NEW MEDICARE, MEDICAID REIMBURSEMENT RULES PUT INCREASED PRESSURE ON VC-FUNDED MEDICAL START-UP COMPANIES

The recent release by the Centers for Medicare and Medicaid Services (CMS) of its final FY07 rule substantially revising the Inpatient Prospective Payment System (IPPS) underscores the need for start-up medical companies — and the investors who underwrite them — to plan very carefully what markets and treatments they choose to invest in, says leading venture capital firm ONSET Ventures. Otherwise, they may face ending up with a product that is not reimbursable under the rules.
Business Wire