Empower Clinics Accelerates Growth of Research and Clinical Trials Division with Signing of Two Additional Principal Investigators at First Site in Dallas, Texas - Seite 2

• The key metrics that impact the success of each trial for the SMO are:
  • Patient enrolment per trial
  • Patient stickiness per trial
  • The term, length, and possible extension per trial
  • The number of active trials under management.
• As an SMO, Empower expects to have multiple PI's managing multiple trials
• Successful new drugs have a significant anticipated value to Sponsors, the Sponsors are motivated and incentivized to keep trials on track via timely payments
• Contracts come with extremely detailed payout schedules for every single touchpoint and element of every project
• Expenses and payouts follow a generally standardized formula:
  • PI's are typically paid a percentage of the contract value
  • Empower as the SMO operates with a variable cost model and far superior cash flow control than in any previous medical business model
• Empower limits and eliminates capital expenses related to:
  • Opening a clinic
  • Buying a clinic
  • Entering into long-term leases
• Empower anticipates much improved cash flow economics each month and quarter, which are expected to improve as scale is achieved

"This model represents an entirely different and superior cash model for Empower, which runs with very low overhead and internal headcount." stated Steven McAuley, Chairman and CEO. "This absence of substantial capital requirements is not only a smarter business but is also incredibly timely given the difficulties small cap companies are facing accessing capital for operations in this challenged environment".

The CRO Services Market in terms of revenue was estimated to be worth $76.6 billion in 2023 and is poised to reach $127.3 billion by 2028, growing at a CAGR of 10.7% from 2023 to 2028 according to a new report by MarketsandMarkets.^[1] Factors such as continuously growing pharmaceutical, biotechnology and medical device R&D pipelines and technological advancements in the clinical trials process are driving the growth of this market. In recent years, the costs associated with drug and product development have increased significantly, driving pharma, biotech, and medical device companies to look for partnerships to drive modernizations and smarter ways of conducting business.