MedTouch LLC

Massachusetts Capital Resource Co. (MCR) provides mezzanine financing to middle-market and emerging growth companies that have operations in Massachusetts. The firm's investments support growth, finance acquisitions and recapitalizations and provide long-term working capital for companies in a variety of industries including healthcare, services, consumer products, manufacturing, distribution, software and technology. MCRC does not invest in the retail or financial service industries. The firm seeks to complement, rather than compete with, financing provided by senior lenders and equity investors. MCR's investments are structured to fit the specific needs of their portfolio companies and to complement the funding available from senior lenders and equity investors.MCR typically invests in companies with sales of $3 million to $100 million that are profitable at the time of the initial investment. About 80% the firm's investments are structured as subordinated debt, but they also invest in senior debt and preferred stock. MCR's debt transactions generally mature in 7 years and feature fixed-rates of interest, with interest payable currently and amortization schedules based on the company's cash flow forecast. When taking an equity risk, the firm seeks a more open-ended return in the form of warrants for the purchase of stock or a direct equity investment. MCR invests in companies at various stages of development and often supports their portfolio companies with follow-on investments. Investments typically range from $750,000 to $5 million.For companies seeking growth capital, MCR's mezzanine financings typically consist of a long-term, fixed-rate subordinated loan and an equity feature such as warrants.MCR provides senior or subordinated debt for terms ranging from 5 to 10 years to companies seeking to fund permanent working capital needs and capital expansions. Loans range from $1 million to $5 million. Interest rates are determined by market conditions and are fixed over the term of the loan.MCR also participates with management teams, financial investors and senior lenders to finance LBOs, strategic acquisitions and recapitalizations. Their cash-flow oriented investments are structured as subordinated notes with warrants, but combinations of debt and equity instruments may also be used.