufacturing, inventory and component purchases, hiring employees,
marketing expenses and general working capital. The Founders of Innova Med have thus far
contributed $250,000 in the form of a Promissory Note, $200,000 in seed round funding, and
have raised another $275,000 in first round equity which has been used in since it began its
pre-incorporation due diligence and business development efforts in November, 2011. This
capitalization has been sufficient to sustain operations and been used for overhead, start-up,
capital equipment and personnel expenses, where a priority was placed upon the creation of
its outstanding team, which key staff have been intrinsically focused on achieving our goals
together. In addition to its Founders roles, the Company’s key hires include John McCallum,
President & Chief Operating Officer (COO) [Former President & CEO of Cardiomedics]; Da-
vid Gregory, Chief Sales Officer (and supporting sales staff) [Former Industry Recognized 15
year sales leader with ECP device competitor Applied Cardiac Systems (ACS)]; Irwin Zucker,
Chief Logistics Officer (CLO) over regulatory, inventory an manufacturing; Steve Porter, Chief
Marketing Officer (CMO), responsible for marketing, media and web development strategies;
and, Peter Helander, PR Director, responsible for online Search Engine Optimization (SEO) and
social media; Kaleigh Kohrs, Operations/Administrative Director, and Fran Katz,, Accounting
Manager, responsible for internal bookkeeping.
5Reg D (506) Definition: http://www.reg-d.com/rule-506 <%20http:/www.reg-d.com/rule-506
6Accredited Investor Criteria is detailed in the Appendix section of this Business Plan
Reg D (506)
$2,750,000
55 Units
$100,000 per unit
23 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1.5 Investment Structure
Expansion Plans: 
The Innova team thus far has developed the research, market tests and development of intellectual property including
business, online and program marketing plans, advertising and lead generation campaigns, negotiated manufacturing
agreements, third party and affiliate agreements and various other structural matters to facilitate Pulse program launch
activities.
Innova Med could continue to expand its Pulse program globally without expansion capital, however it’s Principals agree
that expansion capital would create exponential gains and more effectively expedite our rate of market entry, critical to
ensure the Company’s long-term success.
IMT understands that once industry players become aware of that their once ‘sleeper’ divisions being encroached upon
and profited from market making changes will begin to occur.
Exit Strategy: 
By capturing the largest market share quickly under this innovative market expansion program, such efforts shall tranlate
to expedited higher rates of return, and greater shareholder value making possible the achievement of the Company’s
a multi-billion dollar projected valuation at FY 5. This valuation assumes various lucrative exit scenarios, creating the
ultimate investor reward as a result of investor confidence in us and our program.
Closing Disclosure: 
As of September 30, 2012 pre-commitments have been made by only Accredited Investors and respective funding
commitments anticipate closing this Expansion Capital funding round of $2,750,000 on or near November 30, 2012.
The Company’s cash flow over the 5 years indicates that NO further Equity or Debt capitalization will be required, and
therefore anticipates NO further dilution of equity ownership to its Equity participants contemplated under this Plan.
24 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
1.7 Investment Capacity
Sophisticated Investor: 
Integrity is at the core of our business and we understand that it forms the basis of long‐term and mutually rewarding 
relationships. Innova Med seeks to establish long‐term equitable, and integrity based investor partners. In order to establish 
this basis, Innova Med’s Reg D (506) offering maximum does not require the more stringent disclosures that Rules
505 ($5M), or 506 (unlimited capital) require. Both of these Rules require that potential investors, either alone or with 
a purchaser representative, must be ‘sophisticated’ — that is, they must have sufficient knowledge  and experience in 
financial and business matters to make them capable of evaluating the merits and risks of the  prospective investment.
In the best interests of its potential investors, Innova Med is providing full disclosure as if  issuing SEC securities regulated 
investment and seeks only sophisticated investors. 
We put ourselves in the shoes of our prospective investors and asked ourselves what information we would want to receive to make 
a totally informed decision about your investment opportunity. 
Therefore, Innova Med has agreed to conform to the more stringent requirements and to the antifraud prohibitions 
of the federal securities laws, meaning no lies of commission or of omission. Under these laws, we also agree to provide 
non‐accredited investors disclosure documents that are generally the same as those used in registered offerings.    
Innova Med recommends your thorough investigation 
of this truly unique, once‐in‐a‐lifetime opportunity
and suggests you fully read this Business Plan and  sup-
porting documents for understanding together  with any 
additional due diligence research you  may require.   
Details substantiating Innova Med’s  core technology, 
success foundations, viability and sustainability are 
detailed inside this Business Plan, along with  research 
citations and website links for ease. Innova Med will 
also answer any investigative questions relative to this 
investment as required.   
Private Placement Memorandum and Qualifying 
Questionnaire shall be provided separately.
7
SEC Definition of Sophisticated Investor: http://www.sec.gov/rules/proposed/33-8041.htm#P66_8323
25 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
2. Company Overview
“ ““The secret of
success is consistency
of purpose”
Benjamin Disreali
26 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
Lisa Terry joined WhiteScience in March, 2007 as an outside Business Development Consultant. As a result of her
strategic marketing and business re-development efforts and the recognized 167% increase in profits over prior year, she
was offered and joined WhiteScience in March, 2008 as a Principal, serving in the capacity of EVP of Business
Development. She later transitioned into development of international markets in 2009 where she was responsible for the
company’s growth into 32 countries establishing multi-million dollar multi-year exclusive distributorships within same and
counted over 3,000 total independent distributors within the U.S. and around the world before resigning in November,
2011 to head Innova Medical together with George Nelson as Founding Partners.
WhiteScience was formed by George Nelson and acquired IMDS in 2002. Irwin Zucker was offered a minority interest
and operated as COO of WhiteScience and together manufactured and developed new sales channels within the cosmetic
segment of the oral care industry. In 2003, IMDS merged and began operating under the WhiteScience name.
Irwin Zucker was the Founding Principal and Owner of Innovative Medical & Dental Solutions, Inc. (IMDS), which
business began in the professional dental/medical industry 11 years ago. IMDS was born out of a Belgium based
internationally publicly traded R&D, a professional medical/dental device and technology manufacturer who operated as
both manufacturer and as a direct selling organization within the dental device and consumables products industry.
“
““Success is determined by those who identify
the vision, no matter how impossible,
and then who prove the impossible, possible”
James W. Pence
2.1 Ownership
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2.2 Experience
Relative Experience: 
The Founders and Principals of WhiteScience, now operating together under Innova Med, realized their lateral‐market
success in very keys ways, which provide the very essential foundation necessary for Innova Med to experience even
greater market advancements in the non‐surgical medical marketplace.
With its R&D and Engineering efforts led by Irwin Zucker, WhiteScience created scientific breakthroughs and
patented equipment, formulations and delivery methods in dental professional teeth whitening technology, and were
first to market to bring teeth whitening out of the dental office into the cosmetic retail and services marketplace.
WhiteScience utilized pre‐existing IMDS dental professional market channel client development experiences with
innovative sales approaches into the cosmetic personal services vanity market. The $4M invested into its original
patented products SpaWhite and WhiteIce were re‐packaged and marketed to an untested cosmetic marketplace
through simultaneous channels achieving swift multi‐millions dollar success. Multiple products were later develop and
are still marketed today.
Innovation: 
By re-inventing their ‘dental professional only’ products and service modalities, WhiteScience created demand for
ease, convenience and affordability, establishing the consumer trends that resulted in turning their once ‘boutique’
marketplace into a commodity. Its move outside the dental industry into the cosmetic segment in 2003 would later
recognize their ‘market-maker’ status, and allowed them to realize their earliest goal of becoming the industry leader in
the boutique ‘Cosmodent’ segment of the cosmetic oral care industry.
Acclaim: 
WhiteScience’s award-winning products have received international acclaim in dental/medical professional journals,
celebrity forums, and the media, and were the only manufacturer in the industry segment to receive the Seal of Approval
from the National Dental Laboratory Association NE, and acceptance of its whitening training into the curriculum
of the International Dental Education Congress, providing Continuing Education (CE) credits to dental professional
around the world.
 
28 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
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2.3 Executable Strategy
Lateral Foundations for Success 	
WhiteScience, who successful implemented its worldwide expansion of its goods and services through a multi-sales channel
approach, saw its greatest profitability after implementation of creative distribution programs which created exponential
market gains from 2008 forward.
WhiteScience was born out of the need for change, moving very mainstream dental professional industry products and
service approaches through direct sales only channels into innovative entrepreneurial distribution sales approaches which
created exponential gains for its stakeholders in record time.
In doing so, WhiteScience established the foundation for what is now a multi-billion dollar cosmetic industry space with
over $200M in sales in the last 6 years via wholesale, direct sales, B2B and B2C channels. Today, WhiteScience boasts over
3,500 independent dealers and distributors and operates in 32 countries around the globe.
Sustainable Approaches
The Founders of IMT will utilize their executable strategies, branding, market channel and business development experience
to create substantial profitability to its founding investors, entrepreneurial market buyers, and physicians within our distributor
markets, in a more reputable and certain marketplace ripe for innovative approaches and patient-focused health care.
With the additions of past President & CEO of Cardiomedics (now Innova’s President), John McCallum, and David
Gregory,15 year industry acclaimed sales leader and Innova’s National Sales Director, hired from Applied Cardiac Systems
(ACS) (Cardiomedics largest competitor), they now operate together under Innova Medical and call themselves the ECP
Dream Team. The Company have established the very essential foundation of key talent, experience, and vision necessary
for Innova Med to experience even greater market advancements in the non‐surgical medical marketplace.
29 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
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2.4 Manufacturing Experience
Since 1986, CardioMedics, Inc. has been a trusted name in the field of cardiac instrumentation. A pioneer in the world of
external counter pulsation (ECP), together with Innova Medical Technologies, they are leading the way in the diagnosis,
treatment and management of cardiovascular disease and more than a dozen other elective modalities.
CardioMedics was the first industry manufacturer of ECP devices in the world beginning 30 years ago, were the first to
produce clinical studies and obtain 501(k) clearance on the ECP devices 12 years ago, CARDIOMEDICS has been the #1
manufacturer and direct seller of these devices in the industry having manufactured and placed over 1,000 units worldwide
in the last five years alone. At a price tag of $65,000 per unit, with competitive pricing at $85-90,000 direct to hospitals,
they hold an impressive record.
CARDIOMEDICS has long been committed to developing quality diagnostic and therapeutic devices. Their dedication to
providing innovative products has made CARDIOMEDICS a recognized leader in the medical industry.
CARDIOMEDICS holds FDA Certified Manufacturer status identified by FDA Registration # 2024089.
cardiomedics.com
30 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
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3. Operations
“ “
“Successful people aren’t born that way.
They become successful by establishing the habit
of doing things unsuccessful people don’t like to do.
The successful people don’t always like these
things themselves; they just get on and do them.”
Zig Ziglar
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3.1 Milestones
To Date:	 			
Since incorporation, the Company has achieved the following milestones:
		 Secured lease space in prominent professional office park in a business sector
		 of northern Atlanta which adjoins WhiteScience
		Undergoing current build-out of 5,000 SF of office, warehouse and training facility
		 space to accommodate new staff
		Developed the company’s name, logo and website located at innovamedecp.com
		Developed Business and Marketing Plan and launched 1st phase Marketing Plan
		Secured top Medical & Business Board Members & Formed Strategic Alliances
		 in the Cardiac Medical community
		Recruited, hired and trained Director of Sales, EVP of Marketing, Creative Director,
		 Web Development Director, Lead and Acquisitions Manager, Operations Manager, and Trainer.
		Submitted federal filings to secure Non-Profit 501(c)3 company, trademark
		 and service mark applications
		Hired President & CEO of Cardiomedics, Inc. July, 2012
		 Acquired Cardiomedics for $15M September 28, 2012
32 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
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3.2 Key Services
Director Focus	 			
Innova Medical Technologies, Inc. will focus on developing close investor, entrepreneurial, client and medical community
relationships.
George Nelson, shall serve on the Board as Co-Chair together with outside Director and Chair, Dr. Charles Schwindt.
George continues to head his WhiteScience business operations, and has most largely contributed working capital in the
form of debt and seed funding. George provides thought leadership and evaluates the potential of other strategic partners
or alliances for the Company
Lisa Terry, shall serve on the Board as Treasurer and oversee Board Secretarial duties facilitated through Kaleigh Kohrs,
Operations Director. She will serve daily as CEO and shall lead business, marketing and financial program development,
and will develop business opportunities and investments synergistically aligned with the company’s goals both domestically
and internationally. Further, as Founding Chair of the Company’s Non-Profit she will also direct fund-raising efforts, patient
advocacy and regulatory reform initiatives.
John McCallum, shall serve as a Board Director, and daily in the role of President and COO. He will at first guide the
Company through its manufacturing and regulatory transitions necessary since acquisition. Thereafter, he will act as the
lead strategic and corporate planning Partner responsible for negotiating, developing and maintain key relationships to
ensure successful implementation of the company’s goals in corporate, strategic, clinical and regulatory capacities, and
ensure a continual supply of the Company’s key affiliate, medical, third-party distributor finance, and other potential
program affiliates and vendors on a cost effective and solution oriented basis.
Irwin Zucker, shall serve as a Board Director and act as CLO and head Manufacturing, R&D and Logistics. He will work
together with the Company’s Board on R&D initiatives; direct international markets logistics, development and
distribution; facilitate and direct warehouse and inventory personnel and supply chain logistics.
David Gregory, the lead sales channel director, will provide one-on-one training and consulting sessions with in-house
Trainers, Customer Service and Sales teams; Direct the sales programs and work together with in-house Market-
ing Director and personnel to ensure a constant flow of regular marketing campaigns and collateral to satisfy distributor
demand and client trends. He will conduct group sessions with client teams and conduct webinars of general interest to
clients and potential clients.
Innova Medical Technologies, Inc. has a team of support personnel which can be seen in the Company’s
organization chart that will provide sales and marketing program and plan development and implementation corporately
and for its distributor networks, research and analysis, administrative support, accounting, web development, PR, social
media, customer service and logistics.
33 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.3 Personel Letter from the CEO
Dear Potential Investors & Friends,
I’d like to share with you a little bit of my Grandma’s Wisdom. I am personally very inpatient and with just 20 years left until
retirement, and am attempting to take advantage of the time I have left to invest of myself into something that provides much
greater rewards than those just for myself. As I’ve aged, I’ve realize the value in helping others and just how precious life is,
but I’ll admit, in our ‘whitewater change’ world, I still struggle with the whole ‘Take time to smell the roses’ thing…
When my grandmother used to tell me “Without your health you have nothing”, I thought it was just something old people said
because they were old and didn’t have their health.
As I’ve aged I found out she was right about your health, and left as part of her legacy to 5 children and 44 grand and great-
grandchildren her wisdom and other truisms that I’ll never forget “The greatest wisdom comes from age and experience”,
“Experience is just another word for failure”, “Learn to better each day what you’ve done before”, and her personal motto
“live for more than yourself, do good for others, and good will find you”. Interestingly, her wisdom is personified in what we have cre-
ated in this opportunity we present to you.
I think that we can all agree that diversification of your portfolio is essential to meeting the goals you have set for yourself
and your family. For clarity, by diversification we are not talking about Vegas slots or Florida swamp land. If you’ve invested
there, this opportunity may not be right for you. My Grandma warned me about Vegas and Florida land, and would never
hesitate to ask me every time we talked…
I’m certain we all agree that the stock market today is a much different animal than when you likely began investing, and in
fact some may compare it to the Vegas slots. For most of us we are as uncomfortable investing the majority of our case money
into the slots as we are into a market that has proven to be incredibly volatile and speculative. Whether the fault of the real
estate bubble that burst, Florida swamp land that never got those federal highway funding dollars, international influences
or super-computing – the game has been changed.
For most of us, our home is our primary real estate investment, unless of course yours is in the Bayou… not saying vacation
homes are a bad thing. Those fortunate enough to have capitalized on the lowered home values by purchasing rental homes or
for renovation to flip the properties, realize how much work this truly is simply managing tenants or contractors is a business
of its own! It is a full-time job with potential long-term gains… for the very dedicated and patient. I’d rather be on a beach in
Jamaica! I’ll share with you one last grandma-ism…
“Don’t sit on the porch of life waiting for an opportunity tree to grow in your front yard.
You gotta work the ground, plant the seed, and put your hand to cultivating it to get the biggest and bestest fruit!”
Okay, so she wasn’t always grammatically correct, but through wisdom earned and by endeavoring to do better than what we’ve
done before, through this opportunity, we will do good for many others, while finding much good along the way for ourselves.
I’m sure you’ll agree that sitting on the porch waiting for stock gains, real estate equity, or our interest bearing accounts to
actually become profitable is a fruitless endeavor.
So, what’s next? Recognize that if you want to become wealthy in less than 15-30 years, you have to leverage more than your
money and the financial markets. You have to leverage yourself. There’s more to the wealth equation than spending less and
saving more… you also need to reinvent yourself and devise new strategies for earning more. That’s what Innova Med is all
about. I hope that you decide to join us in our journey.
Thank you for your interest.
					Sincerely -
34 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.3 Founder’s Bio | Lisa Terry
SUMMARY BIOS:				
Innova Medical Technologies, Inc.’s most valuable asset is the expertise and experience of its founders,
George Nelson and Lisa Terry
CHIEF EXECUTIVE OFFICER | Lisa R. Terry
	
From Her earliest academic successes as a member of the President’s Junior Achievement Council throughout her middle
and high school years, to her nomination as Class President in her Jr. & Sr. years, to being among the first students selected
for the International Baccalaureate Program within the State of Florida, Ms. Terry has always enjoyed learning, growing
and leading and has never been satisfied with less than superior accomplishments. Her first achievement in the professional
world was evidenced when she became the youngest Registered Investment and Insurance Annuities Broker for Prudential
Bache Securities.
Ms. Terry attended Rollins College as part of the IB program during her Sr. high school year and transferred to the Uni-
versity of Central Florida with a major in Psychology. From there, she translated her education into sales and business
psychology and has spent the past 25 years in business and market development. After several years in investment sales,
she divested her interests into business consultation first developing a wireless telecom start-up, GlobalComm, where she
structured a PPM, negotiated the acquisition of a failing broker-dealership, brought it in-house and managed a staff of 176,
which securities staff underwrote and sold over $119M in private placement shares. She successfully negotiated a merger-
acquisition with the public company MetroCall/USA Mobility 6 years later, who still utilizes today the IVDS technology
they developed. She sold her stock position to MetroCall as the second largest shareholder position which profits she
invested into her own publication and commercial real estate holdings. She served as the youngest and only female on the
GlobalComm Board.
An entrepreneur at heart, she formed and built a national magazine publication, which exit strategy equaled a buy-out from
the #7 magazine in the world. Her gains led to personal investment and later consultation in SE regional commercial real
estate developments, which exclusive JV’s, acquisitions and developments grew a $20M p/yr Georgia based brokerage into
a regionally recognized retail development concern posting over $240M annual sales within 4 yrs. Receiving professional
accreditation through the SEC and National Association of Realtors, Ms. Terry understands that knowledge is power, and
worked for two years to obtain her Executive MBA in International Entrepreneurship (MBA/IEnt) graduating in 2011 from
the J. Mack Robinson College of Business at Georgia State University in Atlanta, Georgia, Her successful consultative and
development practice experience led her to WhiteScience five years ago where she was engaged by Mr. Nelson to develop
and execute creative sales solutions and distribution methods for WhiteScience’s primary product lines and to head Inter-
national Acquisitions. The unique opportunity developed into a lucrative role as an active Board Member and Principal,
which combined accomplishments have been evidenced by the successful development of exclusive entrepreneurial market
distribution programs growing Net income of $2M per year to over $20M per year each year.
35 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.3 Founder’s Bio | George Nelson
CHIEF FINANCIAL OFFICER | George P Nelson
	
MANAGING PARTNER, George P. Nelson	Innova Medical was formed by George P. Nelson and Lisa R. Terry, both equal
founding equity partners and majority owners.
Mr. Nelson’s 40 years of entrepreneurial and investment success has included experience as a Wall Street investment
advisor and personal representative of Mr. Fred Kassner, Owner of Sea Escape Cruises and Liberty Travel, during which
he developed the most successful travel incentive certificate program in the travel industry; ownership of the third largest
advertising agency in Florida, and separately a promotional sales and marketing firm, together with franchise ownership.
A simple dental visit 11 year ago to receive a very painful teeth whitening spurred his innovative thinking to create a better
solution. Within a year he invested and acquired controlling interest in Innovative Medical & Dental Solutions, Inc.
(IMDS). IMDS was an internationally publicly traded R&D company, dental device and technology manufacturer. In
2003, IMDS was merged to form WhiteScience. He holds a B.S. Degree in Finance from Michigan State University.
8 years ago, WhiteScience uniquely positioned itself by making the R&D and capital investments necessary to move outside
the dental industry into the cosmetic industry as the first cosmetic teeth whitening ‘market-maker’, and in doing so brought
teeth whitening out of the dental office creating the new teeth market segment in a multi-billion dollar cosmetic industry space.
WhiteScience spent over $4M in the creation of patents and proprietary technologies that today remain superior in the
industry in both equipment and products in the dental industry.
These technology advancements made it possible for exclusive market owners, distributors, spas, salons, malls, and resorts
to offer their customers professional grade teeth whitening products and zero side-effect procedures, using self-administered
applications that uniquely removed stains rather than bleaching teeth, and eliminated the need for licensed dental professionals.
WhiteScience was born out of the need for change, offering more diverse, convenient and affordable solutions to consumers,
and a result boasts over 3,500 independent dealers and distributors. The exclusive international distributor program
expanded the WhiteScience product lines worldwide over the last 3 years into 36 countries.
36 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.3 Founder’s Bio | John McCallum
PRESIDENT and COO | John McCallum
	
John McCallum, was born in Scotland, UK, and attended The Metropolitan University of Manchester where he gradu-
ated with an Honors degree in Biological Sciences. Mr. McCallum has nineteen years experience in business development,
product sales, and distribution management in the medical device and healthcare industries and is responsible for leading
the Innova Medical Technologies team and creating a global success for the company.
Mr. McCallum began his career in the medical industry as a local sales representative for Cardiokinetics, a capital equip-
ment distribution company in the UK, before relocating to the US where he held the position of Sales Manager of Asia
Pacific and Latin America for Medical Graphics Corporation. He then became the Vice President of Sales and Marketing
at Compumedics based in Australia and Cortex GmbH of Leipzig, Germany before becoming President and CEO of Car-
diomedics Inc., a manufacturer of non invasive cardiac therapeutics for the treatment of Angina and Congestive Heart
Failure in the United States.
37 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.3 Management
CHIEF LOGISTICS OFFICER | Irwin Zucker
	
Mr. Zucker is a founding partner of WhiteScience and has been instrumental in driving its
engineering, R&D, operations, product design and packaging, as well as marketing communica-
tions design and content. In his long career, he profitably brought to market hundreds of mixed-
technology products, many wining prestigious Design and Engineering Awards.
He has served in leadership positions in R&D, Product Development and domestic and interna-
tional marketing for a number of multi-national firms, including a Fortune 1000 company and
a large, Japanese multi-national. He has also managed operations, including manufacturing,
design and regulatory compliance for enterprises regulated by FDA as well as foreign govern-
ment compliance agencies.
His background is wide and varied, having served — at the request of major creditor Bank of
America — as the acting president of a defrauded public company, operating it while under
compliance with Federal bankruptcy court rulings. There he successfully restructured the firm
and brought it to operating break even within a few weeks. He subsequently broke the firm into
separate operating units, selling off each one individually.
Mr. Zucker served for four years in the volunteer post of Chairman of one of the key standards-
setting committees for the Electronic Industries Association, where he led the creation of many
design standards for analog and digital devices.
He holds a Bachelor’s degree in Business Administration from California State University
where he also completed extensive post graduate work in communications. He studied engi-
neering while a member of the U.S. Army, where he was certified as and served as an instructor
of technology. He furthered his studies at UCLA Graduate School of Business, participating
in a seminar course in Management of New Product Development, and a Cal Tech Extension
where he studied Robust Design and Total Quality Management. He is also an award-winning
writer and photographer.
“The Founders share a
core set of principles,
including ‘Bring only
the best to market”’
Having a perfectionist
mindset ensures that
services, products
and programs exceed
expectations, surpass
consumer standards
and most importantly
provide unsurpassed
customer satisfaction.”
38 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.3 Management
CHIEF SALES OFFICER | David Gregory
	
Having a 25 year impressive capital medical equipment sales record, and with 15 years in sales with Applied Cardiac
Systems, Inc. (ACS) as their top national producer, David Gregory has agreed to head the Pulse Sales program.
	
David is a graduate of Georgia College and State University. He began his career with a National Automotive Parts
Wholesaler and managed a rapid expansion throughout the Southeast. He developed new product branding as well
as distribution centers across the Sun Belt from Texas to South Florida.
In 1998, he joined ACS where he quickly became a top producer. He has consistently ranked as number one sales
representative across both Hospital and Physician sales groups.
	
David currently resides in Covington GA where he serves on both civic as well as professional boards.
Mr. Gregory primary residence is in Georgia near the corporate offices of Innova Medical. He will facilitate a
trans tion away from the industry’s long-held direct sales model to our Pulse O2 distribution program, which
implementation has already begun.
Mr. Gregory has also agreed to serve on the Board of Innova Medical.
“CardioMedics together with Innova Med have made a commitment toward the
progress of detecting and treating various forms of heart disease.
Together we will continually strive to develop innovative medical and patient development
solutions for health care providers, profitable investor and entrepreneurial opportunities,
and spearhead consumer cardiac education and advocacy campaigns to expand the
knowledge of the truth about non-surgical alternatives and better health
alternatives for people everywhere.”
39 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.3 Management
CHIEF MARKETING OFFICER | Steven M Porter
	
Award-winning Creative Director Steve Porter has spent the last 25 years honing his skills as a graphic designer and market-
ing consultant. He joined Innova Med in March of 2012 to direct the company’s creative, advertising, collateral and media
campaigns. Multiple successes within the medical field in these same areas won the attention of the Innova Med principals.
After graduating with honors from Kent State University, Steve started his career working for a small advertising agency as
art director and rapidly moved up to the creative director position with the firm.
With a strategic move to Houston, he was hired as creative director for a couple of large ad agencies. As CD for Bozell &
Jacobs, Steve handled the Exxon Oil account exclusively. He then joined Ogilvie & Mather as CD and handled several
large medical accounts as weel as vaiety of other business to business accounts. After leaving O&M, he was hired as the
marketing and creative director for a high-end boating manufacturer in Florida where he concentrated his efforts to help
build the firm into an internationally successful boating and recreation company.
Tired of working for large ad agencies, Steve struck out on his own forming Porter Design in 1991 working as a creative
marketing consultant and designer producing award winning marketing material for Fortune 500 firms as well as other
business to business firms.
Steve’s strong suit is print however, in 1997, he saw the wave of the world wide web approaching and got on board with
designing interactive websites and then helping companies build a following utilizing social media and SEO endeavors.
Steve also has a very strong background in photography which aids him as the driving force behind every creative project
he takes on.
40 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.3 Management
SEO and ONLINE PR DIRECTOR | Peter Helander
	
Peter Helander is an experienced marketing professional that likes to help companies grow and be the best they can be and
is very passionate about it. He is a visionary that is driven and makes sure to deliver. During the last 15 years he has worked
mostly with online marketing and helped many large companies to get their websites to support their business goals and
in many cases increased sales by 30-40%. He has mainly worked with SEO, PPC, Affiliate Marketing, UX (Usability) and
Analytics. He feels that his background, experience, education and business acumen would be a perfect fit for this position
and a perfect next step in his career. He is very excited about the concepts as well as all cross-promotional-, selling- and
marketing opportunities that lies ahead.
In online marketing I have managed small teams up to 11 people and in the offline word I have managed creative groups
at two agencies in Sweden that were also fairly small 4 to 7 people.
Peter has an MBA in Technology Management, a BS in International Marketing and a DRMI/Associate in Public Relations
and is also Certified Web Master, Google Certified and Yahoo certified.
AREAS OF EXPERIENCE AND EXPERTISE:
	 	 	 • SEO
	 	 	 • PPC
	 	 	 • Affiliate Marketing
	 	 	 • email Marketing and surveys
	 	 	 • UX
	 	 	 • Analytics
	 	 	 • Public Relations
41 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.4 Hiring Plan
SUMMARY:
	
Summary: Innova Med has not only developed, but has prepared to launch a remarkably expansive program that has the
capacity to ensure the better health of millions of people worldwide, and grant them a quality of life never achievable before.
Our exceptional workforce with a long history of employee retention, as well as key management personnel such as
David Gregory, National Sales Director with 15 years in capital medical ECP sales; Peter Helander, Marketing Director,
who holds an MBA in SEO and online marketing and prior 10 years with IKEA as EVP of Brand Development; Kelvin
Morgan,Product Development Director with a BS in Mechanical Design and 20 years with companies such as Toyota,
Coca‐Cola, and other Fortune 500’s in relative positions.
Owners George Nelson, CEO and Managing Partner with a BS in Business and 40 years of successful entrepreneurial
experience; Lisa Terry, COO and Managing Partner with a BS In Finance and MBA in International Entrepreneurship;
and, Irwin Zucker as Logistics Officers who holds several degrees in engineering, logistics, and business. IMT’s Board
of Directors include Kimberly Bingaman, MD, a prominent Board Certified neurosurgeon, and head of Neurology at Texas
Hospital, and Mickey Korpman, MD and innovative medical patents researcher with well recognized industry accomplish-
ments; Gray Bishop, EVP of Medical Services Associates of America and owner of 9 clinics and nursing facilities, together
with David Gregory, Kelvin Morgan and Mark Zamalloa, a successful business entrepreneur and investor make up a well‐
rounded team of experts and advisors.
Personnel Required: 
In order to launch the business we do not need additional personnel, but will hire personnel as reflected on the chart
hereafter within the next 30 to 60 days for a total operational requirement for the 1st year of 20.
42 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.4HiringPlan
Position
HEADCOUNTS
Salary
perannum
FoundersManaging|LisaTerry
FoundersManaging|GeorgeNelson
President|JohnMcCallum
NationalSalesDirector-Distribution|DavidGregory
SalesSupport
MarketingDirector|StevePorter
PR/MarketingSupport
Engineering
OperationsManager|Staff
SalesPersonnel|Trainers|Managers
Warehouse|ManufacturingPersonnel
CustomerServicePersonnel
ExecutiveAssistanttoPartners
Bookkeeping|Accounting
Receptionist|GeneralAdministration
TotalSalary
IncrementalHeadcount
TotalHeadcount
$180,000
$180,000
$120,000
$84,000
$30,000
$62,400
$40,000
$40,000
$38,000
$36,000
$35,000
$25,000
$36,000
$40,000
$25,000
$971,400
0
0
1
1
0
1
0
0
1
0
2
1
0
0
0
0
0
1
1
1
1
1
1
1
2
2
1
1
1
1
1
1
1
1
1
1
1
1
1
2
2
1
1
1
1
1
1
1
1
1
1
2
1
1
2
2
2
2
1
1
1
1
1
1
1
1
2
1
1
2
2
2
2
1
1
1
1
1
1
2
1
2
2
2
3
4
4
2
2
2
1
1
1
1
3
1
2
2
2
6
5
4
2
2
2
1
1
1
1
4
1
2
2
2
6
5
6
2
2
3
1
1
1
1
4
1
3
2
2
8
6
6
2
2
3
1
1
1
1
4
1
3
2
2
10
6
6
2
2
3
1
1
1
1
4
1
3
2
2
12
6
6
2
2
3
1
1
1
1
4
1
3
2
2
14
6
6
2
2
4
Quarterly
Q1FY1Q2FY2Q3FY3Q4FY4
FY1
Q1FY1Q2FY2Q3FY3Q4FY4
FY2
Q1FY1Q2FY2Q3FY3Q4FY4
FY3
$99,850
782382544223
71517202830353943454750
$170,600$260,600$285,850$353,100$368,100$411,350$437,600$474,350$492,350$510,350$534,600
43 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3.4HiringPlan
Position
HEADCOUNTS
Salary
perannum
FoundersManaging|LisaTerry
FoundersManaging|GeorgeNelson
President|JohnMcCallum
NationalSalesDirector-Distribution|DavidGregory
SalesSupport
MarketingDirector|StevePorter
PR/MarketingSupport
Engineering
OperationsManager|Staff
SalesPersonnel|Trainers|Managers
Warehouse|ManufacturingPersonnel
CustomerServicePersonnel
ExecutiveAssistanttoPartners
Bookkeeping|Accounting
Receptionist|GeneralAdministration
TotalSalary
IncrementalHeadcount
TotalHeadcount
$180,000
$120,000
$84,000
$30,000
$62,400
$40,000
$40,000
$38,000
$36,000
$35,000
$25,000
$36,000
$0
$0
1
1
1
1
1
2
1
1
2
2
2
2
1
1
1
1
1
4
1
2
2
2
6
1
2
2
2
3
1
1
1
4
1
3
2
2
14
1
2
2
2
4
1
1
1
4
1
3
2
2
14
1
2
2
2
4
1
1
1
4
1
3
2
3
14
6
6
2
2
4
Annual
FY1FY2FY3FY4FY5
$816,900
1911101010
1930404050
$1,570,150$2,011,650$1,503,400$1,816,400
44 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
4. Industry Analysis
“ “
“No enterprise can exist for itself alone.
It ministers to some great need,
it performs some great service, not for itself,
but for others... or failing therein,
it ceases to be profitable and ceases to exist.”
Calvin Coolidge
Facts: 
• Cardiovascular disease affects more than 70 million people in the US and is the leading cause of death for American
men and women, accounting for nearly 1 million fatalities every year. 
• After diagnosis, men suffering from heart failure have a median survival of only 1.7 years, and women have a median
survival of only 3.2 years. Furthermore, heart disease is a leading cause of premature and permanent disability among
working adults in the US. 
• The economic impact of cardiovascular disease is staggering: this single health issue will cost the US approximately
$400 billion this year, including healthcare expenditures and lost productivity due to disability and death.
45 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
3
2
1
4.1 Critical Questions
Are you aware that people over the age of 55 make up the largest percentage of the population in 
the U.S. and will continue to grow at the same time as birth rates decrease?   
HINT: Those ages 65 and older now exceed 35 million, a number poised to explode. January 2011 ushered in the  first of approximately 
77 million Baby Boomers, born from 1946 through 1964 and are surging toward the gates of retirement. Between 2000 and 2010, 
the 45 to 64 population grew 31.5 percent to 81.5 million, and now makes up 26.4% percent of the total U.S. population. This 
rapid growth is due to aging of the Baby Boom generation. Each year more than 3.5 million Boomers turn 55. Their swelling numbers 
predict that…  
By 2012, America’s 50 and older population will reach 100 million. And according to the UN Population Division,  1 in 5 
people are expected to be 65 or older by 2035.   
Read more: www.transgenerational.org/aging/demographics.htm#ixzz1np3ZOMql   
Do you believe that the aging population will equate to a similar increase in cardiac related diseases?   
HINT: Heart failure is the most common human ailment, but is often misdiagnosed. It affects nearly 8 million Americans. Heart 
failure is the only major cardiovascular disorder on the rise. An estimated 400,000 to 700,000 new cases of heart failure are 
diagnosed each year and the number of deaths in the United States from this condition has more than doubled since 1979, 
averaging 250,000 annually.The 5 million Americans suffering from heart failure received $28.7 million in research dollars. In 
comparison, lung cancer research, which affects 390,000 Americans, received $132 million. 
                   
					Read more:  www.hfsa.org/heart_failure_facts.asp    
Do you believe that the insurance companies, given the economic instability over the last 5 years are 
looking for ways to mitigate their risk, both from wrongful death and practices suits, in addition to 
reducing their claims expense on unnecessary surgical procedures in favor of non-surgical FDA 
approved procedures costing them 50-75% less?    
HINT: Health policies and regulatory guidelines have already become effective beginning in 2011 that provide the above benefits, 
increase patient choice, give Physicians a 10% bonus for choosing in favor of such alternatives, and with the use of our non‐surgical 
medical device for cardiac therapy actually sees an 89% cure rate and a 36% reduction in the mortality rate over surgical procedures,
which procedures proved to be ineffective 85% of the time and un‐necessary 50% of the time in the COURAGE study provided in 
full as a supplement to our business plan.
					Read more: Industry reports attached to business plan
46 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
4.2 Medical Device Industry Snapshot
Medical device and equipment manufacturers 
have faced their share of challenges over the 
last several years. Healthcare reform, increased 
regulatory scrutiny, reduced hospital budgets, 
tight credit markets, and a sluggish economy 
have all negatively impacted the valuations of 
companies in the $300 billion global industry.  
Device and equipment merger & acquisition 
(“M&A”) activity, which is typically robust, 
has also slowed due to the economic downturn. 
Despite these tribulations, an aging population 
and consumer expectations for better healthcare 
driving technological advancement advances in 
medical technology are expected to keep demand 
for medical devices and equipment strong 
which should translate to a revived M&A market 
in the long run, as credit loosens, the economy 
improves, and management teams are more 
confident in the growth prospects for the industry. 
Industry Structure
Life Cycle Stage		 Growth
Revenue Volatility		 Medium
Capital Intensity		 Medium
Industry Assistance		 Medium
Concentration Level		 Low
Regulation Level		 Heavy
Technology Change		 High
Barriers to Entry		 Medium
Industry Globilization		 Medium
Competition Level		 High
47 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
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4.3 Medical Device Industry Forecast
Global Top 10 Medical Devices Market (2010 – 2015) 
	
By: www.marketsandmarkets.com Publishing Date: June 2011/ Report Code: MD 1620  
The study of global top 10 medical devices market is important mainly due to continuous technological advancements 
in the medical devices industry and rising demand for medical devices owing to increasing healthcare issues. This report 
not only provides a full estimate of the global top 10 medical device technologies market but also gives a detailed analysis 
of their most critical micro‐markets, which have remained unexplored so far. The medical devices market is a major 
contributor to the overall healthcare industry with the pharmaceuticals industry leading the healthcare sector. The rising 
incidence of various diseases in the areas of Cardiovascular devices (CVD), respiratory, oncology, neurology, and many 
others have expanded the need for faster and better medical devices for treatment and diagnosis.  
The global top 10 medical devices market was expected to be worth $164 billion in the year 2010 and is estimated to 
reach $228 billion by 2015, growing at a Combined Aggregate Growth Rate (CAGR) of 6.8% from 2010 to 2015. The 
cardiovascular devices, orthopedic devices, and diagnostic imaging devices markets are the major revenue generators for 
the medical devices industry.  
Scope and Rank:    
Due to the globally rising incidence of lifestyle diseases and the increasing healthcare delivery at the private 
physician level. 
		 The following markets offer steady growth opportunities, in order of highest growth to lowest.  
			 1. Cardiovascular devices 		 6. Anesthesia and respiratory care devices
			 2. Orthopedics devices 		 7. Dialysis products 8. Ophthalmology devices
			 3. Diagnostic imaging devices 	 8. Ophthalmology devices
			 4. Minimally invasive devices	 9. Patient monitoring devices 
			 5. Diabetes devices 		 10. Point‐of‐care diagnostic devices
Point‐of‐care diagnostic devices  Reverse innovations and collaborations form the major growth strategies, especially due 
to the growing emphasis on preventative healthcare, and the rising need for more technologically advanced products 
such telemetry devices. The $19 billion economic stimulus package for healthcare IT, passed by U.S. Congress in 2009, 
has also encouraged collaborations between OEM’s and IT system providers. 
48 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
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5. Customer Analysis
“ “
“Success can be obtained if you:
...care more than others think is wise;
...risk more than others think is safe;
...dream more than others think is practical;
...expect more than others think is possible.”
Karen Ravn
49 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved.
No duplication or transmission of this information without written permission of Innova Medical Principal.
5.1 Our Customers
Primary: 
Medical Device Distribution Companies (“Distributors”) who wish to act in a market or territorial owner capacity who
have established distribution through the Company’s Primary Care Physician target marketplace. Such Distributors shall
accept the Company’s requirement to act as ‘change agents’ in and conduct their sales in a VENDING-like capacity, and
shall be able to identify and place within five (5) Physician Practices FREE non‐surgical medical devices, such as the External
Counter‐Pulsation (ECP) device and other such products as the Company shall provide within established time frames, and
achieve minimum patient acquisitions through implementation of the Company’s Pulse program.
Secondary: 
Primary Care Physicians (PCP’s) such as General Practitioner’s, Internists, Doctors of Osteopathy, are medical doc-
tors who the first contact for a person with an undiagnosed health concern, as well as continuing care of varied medical condi-
tions, not limited by cause, organ system, or diagnosis. PCP’s are the target market of our Distributors, for which we provide turn‐
key business packages inclusive of business plan, training, marketing, branding, advertising and sales campaign and col-
lateral support at all levels from overall business development, target market (physician) development, and physician/
patient support and retention.  
Tertiary: 
Individuals with target criteria as outlined below: 
	 1. 70,000,0009
 people within the U.S. and, who suffer from some form of Cardiovascular Disease10
,
and the 970 million people worldwide who have elevated blood pressure (hypertension) and are
at highest risk for cardiovascular disease    
	 2. 150,000,000 people worldwide who are estimated to be suffering today with Erectile Dysfunction: 
		 a. It is well known that over the past 50 years the number of men with Erectile 
		 Dysfunction has more than tripled.   
		 b. According to statistics, about 5‐10% of men at the age of 40, and 15‐25% of men 
		 over 60 years old suffer from Erection Dysfunction.    
		 c. Vascular diseases, such as atherosclerosis (hardening of the arteries), hypertension, 
		 and high cholesterol, cause up to 70 percent of erectile dysfunction in men with physical causes. 
		 Atherosclerosis alone accounts for between 50 and 60 percent of erectile dysfunction cases
		 in men over age 6011
. 
9 
Centers for Disease Control; http://www.cdc.gov/nchs/fastats/heart.htm 
10 
http://heart‐disease.emedtv.com/cardiovascular‐disease/cardiovascular‐disease‐statistics.html
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  • 1. 1 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. Business Plan 2012 i n n o v a m e d e c p . c o m Quality Investment. Quality Life.
  • 2. 2 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. Business Plan 2012 Quality Investment Quality Life CONFIDENTIAL. No offering is made or intended by this document. Any offering of interest in Innova Medical Technologies, Inc. (IMT) will be made only in compliance with Federal and State securities laws. This document includes confidential and proprietary information of and regarding IMT. This document is provided for informational purposes only. You may not use this document except for informational purposes, and you may not reproduce this document in whole or in part, or divulge any of its contents without the prior written consent of an IMT Principal or Partner. By accepting this document, you agree to be bound by these restrictions and limitations.
  • 3. 3 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. bad | IDEA Listening to anyone who tells you where to get a really great real estate deal
  • 4. 4 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. good | IDEA Listening to Innova Med Teach you how to profit from an investment in healthcare Finally…Freedom to be a dancing fool!
  • 5. 5 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. Contents 1. Executive Summary 7 1.1 Mission 8 1.2 Business Overview 9 1.3 Company Overview 12 1.4 Success Factors 19 1.5 Investment Structure 22 1.7 Investor Capacity 24 2. Company Overview 25 2.1 Ownership 26 2.2 Experience 27 2.3 Executable Strategy 28 2.4 Manufacturing Experience 29 3. Operations 30 3.1 Milestones 31 3.2 Key Services 32 3.3 Personal Letter From The CEO 33 3.3 Founders Bio | Lisa Terry 34 3.3 Founders Bio | George Nelson 35 3.3 Management Bio | John McCallum 36 3.3 Management Bio | Irwin Zucker 37 3.3 Management Bio | David Gregory 38 3.3 Management Bio | Steve Porter 39 3.3 Management Bio | Peter Helander 40 3.4 Hiring Plan 41 4. Industry Analysis 44 4.1 Critical Questions 45 4.2 Medical Device Industry Snapshot 46 4.3 Medical Device Industry Forecast 47 5. Customer Analysis 48 5.1 Our Customers 49 6. Core Business Model 51 6.1 Problems We Solve 52 6.2 Solutions We Provide 54 6.3 Implementation Snapshot 57 6.4 Stakeholder Snapshot 58 6.5 Stakeholder Benefits 59 6.6 Civic Impact 60 7. Marketing Plan 61 7.1 Core Approach 62 7.2 Core Focus 63 7.3 Core Offerings 64 7.4 Core Marketing Competencies 66 7.5 Core Selling Competencies 67 7.6 USP 69 7.7 Core Income Model 71 7.8 Promotions Strategy 72
  • 6. 6 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 8. Products 73 8.1 Core Medical Device 74 8.2 Supporting Devices 75 9. Competitive Analysis 76 9.1 Industry Competitors 77 9.2 Competitive Advantage 79 10. Financial Highlights 80 10.1 Financial Snapshot 81 10.2 Cost Assumptions 82 10.3 Income Projections 83 10.4 Quarterly Balance Sheet 5 Year Projected 84 10.5 Expenses Summary 85 11. Reimbersement 86 11.1 Important Clinical Studies 87 12. Reference Sources 93 12.1 ECP Overview 94 12.2 ECP Treatment Overview 95 12.3 ECP Critical Component 96 12.4 How ECP Works 97 12.5 Beneficial Mechanisms of ECP 98 12.6 Reimbursement 99 12.7 Patient Criteria 100 12.8 Important Clinical Studies 101 12.9 ECP Clinicals 102 13. Disclaimer 105 14 Contact InnovaMed 106
  • 7. 7 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1. Executive Summary “ ““I have found no greater satisfaction than achieving success through honest dealing and strict adherence to the view that, for you to gain, those you deal with should gain as well.” Alan Greenspan
  • 8. 8 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1.1 Mission ECP Gave Us Our Lives Back! Where does a better quality of life begin? 70 million people know the answer. Facts: According to the World Health Organization (WHO), Cardiovascular Diseases (CVD’s) affect over 70 million people, and represents 60% of all deaths worldwide. More people die annually from CVDs than from any other cause. CVD’s are recognized as the #1 Global Economic Risk to our worldwide economic stability. The recognized #2 killer is Hypertension, and # 3 is Diabetes. ECP is recognized as the only single medical therapy that effectively treats and/or cures all three. In the U.S., CVD’s are responsible for one in every three deaths, equal to 2,200 deaths per day, or one person every 34 seconds. Innova Medical Technologies is about to change all that. FOR QUALITY OF LIFE IT’S THE BIG ISSUE! Our Mission: Our mission is to improve the health of all CVD sufferers, and others benefitted through our non-invasive, life-saving, FDA approved treatment options via primary and specialty care providers around the world. Innova Med plans to be an instrument of global change through education, patient advocacy and subsidized patient care to the indigent through our non-profit organization, the Quality of Life Advocacy (QOLA). Innova Medical shall effectively serve our employees, investors, and local community by thoughtful implementation of its integrity and leadership based business practices, which outcomes shall provide a sustainable, profitable and long-term model of success and service in pursuit of our highest goal… providing all of our stakeholders the opportunity to achieve a greater quality of life.
  • 9. 9 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1.2 Business Overview Innova Medical Technologies, Inc. (IMT or Innova) was established in November, 2011 by its Founders, George Nelson and Lisa Terry. After months of research, due diligence, focus studies and successful pilot trials, Innova Medical officially incorporated in March, 2012. Beyond its Founders contribution of capital necessary to support its pre-development efforts, Innova Medical successfully acquired the longest-standing 30 year durable medical equipment manufacturing industry leader, Cardiomedics, Inc. in September, 2012 for $15M. Its Founders head executive, marketing, sales and distribution operations. John McCallum, Cardiomedics past President & CEO, shall continue as President & COO from its Irvine, CA location to ensure a streamlined manufacturing integration and expand into PR, Regulatory markets, International Partner & Clinical funding development, and Irwin Zucker shall head R&D and logistics operations. IMT is a designated S-Corporation with a formation date of March 15. 2012. Innovative Market Approach Innova Medical’s Founder’s share a prior 10 year track record as a market maker responsible for expanding dental services into the cosmetic sector via execution of its innovative and multi-market development strategies within B2B, B2C, retail and vending distribution channels, being first to market in what is now a $119 Billion per year industry. Innova Med’s similarly unique ‘Medical Vending’ model shall trend away from the long-held conservative capital equipment direct-sales only model, and ‘Cardiology only’ ECP market focus, into a pay-as-you-go services model, called The Pulse Program, which will not require a physician to layout capital of $65-85,000 in advance. As part of its Pulse Program, Innova’s corporate account managers will be involved in marketing ECP to current patients, implementing and supporting patient loyalty and retention programs, and work as an advocate between the physician and Company, when patients are in need of the Company’s non-profit scholarship fund to assist in paying co-pays or out-of-pocket expenses of private indemnity plans. Innova’s local market representatives will also create brand awareness and create PR programs through civic and community involvement in the local markets. Innova Med offers a full-turn key business and marketing solution providing a synergistic and innovative approach to exponential sales expansion of proven medical therapies. IMT provides opportunities for med-tech investors and other stakeholders, and established, innovative solutions for physicians, patients and payors.
  • 10. 10 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. Innova Med offers a full-turn key business and marketing solution providing a synergistic and innovative approach to exponential sales expansion of proven medical therapies. IMT provides opportunities for med-tech investors and other stakeholders, and established, innovative solutions for physicians, patients and payors. Its alliance with the World Health Organization (WHO) will assist the U.S. in complying with 2010-2012 mandates for member Nations to offer more affordable, accessible, patient-focused, primary healthcare alternatives over speciality care with implementation of same beginning January, 2013. Sales Forecasts Forecasts place more than 200 new units into the Top 20 medical markets in the U.S. through Its Pulse Program model within its first 12 months. Innova’s expanded marketplace of over 400,000 General Practitioners, D.O.’s, Internists, D.O.’s, Urologists, Specialty Clinics, Sports Therapy Centers, and Medi-Spas, among others creates expansive growth opportunities beyond the 14,000+/- cardiologists targeted to date by industry players. The most profitable aspect of Innova’s Pulse Program is its ability to create and sustain residual income from treatments performed by it’s in place unit’s year-to-year. As a result of Innova’s recent acquisition of Cardiomedics, direct sales from existing exclusive international markets including Mexico, Taiwan and Germany represent more than 200 additional device installations in a standard direct sales fashion to hospitals and specialty clinics in those markets in the next 18 months. Innova Medical is poised for global expansion as a result of the relationships being further developed through the WHO, and jointly through the United Nations (UN) Medical Device Buying office, which preliminary discussions forecast a deployment plan which includes introduction of our External Counter Pulsation (ECP) devices into 300 of the 600 UN’s owned hospitals located in 39 countries around the world over the next 5 years. Details of Innova’s strategic, marketing, sales, and financial plan can be found in detail within this plan. 1.2 Business Overview
  • 11. 11 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1.2 Business Overview Corporate Structure: Capital Request Innova Med is seeking $2.75M in Expansion Capital, via Preferred Series B Equity, Convertible Debt or other hybrid structure to reach its expansion goals in support of its recent acquisition. Upon Issuance of Shares in the event the $2,750,000 capitalization sought is received in the form of equity, the company’s equity structure fully diluted, inclusive of this projected round of financing is reflected below: • Founders Shares represent 65% • Directors and Employee Trusts represent 5% • Current equity investors represent 2% • Projected equity investors shall control 28% • The Company has Authorized 20,000,000 shares Notes: This projection shows the effect of the next round of financing.
  • 12. 12 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. IMT’s Executive, Sales and Administrative office is located at 1005 Alderman Drive, Alpharetta, Georgia 30005, and is headedby Managing Partners, George Nelson and Lisa Terry. IMT’s R&D and Logistics Operations office is located at 19186 East Prentice Circle, Centennial, CO 80015 and is heading by CLO, Irwin Zucker. Innova Med’s logistic office is in a thriving business and residential area within minutes of Denver, CO. CARDIOMEDICS Manufacturing office currently operates from a single location at 7 Whatney, Irvine, California 92618-2849. 1.3 Company Overview Innova Medical Building (10,000 sf of office and 3,000 sf warehouse IMT Currently Operates from Three Locations: Innova Med’s offices are located within the Metro Atlanta area, in an upscale business community which is shared by #261 on the Top Fortune 500 list, Newell-Rubbermaid, UPS and Metropolitan Life. Lexis-Nexis, AT&T, and Verizon Wireless are located in nearby office complexes. Atlanta ranks fourth in the nation among cities with the most FORTUNE 500 Headquarters, boasting 25 companies such as Coca-Cola, BellSouth, and Home Depot located within minutes from its corporate office. Innova Med is surrounded by dynamism and enjoys the stability of a strong regional economy, with an emphasis on the attractiveness of the local busi- ness climate. Home to 4 of the Top 10 Medical Specialty hospitals in the U.S. according to U.S. News Reports4, such as Emory University Hospital, Piedmont Hospital, The Shepard Center and Wesley Woods, Innova Med shall seek medical af- filiate, advocacy and program partnerships to expand its brand. Innova Med is Located 38 miles from Atlanta Hartsfield Airport, with ease of access via Atlanta’s MARTA (mass rapid commuter train) and minutes from Midtown and Buckhead, thriving financial and commercial centers.
  • 13. 13 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. Planned Manufacturing Facility Move: The Company has just negotiated a successful contract manufacturing agreement with Spectrum Assembly, Inc., located in San Diego County, CA, which manufacturing will be transferred at significant cost savings and recognize speed to market advantages over its current structure by November 8, 2012. Spectrum Assembly has the certifications necessary to manufacture per specification, including ISO 9001:2008 and ISO 13485:2003. The facilities are FDA registered and 21CFR 820 compliant, are compliant with GMP/QSR require- ments, and routinely pass standard audits by UL, CE, and ETL. IMT and newly acquired CARDIOMEDICS are now conducting business as Innova Medical Technologies, but will retain the Cardiomedics name under a DBA to allow a smooth transition with its component suppliers and regulatory agencies. Combined, Innova shall now act exclusively to manufacture, and operate its sales, marketing and distribution programs. Together they shall be known as the “Company” when references throughout this Plan are necessary. http://www.saicorp.com/industries-served/medical/ 1.3 Company Overview
  • 14. 14 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. In 2001, the FDA provided 510(K) clearance, and in 2002 the U.S. Health & Human Services approved this durable medical device to deliver ECP therapy, which addresses unmet clinical needs in the management of individuals with various forms of Cardiovascular Disease (CVD), the #1 killer of the human race. ECP is a non-surgical, non-invasive therapy offered through healthcare professionals. 30 years ago, Cardiomedics was the first company to fund clinical trials and to achieve a FDA 510(k) certification. Since incep- tion, its ECP device has been the only device with a historically recognized - ZERO adverse effect rate -and beneficial treatment factor of over 87%...unmatched by any other medical device or surgical intervention. In March, 2012, after 2 years and an additional $3M in R&D to develop the most advanced ECP hardware and software technology in the market today, Cardiomedics launched the CardioAssist 4500gs, which showcased Its proprietary offerings including the only iPad app based, Wi-Fi, remote viewing technology. It is also the only portable unit available today, having moved away from the standard exam bed sized unit, which does not require a separate exam room to facilitate, thus removing one of the top two barriers to sale. The number one barrier to sale was the high $65-85,000 established direct capital cost to physicians and hospitals, Innova’s unique marketing and distribution model overcomes this #1 barrier to sale, with details described further within this plan. Since ECP’s first patent issuance in 1941 by a Harvard University Professor, Cardiomedics obtained 60 additional relative Patents for therapeutic use, technology, utilization, components and for its graduated pressure regime. Further patents are currently pending and another on the shear rate affect achievable only through is patented processes, shall be filed soon after clinical trial completion in Germany by year end 2012. Innova’s diverse product offerings also include patented, proprietary software and supporting consumables. After clinical trial completion in Germany, which is also being conducted on a working proto-type home-based unit, Innova plans to provide this supplemental home-based unit as a prescribed part of on-going therapy for cardiac patients, and via direct B2C sales to consumers in the elective marketplace. Critical Components Critical to optimum health and vital function is the effective increase, transportation and utilization of oxygen and blood. In layman’s terms, External Counter Pulsation (ECP) provides these core benefits which supports all critical systems and organs within the human body. 1.3 Company Overview
  • 15. 15 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. Most of us suffer from a lack of oxygen, and thus proper blood function. Whether from improper breathing, poor diets, air pollution or lack of exercise, our cells are being deprived of this vital element and thus weakens our immune systems. Oxygen (O2) is one of the most important and critical components required to sustain life. Unhealthy or weak cells due to improper metabolism lose their natural immunity and are thus susceptible to viruses and suscept the body to all manner of infection and disease. Without O2, our health begins to suffer and we progress more quickly towards death. O2 not only gives us life but destroys the harmful bacteria in our bodies, without affecting the beneficial bacteria that we need for successful digestion, nutrient absorption, and toxin elimination. No antibiotic, herbal remedy, or surgical intervention can provide these overall benefits. Life styles today, in a modern world environment with depleted O2 levels in the atmosphere, actually requires our cells to use more of this odorless/colorless gas to deal with several stresses on our body’s ability to function, and increases the risk of obesity, cardiovascular disease, hypertension, and all other disease states. Conversely, reducing these major stressors through greater oxygenation eliminates cellular toxins at an increased rate, increasing metabolism and assists in weight loss, and decreases disease risk. Specifically, ECP works by uniquely calibrated pressurization on the lower extremities, which increases blood flow and force in between each individual’s heartbeat, and is maximized by the sheer rate affect, a patented process which individualizes the expansion (and reduces the hardening affect) of collateral and arterial pathways, which improves oxygen and blood cell transport. The effects of ECP further provide detoxification and purification of all of the body’s vital systems, which has proven to be foundational in the body’s ability to heal itself…essential to restoring health and vitality. ECP’s Benefits Because of its improved oxygen transport to all vital organ, and its ability to regulate diastole and systolic blood flow and pressure, ECP’s physical effect is seen through the expansion of arterial pathways, which in cardiac patients, creates a ‘natural bypass’ around blockages in the heart. Overall, ECP has evidenced its ability to improve heart, lung, brain, and circulatory function…and ultimately to extending life. History External counter pulsation has been clinically studied dating back to the 1960’s, when it was first introduced. It continues to be studied today. The earliest studies were done in the areas of cardiogenic shock and acute myocardial infarction. Since 1990, virtually all studies have been focused on either angina or heart failure. 1.3 Company Overview
  • 16. 16 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. In 1997, the first randomized, double‐blinded, placebo‐controlled study was completed (MUST‐ECP, 6 1995‐1997). It evaluated the effect of external counter pulsation therapy, testing the reproducibility of benefits from earlier studies in cross-relational modalities. Patients in the external counter pulsation group demonstrated a statistically significant increase in multiple areas, and since 1997 clinical trial submissions to the World Health Organization’s International Registrar have more than tripled. Likewise, the rise in patient numbers has seen a similar gain. Clinical Evidence ECP can be found today in major Cardiac Care facilities such as Mayo Clinic, Johns Hopkins University Hospital, Cleveland Clinic, Stamford, Yale and Harvard Universities, among hundreds of other renowned cardiac centers worldwide. Since its introduction clinical evidence continues to grow in support of ECP’s benefits beyond cardiovascular disease as an ef- fective treatment and/or cure for other non-communicable diseases such as: 1. Diabetes 8. Sudden Deafness Syndrome 2. Acute Congestive Heart Failure 9. Renal (Kidney) Failure 3. Stoke 10. Macular Degeneration 4. Erectile Dysfunction 11. Infertility due to low sperm count 5. Obesity 12. Multiple sclerosis 6. Alzheimer’s 13. Stem Cell growth, where repair of internally damaged organs and other tissues in various disease states has been evidenced. Subjects are currently being recruited for or clinical studies are underway on External Counter pulsation as a treatment for the following, with exciting implications: 1) Vascular Hemodynamics in Cognitively Impaired Patients which will study the effects on Alzheimer’s and dementia patients. ClinicalTrials.gov Identifier: NCT01659398 a) Secondary data from this study will be mined to support peer reviewed studies which have shown: i) Change in Ophthalmic blood flow (OBF) affecting patients with macular (eye) degeneration ii) Change in Blood Viscosity affecting patient with hypertension (high blood pressure) and other blood disorders iii) Cholesterol composition of the blood affecting patients with high cholesterol 2) Acute Ischemic Stroke: ClinicalTrials.gov Identifier: NCT00983749 3) Left Ventricular Systolic and Diastolic Function: ClinicalTrials.gov Identifier: NCT01112163 4) Subclinical Atherosclerosis which shall study the Shear Stress factor affecting the Intima-medial thickness of the cervical artery and the underlying inflammation- related molecular mechanisms. ClinicalTrials.gov Identifier: NCT01106495 1.3 Company Overview
  • 17. 17 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 5) Coronary Heart & Artery Disease which will study the effects on reductions in heart attacks: ClinicalTrials.gov Identifier: NCT01198405 a) Secondary data from this study will be mined to support peer reviewed studies which have shown i) Improved vascular endothelial function measurement of flexibility of peripheral artery and flow-mediated dilatation (FMD) ii) cardiac structure and change in chamber diameter, left ventricular wall thickness, ejection fraction iii) reduction in rate of new-onset diabetes Clinical trials are currently being co-funded with hospital partners in India utilizing our manufactured ECP devices. Innova Medical plans to further its clinical development on the above modalities, and shall utilize corollary data evidenced from clinicals to further its study of effects on Cancer, ADHD and Autism sufferers. Secondary clinical data currently recognizes corollary effects on these additional modalities, and which the Company feels could easily be added to the growing list of healthful gains. Regulatory Acceptance ECP is cleared by the Food and Drug Administration (FDA) for use in treating a variety of cardiac conditions, and is currently covered for the following conditions by Medicaid, Medicare and private insurers as follows: ANGINA ICD-9 CM Office Codes or Medicaid/Medicare Office (CPT) Codes G0166, with sub-codes below: • 411.1 Intermediate Coronary Syndrome • 413.0 Angina Decubitus • 413.1 Prinzmetal angina • 413.9 Other/unspecified angina pectoris • 414.9 Chronic ischemic heart disease, unspecified CONGESTIVE HEART FAILURE ICD-9 CM Codes • 428.0 Congestive Heart Failure • 428.1 Left heart failure • 428.9 Heart failure unspecified • 402.01 Hypertensive heart disease, malignant with CHF • 402.11 Hypertensive heart disease, benign with CHF • 402.91 Hypertensive heart disease, unspecified with CHF • 494.01 Hypertensive heart and renal disease, malignant with CHF • 404.11 Hypertensive heart and renal disease, benign with CHF • 404.91 Hypertensive heart and renal disease, unspecified with CHF 1.3 Company Overview
  • 18. 18 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. Current clinical submissions are pending the FDA’s 510(k) review and approval for Acute Congestive Heart Failure (ACHF), and Diabetes. ECP is unique in that U.S. reimbursable rates for angina and covered cardiac patients have steadily increased at an average of 5% year-to-year over the last 5 years. The Metro Atlanta market saw an increase from $151.00 per treatment hour, or $5,285.00 per treatment course, to $164.00 per treatment hour, or $5,740.00 per treatment course, reflecting an 8.6% increase from 2011 to 2012. The increase in reimbursable rates are contrasted by record decreases in the same period for surgical and invasive procedures. Professional Recognition One of hundreds of testimonials from the professional community… Journal of American College of Cardiology 2007;50:1523-31. Department of Internal Medicine, The George Washington University, Washington D.C.; and the Cardiovascular Institute, University of Pittsburgh Medical Center, Pittsburgh, Pennsylvania. “Between 25,000 and 75,000 new cases of angina refractory to maximal medical therapy and standard coronary revascularization proce- dures are diagnosed each year. In addition, heart failure also places an enormous burden on the U.S. Health care system, with an estimated economic impact ranging from $20 billion to more than $50 billion per year. The technique of external counter pulsation, studied for almost one-half century now, is considered a safe, highly beneficial, low-cost, non-invasive treatment for these angina patients, and now for heart failure patients as well. Recent evidence suggests that external counter pulsation (ECP) therapy may improve symptoms and decrease long-term morbidity via more than 1 mechanism, including improvement in endothelial function, promotion of collateralization, enhancement of ventricular function, improvement in oxygen consumption (Vo2), regression of atherosclerosis, and peripheral training effects similar to exercise. Numerous clinical trials in the last 2 decades have shown ECP therapy to be safe and effective for patients with refractory angina with clinical response rate averaging 80+%, which is sustained up to 5 years. It is not only safe in patients with coexisting heart failure, but also is shown to improve quality of life and exercise capacity and to improve left ventricular function long term. Interestingly, ECP therapy has been studied for various potential uses other than heart disease, such as restless leg syndrome, sudden deafness, hepatorenal syndrome, erectile dysfunction, and so on. This review summarizes the current evidence for its use in stable angina and heart failure and its future direction.” http://clinicaltrials.gov/ct2/results?term=external+counter+pulsation&Search=Search 1.3 Company Overview
  • 19. 19 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 12 Stakeholders Who Benefit: ECP uniquely satisfies these mandates while offering health solutions for 3 of the 4 Non-Communicable Diseases (NCD’s) identified by WHO as leading Global Risks affecting the economic sustainability of our world. At the same time, the impact of Innova Med’s Profit-Share Model (The Pulse Program) will be simultaneously felt on a corporate and investor level by offering higher than average profitably, sustainability and Return on Investment to all of its stakeholders. Success Indicators: Innova Medical Technologies (“IMT”) shares twelve characteristics common to successful businesses investments, while offering uncommon advantages. 1. Strong Industry Reputation: Mayo Clinic, Stanford Hospital, Duke University, and Cleveland Clinic, ranked as the #1 cardiac care hospital in the world, along with hundreds of other renowned hospitals via in-patient, out-patient programs, private clinical facilities and cardiology practices Worldwide have used IMT’s External Counter-Pulsation (“ECP”) Cardiac Medical Equipment success- fully has for over 25 years since receiving its FDA 510(K) clearance. 2. Robust Growth Potential: Heart conditions affect nearly eight (8) million Americans. Heart failure is the only major cardiovascular disorder on the rise. An estimated 400,000 to 700,000 new cases of heart failure are diagnosed each year and the number of deaths in the United States from this condition has more than doubled since 1979, averaging 250,000 annually. This year, America’s 50 and older population will reach 100 million. According to the US Population Division, 1 in 5 people are expected to be 65 or older by 2035. Our growth potential is inexplicably tied to these factors. 3. Emergent Industry Outlook: Since 2002, annual industry production in medical device sector has exceeded $70 billion and experienced approximately 6 percent annual growth, driven primarily by demand from baby boomers that are living lon- ger lives than previous generations, requiring more sophisticated and longer- term healthcare. As the U.S. population ages, and pressures to contain costs increase, expensive hospital stays will be discouraged, and health care will be increasingly delivered in alternative settings, such as in primary care and other out-patient facilities. Healthcare has always been and will continue to be a primary personal need and common human experience and therefore will continue to be stable industry which exceeds valuation standards by almost double. 1.4 Success Factors
  • 20. 20 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1.4 Success Factors 4. Favorable Regulatory Environment: Recent regulatory and insurance reforms have widened approval classes, which until recently was a hospital and cardiology only market, providing the pathway for expansion into an untapped and unserved marketplace. Effective January 1, 2012 non-surgical procedures offer Medicaid payment bonuses of 10% thru 2016 to physicians who elect therapies such as ours over surgical interventions. Additionally, the Electronic Medical Records Act has a scaled implementation schedule over the next several years which will facilitate patient identification and acquisition more swiftly and exponentially. 5. High Barrier to Entry: The medical device industry is highly regulated. Domestically, medical device firms devote considerable resources toward product approval processes, clinical trials, user fees and plant audits. FDA approvals require an extensive investment in time and capital limiting manufacturer’s market entry capabilities, thus protecting your profits. 6. Market Experience: In addition to IMT’s prior proven lateral market sales program success, their Acquisition in September, 2012 of CardioMedics, Inc. (“CARDIOMEDICS”) provides the Company the benefit, valuation, goodwill, ongoing client base, industry reputation, and all of the Intellectual Property it has spent 30 years developing, including 60 Patents, FDA 510(k) clearances, CE and ISO certifications. With CE approval (the European regulatory, FDA-like standard for quality acceptance), the Company has the certainty it needs that our ECP devices and consumable goods will be accepted as an approved export for sale and distribution into international communities. The top 15 year National Sales Director for competitor, ACS, David Gregory, shall operate together with IMT on its Board and as its National Sales Director, to ensure program success in this medical device sector in the U.S. and abroad. 7. Unique Selling Proposition (“USP”): Innova Med’s major market differentiator provides a superior distribution model which accelerates the market capture rate via entrepreneurial ownership of the ECP equipment and exclusive geographic markets (creating a “market owner”). Market owners facilitate the placement of ECP units, at no cost to Physicians, deriving income through an agreed upon per treatment profit-share program - transmitted electronically to all eligible parties via Innova’s proprietary software immediately after insurance reimbursement. This eliminates the main objection to price seen in 2 out of every 4 direct selling or leasing situations. This unique facilitation, together with technology advan- tages assures that the income producing and collection models will be far superior. Companies that are in an industry with a HIGH BARRIER TO ENTRY are often good investments for a value investor. When a company is working in an in- dustry with a high barrier to entry, the company can easily raise prices without losing many customers.This flexibility allows the company to adjust prices dur- ing economic downturns while maintaining stable profit margin. Additionally, firms that work in such a market are not likely to see many new competitors entering the industry, also contributing to the stability in their profit margin. An Example of an Industry with a High Barrier to Entry: Drug and chemical companies have a high barrier to entry because their products are usually very hard to produce. New enterprises that wish to com- pete with existing drug and chemical companies would have to spend a lot of money in research and development as well as years of clinical trial before they can even enter the industry. INNOVA MED HAS OVERCOME & WILL BENEFIT FROM HIGH BARRIER TO ENTRY STATUS.
  • 21. 21 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1.4 Success Factors 8. Expert Business Plan:    Over the last decade, Innova Med has developed proprietary marketing campaigns and sales approaches which have proven successful in the dental/medical device and consumables marketplace offered as Turn-Key Business Solutions to Market Owners. Having both manufacturing and B2C and B2B sales and marketing program development experience, IMT plans to utilize its experience and overlay its historically successful sales and distribution models to expand the sales channels in the ECP market exponentially beyond the prior hospital and cardiology channels to include General Practitioner’s, D.O.’s, internists and other primary care physicians which represent over 400,000. Cardiologists represent just over 14,000 in the U.S. 9. Short-term Cash Flow Performance: Proprietary software developed by CARDIOMEDICS, together with custom ‘ACH cash distribution’ software commis- sioned by IMT of JP Morgan Chase Bank, combine exclusively for the benefit of IMT’s program to ensure electronic funds transfers and immediate cash disbursements to all parties. 10. Long-term Income Streams: Reimbursement rates for medical devices are a primary concerns for U.S. medical device companies, as an adequate reimbursement rate usually determines whether a product will be viable in a given market. An over 87% angina and coexisting heart patient effective treatment rate, with sustained benefits lasting 3-5 years in each of three 5-year follow-up studies, has ensured consistent pay-outs and an average 5% increase, by all insurers year to year. Innova Med requires only minimal market penetration to develop elective income streams within the currently untapped Medical, Anti- Aging and Alternative Medicine environments to enhance the already lucrative guaranteed income streams derived from insurance reimbursements. Our current business plan factors only insurance reimbursements to achieve its high ROI. Physicians need only treat three (3) patients per month to exceed $200k in annually revenue, which is more than double the national average G.P. income. 11. Multiple Sales Channels: In addition to the guaranteed insurance reimbursements, peer reviews and clinical submissions are currently being evaluated to validate ECP uses for Diabetic, Erectile Dysfunction, Stroke, Alzheimer’s, Parkinson’s and Weight Loss. Seventeen other additional medical benefits are gaining recognition. While awaiting approvals by the Federal Health Agency, IMT will market to consumers these elective benefits to develop additional income streams via multiple sales channels as identified above, and will simultaneously sponsor consumer education and advocacy campaigns through our wholly owned Non-Profit agency The International Wellness Foundation. 12. Superior Products and Performance: ECP is both an FDA APPROVED device and therapy. Since its introduction into the medical marketplace over 44 years ago, it has achieved incomparable performance measured by an over 70% average clinical improvement rate industry wide, and an average 87% improvement rate by patients using Cardiomedics ECP devices, who have suffered with an- gina, heart disease and related conditions.
  • 22. 22 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1.5 Investment Structure Investment Offering:   Innova Medical Technologies, Inc., doing business as IMT or Innova Med, (“We”, “Us”, “the “Company” or “IMT”) hereby offers FIFTY-FIVE (55) UNITS consisting of 100,000 EQUITY SHARES OF PREFERRED STOCK (the “Preferred Stock”) at a price of $50,000 per Unit, for a total of TWO MILLION SEVEN HUNDRED AND FIFTY THOUSAND DOLLARS ($2,750,000), representing TWENTY-EIGHT PERCENT (28%) of the Company’s Authorized Shares. Minimum subscriptions of ONE (1) UNIT or a minimum capital investment of ONE HUNDRED THOUSAND DOLLARS ($100,000.00) is required. Lesser units shall only be considered on the basis of Board level or other instrumental and equitable contributions in-kind, on a case-by-case basis, and shall be approved by both majority owner/partners. The Company, on a “best efforts” basis, is offering the Units (the “Offering”) and all proceeds from the sale of such Units shall be deposited in the Company’s general account upon its accep- tance of the subscription to meet the capital requirements of operation as indicated in this Plan and within the Company’s Private Placement Memorandum. The Company may terminate this Offering at any time. Offering Type: This Offering is a Reg D (506)5 which requires a Form D Federal and State filing upon sale of its first securities. The company may sell its securities to an unlimited number of “accredited investors www.sec.gov/answers/accred“ and up to 35 other purchases. Accredited investors must meet minimum financial requirement thresholds to qualify as an accredited investor. For individuals, there is a minimum net worth test and income test which determinations shall be obtained via completion of the Qualifying Questionnaire provided by Innova Med. Use of Funds: Innova is currently seeking Third Stage ‘Expansion Capital’ to enter the expansion/maturity phase which supports its recent acquisition of Cardiomedics. The capital will be used for funding capital expenditures, manufacturing, inventory and component purchases, hiring employees, marketing expenses and general working capital. The Founders of Innova Med have thus far contributed $250,000 in the form of a Promissory Note, $200,000 in seed round funding, and have raised another $275,000 in first round equity which has been used in since it began its pre-incorporation due diligence and business development efforts in November, 2011. This capitalization has been sufficient to sustain operations and been used for overhead, start-up, capital equipment and personnel expenses, where a priority was placed upon the creation of its outstanding team, which key staff have been intrinsically focused on achieving our goals together. In addition to its Founders roles, the Company’s key hires include John McCallum, President & Chief Operating Officer (COO) [Former President & CEO of Cardiomedics]; Da- vid Gregory, Chief Sales Officer (and supporting sales staff) [Former Industry Recognized 15 year sales leader with ECP device competitor Applied Cardiac Systems (ACS)]; Irwin Zucker, Chief Logistics Officer (CLO) over regulatory, inventory an manufacturing; Steve Porter, Chief Marketing Officer (CMO), responsible for marketing, media and web development strategies; and, Peter Helander, PR Director, responsible for online Search Engine Optimization (SEO) and social media; Kaleigh Kohrs, Operations/Administrative Director, and Fran Katz,, Accounting Manager, responsible for internal bookkeeping. 5Reg D (506) Definition: http://www.reg-d.com/rule-506 <%20http:/www.reg-d.com/rule-506 6Accredited Investor Criteria is detailed in the Appendix section of this Business Plan Reg D (506) $2,750,000 55 Units $100,000 per unit
  • 23. 23 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1.5 Investment Structure Expansion Plans:  The Innova team thus far has developed the research, market tests and development of intellectual property including business, online and program marketing plans, advertising and lead generation campaigns, negotiated manufacturing agreements, third party and affiliate agreements and various other structural matters to facilitate Pulse program launch activities. Innova Med could continue to expand its Pulse program globally without expansion capital, however it’s Principals agree that expansion capital would create exponential gains and more effectively expedite our rate of market entry, critical to ensure the Company’s long-term success. IMT understands that once industry players become aware of that their once ‘sleeper’ divisions being encroached upon and profited from market making changes will begin to occur. Exit Strategy:  By capturing the largest market share quickly under this innovative market expansion program, such efforts shall tranlate to expedited higher rates of return, and greater shareholder value making possible the achievement of the Company’s a multi-billion dollar projected valuation at FY 5. This valuation assumes various lucrative exit scenarios, creating the ultimate investor reward as a result of investor confidence in us and our program. Closing Disclosure:  As of September 30, 2012 pre-commitments have been made by only Accredited Investors and respective funding commitments anticipate closing this Expansion Capital funding round of $2,750,000 on or near November 30, 2012. The Company’s cash flow over the 5 years indicates that NO further Equity or Debt capitalization will be required, and therefore anticipates NO further dilution of equity ownership to its Equity participants contemplated under this Plan.
  • 24. 24 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 1.7 Investment Capacity Sophisticated Investor:  Integrity is at the core of our business and we understand that it forms the basis of long‐term and mutually rewarding  relationships. Innova Med seeks to establish long‐term equitable, and integrity based investor partners. In order to establish  this basis, Innova Med’s Reg D (506) offering maximum does not require the more stringent disclosures that Rules 505 ($5M), or 506 (unlimited capital) require. Both of these Rules require that potential investors, either alone or with  a purchaser representative, must be ‘sophisticated’ — that is, they must have sufficient knowledge  and experience in  financial and business matters to make them capable of evaluating the merits and risks of the  prospective investment. In the best interests of its potential investors, Innova Med is providing full disclosure as if  issuing SEC securities regulated  investment and seeks only sophisticated investors.  We put ourselves in the shoes of our prospective investors and asked ourselves what information we would want to receive to make  a totally informed decision about your investment opportunity.  Therefore, Innova Med has agreed to conform to the more stringent requirements and to the antifraud prohibitions  of the federal securities laws, meaning no lies of commission or of omission. Under these laws, we also agree to provide  non‐accredited investors disclosure documents that are generally the same as those used in registered offerings.     Innova Med recommends your thorough investigation  of this truly unique, once‐in‐a‐lifetime opportunity and suggests you fully read this Business Plan and  sup- porting documents for understanding together  with any  additional due diligence research you  may require.    Details substantiating Innova Med’s  core technology,  success foundations, viability and sustainability are  detailed inside this Business Plan, along with  research  citations and website links for ease. Innova Med will  also answer any investigative questions relative to this  investment as required.    Private Placement Memorandum and Qualifying  Questionnaire shall be provided separately. 7 SEC Definition of Sophisticated Investor: http://www.sec.gov/rules/proposed/33-8041.htm#P66_8323
  • 25. 25 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 2. Company Overview “ ““The secret of success is consistency of purpose” Benjamin Disreali
  • 26. 26 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. Lisa Terry joined WhiteScience in March, 2007 as an outside Business Development Consultant. As a result of her strategic marketing and business re-development efforts and the recognized 167% increase in profits over prior year, she was offered and joined WhiteScience in March, 2008 as a Principal, serving in the capacity of EVP of Business Development. She later transitioned into development of international markets in 2009 where she was responsible for the company’s growth into 32 countries establishing multi-million dollar multi-year exclusive distributorships within same and counted over 3,000 total independent distributors within the U.S. and around the world before resigning in November, 2011 to head Innova Medical together with George Nelson as Founding Partners. WhiteScience was formed by George Nelson and acquired IMDS in 2002. Irwin Zucker was offered a minority interest and operated as COO of WhiteScience and together manufactured and developed new sales channels within the cosmetic segment of the oral care industry. In 2003, IMDS merged and began operating under the WhiteScience name. Irwin Zucker was the Founding Principal and Owner of Innovative Medical & Dental Solutions, Inc. (IMDS), which business began in the professional dental/medical industry 11 years ago. IMDS was born out of a Belgium based internationally publicly traded R&D, a professional medical/dental device and technology manufacturer who operated as both manufacturer and as a direct selling organization within the dental device and consumables products industry. “ ““Success is determined by those who identify the vision, no matter how impossible, and then who prove the impossible, possible” James W. Pence 2.1 Ownership
  • 27. 27 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 2.2 Experience Relative Experience:  The Founders and Principals of WhiteScience, now operating together under Innova Med, realized their lateral‐market success in very keys ways, which provide the very essential foundation necessary for Innova Med to experience even greater market advancements in the non‐surgical medical marketplace. With its R&D and Engineering efforts led by Irwin Zucker, WhiteScience created scientific breakthroughs and patented equipment, formulations and delivery methods in dental professional teeth whitening technology, and were first to market to bring teeth whitening out of the dental office into the cosmetic retail and services marketplace. WhiteScience utilized pre‐existing IMDS dental professional market channel client development experiences with innovative sales approaches into the cosmetic personal services vanity market. The $4M invested into its original patented products SpaWhite and WhiteIce were re‐packaged and marketed to an untested cosmetic marketplace through simultaneous channels achieving swift multi‐millions dollar success. Multiple products were later develop and are still marketed today. Innovation:  By re-inventing their ‘dental professional only’ products and service modalities, WhiteScience created demand for ease, convenience and affordability, establishing the consumer trends that resulted in turning their once ‘boutique’ marketplace into a commodity. Its move outside the dental industry into the cosmetic segment in 2003 would later recognize their ‘market-maker’ status, and allowed them to realize their earliest goal of becoming the industry leader in the boutique ‘Cosmodent’ segment of the cosmetic oral care industry. Acclaim:  WhiteScience’s award-winning products have received international acclaim in dental/medical professional journals, celebrity forums, and the media, and were the only manufacturer in the industry segment to receive the Seal of Approval from the National Dental Laboratory Association NE, and acceptance of its whitening training into the curriculum of the International Dental Education Congress, providing Continuing Education (CE) credits to dental professional around the world.  
  • 28. 28 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 2.3 Executable Strategy Lateral Foundations for Success WhiteScience, who successful implemented its worldwide expansion of its goods and services through a multi-sales channel approach, saw its greatest profitability after implementation of creative distribution programs which created exponential market gains from 2008 forward. WhiteScience was born out of the need for change, moving very mainstream dental professional industry products and service approaches through direct sales only channels into innovative entrepreneurial distribution sales approaches which created exponential gains for its stakeholders in record time. In doing so, WhiteScience established the foundation for what is now a multi-billion dollar cosmetic industry space with over $200M in sales in the last 6 years via wholesale, direct sales, B2B and B2C channels. Today, WhiteScience boasts over 3,500 independent dealers and distributors and operates in 32 countries around the globe. Sustainable Approaches The Founders of IMT will utilize their executable strategies, branding, market channel and business development experience to create substantial profitability to its founding investors, entrepreneurial market buyers, and physicians within our distributor markets, in a more reputable and certain marketplace ripe for innovative approaches and patient-focused health care. With the additions of past President & CEO of Cardiomedics (now Innova’s President), John McCallum, and David Gregory,15 year industry acclaimed sales leader and Innova’s National Sales Director, hired from Applied Cardiac Systems (ACS) (Cardiomedics largest competitor), they now operate together under Innova Medical and call themselves the ECP Dream Team. The Company have established the very essential foundation of key talent, experience, and vision necessary for Innova Med to experience even greater market advancements in the non‐surgical medical marketplace.
  • 29. 29 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 2.4 Manufacturing Experience Since 1986, CardioMedics, Inc. has been a trusted name in the field of cardiac instrumentation. A pioneer in the world of external counter pulsation (ECP), together with Innova Medical Technologies, they are leading the way in the diagnosis, treatment and management of cardiovascular disease and more than a dozen other elective modalities. CardioMedics was the first industry manufacturer of ECP devices in the world beginning 30 years ago, were the first to produce clinical studies and obtain 501(k) clearance on the ECP devices 12 years ago, CARDIOMEDICS has been the #1 manufacturer and direct seller of these devices in the industry having manufactured and placed over 1,000 units worldwide in the last five years alone. At a price tag of $65,000 per unit, with competitive pricing at $85-90,000 direct to hospitals, they hold an impressive record. CARDIOMEDICS has long been committed to developing quality diagnostic and therapeutic devices. Their dedication to providing innovative products has made CARDIOMEDICS a recognized leader in the medical industry. CARDIOMEDICS holds FDA Certified Manufacturer status identified by FDA Registration # 2024089. cardiomedics.com
  • 30. 30 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3. Operations “ “ “Successful people aren’t born that way. They become successful by establishing the habit of doing things unsuccessful people don’t like to do. The successful people don’t always like these things themselves; they just get on and do them.” Zig Ziglar
  • 31. 31 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.1 Milestones To Date: Since incorporation, the Company has achieved the following milestones: Secured lease space in prominent professional office park in a business sector of northern Atlanta which adjoins WhiteScience Undergoing current build-out of 5,000 SF of office, warehouse and training facility space to accommodate new staff Developed the company’s name, logo and website located at innovamedecp.com Developed Business and Marketing Plan and launched 1st phase Marketing Plan Secured top Medical & Business Board Members & Formed Strategic Alliances in the Cardiac Medical community Recruited, hired and trained Director of Sales, EVP of Marketing, Creative Director, Web Development Director, Lead and Acquisitions Manager, Operations Manager, and Trainer. Submitted federal filings to secure Non-Profit 501(c)3 company, trademark and service mark applications Hired President & CEO of Cardiomedics, Inc. July, 2012 Acquired Cardiomedics for $15M September 28, 2012
  • 32. 32 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.2 Key Services Director Focus Innova Medical Technologies, Inc. will focus on developing close investor, entrepreneurial, client and medical community relationships. George Nelson, shall serve on the Board as Co-Chair together with outside Director and Chair, Dr. Charles Schwindt. George continues to head his WhiteScience business operations, and has most largely contributed working capital in the form of debt and seed funding. George provides thought leadership and evaluates the potential of other strategic partners or alliances for the Company Lisa Terry, shall serve on the Board as Treasurer and oversee Board Secretarial duties facilitated through Kaleigh Kohrs, Operations Director. She will serve daily as CEO and shall lead business, marketing and financial program development, and will develop business opportunities and investments synergistically aligned with the company’s goals both domestically and internationally. Further, as Founding Chair of the Company’s Non-Profit she will also direct fund-raising efforts, patient advocacy and regulatory reform initiatives. John McCallum, shall serve as a Board Director, and daily in the role of President and COO. He will at first guide the Company through its manufacturing and regulatory transitions necessary since acquisition. Thereafter, he will act as the lead strategic and corporate planning Partner responsible for negotiating, developing and maintain key relationships to ensure successful implementation of the company’s goals in corporate, strategic, clinical and regulatory capacities, and ensure a continual supply of the Company’s key affiliate, medical, third-party distributor finance, and other potential program affiliates and vendors on a cost effective and solution oriented basis. Irwin Zucker, shall serve as a Board Director and act as CLO and head Manufacturing, R&D and Logistics. He will work together with the Company’s Board on R&D initiatives; direct international markets logistics, development and distribution; facilitate and direct warehouse and inventory personnel and supply chain logistics. David Gregory, the lead sales channel director, will provide one-on-one training and consulting sessions with in-house Trainers, Customer Service and Sales teams; Direct the sales programs and work together with in-house Market- ing Director and personnel to ensure a constant flow of regular marketing campaigns and collateral to satisfy distributor demand and client trends. He will conduct group sessions with client teams and conduct webinars of general interest to clients and potential clients. Innova Medical Technologies, Inc. has a team of support personnel which can be seen in the Company’s organization chart that will provide sales and marketing program and plan development and implementation corporately and for its distributor networks, research and analysis, administrative support, accounting, web development, PR, social media, customer service and logistics.
  • 33. 33 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.3 Personel Letter from the CEO Dear Potential Investors & Friends, I’d like to share with you a little bit of my Grandma’s Wisdom. I am personally very inpatient and with just 20 years left until retirement, and am attempting to take advantage of the time I have left to invest of myself into something that provides much greater rewards than those just for myself. As I’ve aged, I’ve realize the value in helping others and just how precious life is, but I’ll admit, in our ‘whitewater change’ world, I still struggle with the whole ‘Take time to smell the roses’ thing… When my grandmother used to tell me “Without your health you have nothing”, I thought it was just something old people said because they were old and didn’t have their health. As I’ve aged I found out she was right about your health, and left as part of her legacy to 5 children and 44 grand and great- grandchildren her wisdom and other truisms that I’ll never forget “The greatest wisdom comes from age and experience”, “Experience is just another word for failure”, “Learn to better each day what you’ve done before”, and her personal motto “live for more than yourself, do good for others, and good will find you”. Interestingly, her wisdom is personified in what we have cre- ated in this opportunity we present to you. I think that we can all agree that diversification of your portfolio is essential to meeting the goals you have set for yourself and your family. For clarity, by diversification we are not talking about Vegas slots or Florida swamp land. If you’ve invested there, this opportunity may not be right for you. My Grandma warned me about Vegas and Florida land, and would never hesitate to ask me every time we talked… I’m certain we all agree that the stock market today is a much different animal than when you likely began investing, and in fact some may compare it to the Vegas slots. For most of us we are as uncomfortable investing the majority of our case money into the slots as we are into a market that has proven to be incredibly volatile and speculative. Whether the fault of the real estate bubble that burst, Florida swamp land that never got those federal highway funding dollars, international influences or super-computing – the game has been changed. For most of us, our home is our primary real estate investment, unless of course yours is in the Bayou… not saying vacation homes are a bad thing. Those fortunate enough to have capitalized on the lowered home values by purchasing rental homes or for renovation to flip the properties, realize how much work this truly is simply managing tenants or contractors is a business of its own! It is a full-time job with potential long-term gains… for the very dedicated and patient. I’d rather be on a beach in Jamaica! I’ll share with you one last grandma-ism… “Don’t sit on the porch of life waiting for an opportunity tree to grow in your front yard. You gotta work the ground, plant the seed, and put your hand to cultivating it to get the biggest and bestest fruit!” Okay, so she wasn’t always grammatically correct, but through wisdom earned and by endeavoring to do better than what we’ve done before, through this opportunity, we will do good for many others, while finding much good along the way for ourselves. I’m sure you’ll agree that sitting on the porch waiting for stock gains, real estate equity, or our interest bearing accounts to actually become profitable is a fruitless endeavor. So, what’s next? Recognize that if you want to become wealthy in less than 15-30 years, you have to leverage more than your money and the financial markets. You have to leverage yourself. There’s more to the wealth equation than spending less and saving more… you also need to reinvent yourself and devise new strategies for earning more. That’s what Innova Med is all about. I hope that you decide to join us in our journey. Thank you for your interest. Sincerely -
  • 34. 34 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.3 Founder’s Bio | Lisa Terry SUMMARY BIOS: Innova Medical Technologies, Inc.’s most valuable asset is the expertise and experience of its founders, George Nelson and Lisa Terry CHIEF EXECUTIVE OFFICER | Lisa R. Terry From Her earliest academic successes as a member of the President’s Junior Achievement Council throughout her middle and high school years, to her nomination as Class President in her Jr. & Sr. years, to being among the first students selected for the International Baccalaureate Program within the State of Florida, Ms. Terry has always enjoyed learning, growing and leading and has never been satisfied with less than superior accomplishments. Her first achievement in the professional world was evidenced when she became the youngest Registered Investment and Insurance Annuities Broker for Prudential Bache Securities. Ms. Terry attended Rollins College as part of the IB program during her Sr. high school year and transferred to the Uni- versity of Central Florida with a major in Psychology. From there, she translated her education into sales and business psychology and has spent the past 25 years in business and market development. After several years in investment sales, she divested her interests into business consultation first developing a wireless telecom start-up, GlobalComm, where she structured a PPM, negotiated the acquisition of a failing broker-dealership, brought it in-house and managed a staff of 176, which securities staff underwrote and sold over $119M in private placement shares. She successfully negotiated a merger- acquisition with the public company MetroCall/USA Mobility 6 years later, who still utilizes today the IVDS technology they developed. She sold her stock position to MetroCall as the second largest shareholder position which profits she invested into her own publication and commercial real estate holdings. She served as the youngest and only female on the GlobalComm Board. An entrepreneur at heart, she formed and built a national magazine publication, which exit strategy equaled a buy-out from the #7 magazine in the world. Her gains led to personal investment and later consultation in SE regional commercial real estate developments, which exclusive JV’s, acquisitions and developments grew a $20M p/yr Georgia based brokerage into a regionally recognized retail development concern posting over $240M annual sales within 4 yrs. Receiving professional accreditation through the SEC and National Association of Realtors, Ms. Terry understands that knowledge is power, and worked for two years to obtain her Executive MBA in International Entrepreneurship (MBA/IEnt) graduating in 2011 from the J. Mack Robinson College of Business at Georgia State University in Atlanta, Georgia, Her successful consultative and development practice experience led her to WhiteScience five years ago where she was engaged by Mr. Nelson to develop and execute creative sales solutions and distribution methods for WhiteScience’s primary product lines and to head Inter- national Acquisitions. The unique opportunity developed into a lucrative role as an active Board Member and Principal, which combined accomplishments have been evidenced by the successful development of exclusive entrepreneurial market distribution programs growing Net income of $2M per year to over $20M per year each year.
  • 35. 35 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.3 Founder’s Bio | George Nelson CHIEF FINANCIAL OFFICER | George P Nelson MANAGING PARTNER, George P. Nelson Innova Medical was formed by George P. Nelson and Lisa R. Terry, both equal founding equity partners and majority owners. Mr. Nelson’s 40 years of entrepreneurial and investment success has included experience as a Wall Street investment advisor and personal representative of Mr. Fred Kassner, Owner of Sea Escape Cruises and Liberty Travel, during which he developed the most successful travel incentive certificate program in the travel industry; ownership of the third largest advertising agency in Florida, and separately a promotional sales and marketing firm, together with franchise ownership. A simple dental visit 11 year ago to receive a very painful teeth whitening spurred his innovative thinking to create a better solution. Within a year he invested and acquired controlling interest in Innovative Medical & Dental Solutions, Inc. (IMDS). IMDS was an internationally publicly traded R&D company, dental device and technology manufacturer. In 2003, IMDS was merged to form WhiteScience. He holds a B.S. Degree in Finance from Michigan State University. 8 years ago, WhiteScience uniquely positioned itself by making the R&D and capital investments necessary to move outside the dental industry into the cosmetic industry as the first cosmetic teeth whitening ‘market-maker’, and in doing so brought teeth whitening out of the dental office creating the new teeth market segment in a multi-billion dollar cosmetic industry space. WhiteScience spent over $4M in the creation of patents and proprietary technologies that today remain superior in the industry in both equipment and products in the dental industry. These technology advancements made it possible for exclusive market owners, distributors, spas, salons, malls, and resorts to offer their customers professional grade teeth whitening products and zero side-effect procedures, using self-administered applications that uniquely removed stains rather than bleaching teeth, and eliminated the need for licensed dental professionals. WhiteScience was born out of the need for change, offering more diverse, convenient and affordable solutions to consumers, and a result boasts over 3,500 independent dealers and distributors. The exclusive international distributor program expanded the WhiteScience product lines worldwide over the last 3 years into 36 countries.
  • 36. 36 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.3 Founder’s Bio | John McCallum PRESIDENT and COO | John McCallum John McCallum, was born in Scotland, UK, and attended The Metropolitan University of Manchester where he gradu- ated with an Honors degree in Biological Sciences. Mr. McCallum has nineteen years experience in business development, product sales, and distribution management in the medical device and healthcare industries and is responsible for leading the Innova Medical Technologies team and creating a global success for the company. Mr. McCallum began his career in the medical industry as a local sales representative for Cardiokinetics, a capital equip- ment distribution company in the UK, before relocating to the US where he held the position of Sales Manager of Asia Pacific and Latin America for Medical Graphics Corporation. He then became the Vice President of Sales and Marketing at Compumedics based in Australia and Cortex GmbH of Leipzig, Germany before becoming President and CEO of Car- diomedics Inc., a manufacturer of non invasive cardiac therapeutics for the treatment of Angina and Congestive Heart Failure in the United States.
  • 37. 37 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.3 Management CHIEF LOGISTICS OFFICER | Irwin Zucker Mr. Zucker is a founding partner of WhiteScience and has been instrumental in driving its engineering, R&D, operations, product design and packaging, as well as marketing communica- tions design and content. In his long career, he profitably brought to market hundreds of mixed- technology products, many wining prestigious Design and Engineering Awards. He has served in leadership positions in R&D, Product Development and domestic and interna- tional marketing for a number of multi-national firms, including a Fortune 1000 company and a large, Japanese multi-national. He has also managed operations, including manufacturing, design and regulatory compliance for enterprises regulated by FDA as well as foreign govern- ment compliance agencies. His background is wide and varied, having served — at the request of major creditor Bank of America — as the acting president of a defrauded public company, operating it while under compliance with Federal bankruptcy court rulings. There he successfully restructured the firm and brought it to operating break even within a few weeks. He subsequently broke the firm into separate operating units, selling off each one individually. Mr. Zucker served for four years in the volunteer post of Chairman of one of the key standards- setting committees for the Electronic Industries Association, where he led the creation of many design standards for analog and digital devices. He holds a Bachelor’s degree in Business Administration from California State University where he also completed extensive post graduate work in communications. He studied engi- neering while a member of the U.S. Army, where he was certified as and served as an instructor of technology. He furthered his studies at UCLA Graduate School of Business, participating in a seminar course in Management of New Product Development, and a Cal Tech Extension where he studied Robust Design and Total Quality Management. He is also an award-winning writer and photographer. “The Founders share a core set of principles, including ‘Bring only the best to market”’ Having a perfectionist mindset ensures that services, products and programs exceed expectations, surpass consumer standards and most importantly provide unsurpassed customer satisfaction.”
  • 38. 38 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.3 Management CHIEF SALES OFFICER | David Gregory Having a 25 year impressive capital medical equipment sales record, and with 15 years in sales with Applied Cardiac Systems, Inc. (ACS) as their top national producer, David Gregory has agreed to head the Pulse Sales program. David is a graduate of Georgia College and State University. He began his career with a National Automotive Parts Wholesaler and managed a rapid expansion throughout the Southeast. He developed new product branding as well as distribution centers across the Sun Belt from Texas to South Florida. In 1998, he joined ACS where he quickly became a top producer. He has consistently ranked as number one sales representative across both Hospital and Physician sales groups. David currently resides in Covington GA where he serves on both civic as well as professional boards. Mr. Gregory primary residence is in Georgia near the corporate offices of Innova Medical. He will facilitate a trans tion away from the industry’s long-held direct sales model to our Pulse O2 distribution program, which implementation has already begun. Mr. Gregory has also agreed to serve on the Board of Innova Medical. “CardioMedics together with Innova Med have made a commitment toward the progress of detecting and treating various forms of heart disease. Together we will continually strive to develop innovative medical and patient development solutions for health care providers, profitable investor and entrepreneurial opportunities, and spearhead consumer cardiac education and advocacy campaigns to expand the knowledge of the truth about non-surgical alternatives and better health alternatives for people everywhere.”
  • 39. 39 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.3 Management CHIEF MARKETING OFFICER | Steven M Porter Award-winning Creative Director Steve Porter has spent the last 25 years honing his skills as a graphic designer and market- ing consultant. He joined Innova Med in March of 2012 to direct the company’s creative, advertising, collateral and media campaigns. Multiple successes within the medical field in these same areas won the attention of the Innova Med principals. After graduating with honors from Kent State University, Steve started his career working for a small advertising agency as art director and rapidly moved up to the creative director position with the firm. With a strategic move to Houston, he was hired as creative director for a couple of large ad agencies. As CD for Bozell & Jacobs, Steve handled the Exxon Oil account exclusively. He then joined Ogilvie & Mather as CD and handled several large medical accounts as weel as vaiety of other business to business accounts. After leaving O&M, he was hired as the marketing and creative director for a high-end boating manufacturer in Florida where he concentrated his efforts to help build the firm into an internationally successful boating and recreation company. Tired of working for large ad agencies, Steve struck out on his own forming Porter Design in 1991 working as a creative marketing consultant and designer producing award winning marketing material for Fortune 500 firms as well as other business to business firms. Steve’s strong suit is print however, in 1997, he saw the wave of the world wide web approaching and got on board with designing interactive websites and then helping companies build a following utilizing social media and SEO endeavors. Steve also has a very strong background in photography which aids him as the driving force behind every creative project he takes on.
  • 40. 40 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.3 Management SEO and ONLINE PR DIRECTOR | Peter Helander Peter Helander is an experienced marketing professional that likes to help companies grow and be the best they can be and is very passionate about it. He is a visionary that is driven and makes sure to deliver. During the last 15 years he has worked mostly with online marketing and helped many large companies to get their websites to support their business goals and in many cases increased sales by 30-40%. He has mainly worked with SEO, PPC, Affiliate Marketing, UX (Usability) and Analytics. He feels that his background, experience, education and business acumen would be a perfect fit for this position and a perfect next step in his career. He is very excited about the concepts as well as all cross-promotional-, selling- and marketing opportunities that lies ahead. In online marketing I have managed small teams up to 11 people and in the offline word I have managed creative groups at two agencies in Sweden that were also fairly small 4 to 7 people. Peter has an MBA in Technology Management, a BS in International Marketing and a DRMI/Associate in Public Relations and is also Certified Web Master, Google Certified and Yahoo certified. AREAS OF EXPERIENCE AND EXPERTISE: • SEO • PPC • Affiliate Marketing • email Marketing and surveys • UX • Analytics • Public Relations
  • 41. 41 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.4 Hiring Plan SUMMARY: Summary: Innova Med has not only developed, but has prepared to launch a remarkably expansive program that has the capacity to ensure the better health of millions of people worldwide, and grant them a quality of life never achievable before. Our exceptional workforce with a long history of employee retention, as well as key management personnel such as David Gregory, National Sales Director with 15 years in capital medical ECP sales; Peter Helander, Marketing Director, who holds an MBA in SEO and online marketing and prior 10 years with IKEA as EVP of Brand Development; Kelvin Morgan,Product Development Director with a BS in Mechanical Design and 20 years with companies such as Toyota, Coca‐Cola, and other Fortune 500’s in relative positions. Owners George Nelson, CEO and Managing Partner with a BS in Business and 40 years of successful entrepreneurial experience; Lisa Terry, COO and Managing Partner with a BS In Finance and MBA in International Entrepreneurship; and, Irwin Zucker as Logistics Officers who holds several degrees in engineering, logistics, and business. IMT’s Board of Directors include Kimberly Bingaman, MD, a prominent Board Certified neurosurgeon, and head of Neurology at Texas Hospital, and Mickey Korpman, MD and innovative medical patents researcher with well recognized industry accomplish- ments; Gray Bishop, EVP of Medical Services Associates of America and owner of 9 clinics and nursing facilities, together with David Gregory, Kelvin Morgan and Mark Zamalloa, a successful business entrepreneur and investor make up a well‐ rounded team of experts and advisors. Personnel Required:  In order to launch the business we do not need additional personnel, but will hire personnel as reflected on the chart hereafter within the next 30 to 60 days for a total operational requirement for the 1st year of 20.
  • 42. 42 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.4HiringPlan Position HEADCOUNTS Salary perannum FoundersManaging|LisaTerry FoundersManaging|GeorgeNelson President|JohnMcCallum NationalSalesDirector-Distribution|DavidGregory SalesSupport MarketingDirector|StevePorter PR/MarketingSupport Engineering OperationsManager|Staff SalesPersonnel|Trainers|Managers Warehouse|ManufacturingPersonnel CustomerServicePersonnel ExecutiveAssistanttoPartners Bookkeeping|Accounting Receptionist|GeneralAdministration TotalSalary IncrementalHeadcount TotalHeadcount $180,000 $180,000 $120,000 $84,000 $30,000 $62,400 $40,000 $40,000 $38,000 $36,000 $35,000 $25,000 $36,000 $40,000 $25,000 $971,400 0 0 1 1 0 1 0 0 1 0 2 1 0 0 0 0 0 1 1 1 1 1 1 1 2 2 1 1 1 1 1 1 1 1 1 1 1 1 1 2 2 1 1 1 1 1 1 1 1 1 1 2 1 1 2 2 2 2 1 1 1 1 1 1 1 1 2 1 1 2 2 2 2 1 1 1 1 1 1 2 1 2 2 2 3 4 4 2 2 2 1 1 1 1 3 1 2 2 2 6 5 4 2 2 2 1 1 1 1 4 1 2 2 2 6 5 6 2 2 3 1 1 1 1 4 1 3 2 2 8 6 6 2 2 3 1 1 1 1 4 1 3 2 2 10 6 6 2 2 3 1 1 1 1 4 1 3 2 2 12 6 6 2 2 3 1 1 1 1 4 1 3 2 2 14 6 6 2 2 4 Quarterly Q1FY1Q2FY2Q3FY3Q4FY4 FY1 Q1FY1Q2FY2Q3FY3Q4FY4 FY2 Q1FY1Q2FY2Q3FY3Q4FY4 FY3 $99,850 782382544223 71517202830353943454750 $170,600$260,600$285,850$353,100$368,100$411,350$437,600$474,350$492,350$510,350$534,600
  • 43. 43 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3.4HiringPlan Position HEADCOUNTS Salary perannum FoundersManaging|LisaTerry FoundersManaging|GeorgeNelson President|JohnMcCallum NationalSalesDirector-Distribution|DavidGregory SalesSupport MarketingDirector|StevePorter PR/MarketingSupport Engineering OperationsManager|Staff SalesPersonnel|Trainers|Managers Warehouse|ManufacturingPersonnel CustomerServicePersonnel ExecutiveAssistanttoPartners Bookkeeping|Accounting Receptionist|GeneralAdministration TotalSalary IncrementalHeadcount TotalHeadcount $180,000 $120,000 $84,000 $30,000 $62,400 $40,000 $40,000 $38,000 $36,000 $35,000 $25,000 $36,000 $0 $0 1 1 1 1 1 2 1 1 2 2 2 2 1 1 1 1 1 4 1 2 2 2 6 1 2 2 2 3 1 1 1 4 1 3 2 2 14 1 2 2 2 4 1 1 1 4 1 3 2 2 14 1 2 2 2 4 1 1 1 4 1 3 2 3 14 6 6 2 2 4 Annual FY1FY2FY3FY4FY5 $816,900 1911101010 1930404050 $1,570,150$2,011,650$1,503,400$1,816,400
  • 44. 44 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 4. Industry Analysis “ “ “No enterprise can exist for itself alone. It ministers to some great need, it performs some great service, not for itself, but for others... or failing therein, it ceases to be profitable and ceases to exist.” Calvin Coolidge Facts:  • Cardiovascular disease affects more than 70 million people in the US and is the leading cause of death for American men and women, accounting for nearly 1 million fatalities every year.  • After diagnosis, men suffering from heart failure have a median survival of only 1.7 years, and women have a median survival of only 3.2 years. Furthermore, heart disease is a leading cause of premature and permanent disability among working adults in the US.  • The economic impact of cardiovascular disease is staggering: this single health issue will cost the US approximately $400 billion this year, including healthcare expenditures and lost productivity due to disability and death.
  • 45. 45 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 3 2 1 4.1 Critical Questions Are you aware that people over the age of 55 make up the largest percentage of the population in  the U.S. and will continue to grow at the same time as birth rates decrease?    HINT: Those ages 65 and older now exceed 35 million, a number poised to explode. January 2011 ushered in the  first of approximately  77 million Baby Boomers, born from 1946 through 1964 and are surging toward the gates of retirement. Between 2000 and 2010,  the 45 to 64 population grew 31.5 percent to 81.5 million, and now makes up 26.4% percent of the total U.S. population. This  rapid growth is due to aging of the Baby Boom generation. Each year more than 3.5 million Boomers turn 55. Their swelling numbers  predict that…   By 2012, America’s 50 and older population will reach 100 million. And according to the UN Population Division,  1 in 5  people are expected to be 65 or older by 2035.    Read more: www.transgenerational.org/aging/demographics.htm#ixzz1np3ZOMql    Do you believe that the aging population will equate to a similar increase in cardiac related diseases?    HINT: Heart failure is the most common human ailment, but is often misdiagnosed. It affects nearly 8 million Americans. Heart  failure is the only major cardiovascular disorder on the rise. An estimated 400,000 to 700,000 new cases of heart failure are  diagnosed each year and the number of deaths in the United States from this condition has more than doubled since 1979,  averaging 250,000 annually.The 5 million Americans suffering from heart failure received $28.7 million in research dollars. In  comparison, lung cancer research, which affects 390,000 Americans, received $132 million.                      Read more:  www.hfsa.org/heart_failure_facts.asp     Do you believe that the insurance companies, given the economic instability over the last 5 years are  looking for ways to mitigate their risk, both from wrongful death and practices suits, in addition to  reducing their claims expense on unnecessary surgical procedures in favor of non-surgical FDA  approved procedures costing them 50-75% less?     HINT: Health policies and regulatory guidelines have already become effective beginning in 2011 that provide the above benefits,  increase patient choice, give Physicians a 10% bonus for choosing in favor of such alternatives, and with the use of our non‐surgical  medical device for cardiac therapy actually sees an 89% cure rate and a 36% reduction in the mortality rate over surgical procedures, which procedures proved to be ineffective 85% of the time and un‐necessary 50% of the time in the COURAGE study provided in  full as a supplement to our business plan. Read more: Industry reports attached to business plan
  • 46. 46 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 4.2 Medical Device Industry Snapshot Medical device and equipment manufacturers  have faced their share of challenges over the  last several years. Healthcare reform, increased  regulatory scrutiny, reduced hospital budgets,  tight credit markets, and a sluggish economy  have all negatively impacted the valuations of  companies in the $300 billion global industry.   Device and equipment merger & acquisition  (“M&A”) activity, which is typically robust,  has also slowed due to the economic downturn.  Despite these tribulations, an aging population  and consumer expectations for better healthcare  driving technological advancement advances in  medical technology are expected to keep demand  for medical devices and equipment strong  which should translate to a revived M&A market  in the long run, as credit loosens, the economy  improves, and management teams are more  confident in the growth prospects for the industry.  Industry Structure Life Cycle Stage Growth Revenue Volatility Medium Capital Intensity Medium Industry Assistance Medium Concentration Level Low Regulation Level Heavy Technology Change High Barriers to Entry Medium Industry Globilization Medium Competition Level High
  • 47. 47 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 4.3 Medical Device Industry Forecast Global Top 10 Medical Devices Market (2010 – 2015)  By: www.marketsandmarkets.com Publishing Date: June 2011/ Report Code: MD 1620   The study of global top 10 medical devices market is important mainly due to continuous technological advancements  in the medical devices industry and rising demand for medical devices owing to increasing healthcare issues. This report  not only provides a full estimate of the global top 10 medical device technologies market but also gives a detailed analysis  of their most critical micro‐markets, which have remained unexplored so far. The medical devices market is a major  contributor to the overall healthcare industry with the pharmaceuticals industry leading the healthcare sector. The rising  incidence of various diseases in the areas of Cardiovascular devices (CVD), respiratory, oncology, neurology, and many  others have expanded the need for faster and better medical devices for treatment and diagnosis.   The global top 10 medical devices market was expected to be worth $164 billion in the year 2010 and is estimated to  reach $228 billion by 2015, growing at a Combined Aggregate Growth Rate (CAGR) of 6.8% from 2010 to 2015. The  cardiovascular devices, orthopedic devices, and diagnostic imaging devices markets are the major revenue generators for  the medical devices industry.   Scope and Rank:     Due to the globally rising incidence of lifestyle diseases and the increasing healthcare delivery at the private  physician level.  The following markets offer steady growth opportunities, in order of highest growth to lowest.   1. Cardiovascular devices  6. Anesthesia and respiratory care devices 2. Orthopedics devices  7. Dialysis products 8. Ophthalmology devices 3. Diagnostic imaging devices  8. Ophthalmology devices 4. Minimally invasive devices 9. Patient monitoring devices  5. Diabetes devices  10. Point‐of‐care diagnostic devices Point‐of‐care diagnostic devices  Reverse innovations and collaborations form the major growth strategies, especially due  to the growing emphasis on preventative healthcare, and the rising need for more technologically advanced products  such telemetry devices. The $19 billion economic stimulus package for healthcare IT, passed by U.S. Congress in 2009,  has also encouraged collaborations between OEM’s and IT system providers. 
  • 48. 48 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 5. Customer Analysis “ “ “Success can be obtained if you: ...care more than others think is wise; ...risk more than others think is safe; ...dream more than others think is practical; ...expect more than others think is possible.” Karen Ravn
  • 49. 49 Innova Medical Technologies, Inc. Copyright 2012. Confidential and Proprietary. All Rights Reserved. No duplication or transmission of this information without written permission of Innova Medical Principal. 5.1 Our Customers Primary:  Medical Device Distribution Companies (“Distributors”) who wish to act in a market or territorial owner capacity who have established distribution through the Company’s Primary Care Physician target marketplace. Such Distributors shall accept the Company’s requirement to act as ‘change agents’ in and conduct their sales in a VENDING-like capacity, and shall be able to identify and place within five (5) Physician Practices FREE non‐surgical medical devices, such as the External Counter‐Pulsation (ECP) device and other such products as the Company shall provide within established time frames, and achieve minimum patient acquisitions through implementation of the Company’s Pulse program. Secondary:  Primary Care Physicians (PCP’s) such as General Practitioner’s, Internists, Doctors of Osteopathy, are medical doc- tors who the first contact for a person with an undiagnosed health concern, as well as continuing care of varied medical condi- tions, not limited by cause, organ system, or diagnosis. PCP’s are the target market of our Distributors, for which we provide turn‐ key business packages inclusive of business plan, training, marketing, branding, advertising and sales campaign and col- lateral support at all levels from overall business development, target market (physician) development, and physician/ patient support and retention.   Tertiary:  Individuals with target criteria as outlined below:  1. 70,000,0009  people within the U.S. and, who suffer from some form of Cardiovascular Disease10 , and the 970 million people worldwide who have elevated blood pressure (hypertension) and are at highest risk for cardiovascular disease     2. 150,000,000 people worldwide who are estimated to be suffering today with Erectile Dysfunction:  a. It is well known that over the past 50 years the number of men with Erectile  Dysfunction has more than tripled.    b. According to statistics, about 5‐10% of men at the age of 40, and 15‐25% of men  over 60 years old suffer from Erection Dysfunction.     c. Vascular diseases, such as atherosclerosis (hardening of the arteries), hypertension,  and high cholesterol, cause up to 70 percent of erectile dysfunction in men with physical causes.  Atherosclerosis alone accounts for between 50 and 60 percent of erectile dysfunction cases in men over age 6011 .  9  Centers for Disease Control; http://www.cdc.gov/nchs/fastats/heart.htm  10  http://heart‐disease.emedtv.com/cardiovascular‐disease/cardiovascular‐disease‐statistics.html