
244 - The Math Behind a $100M Concierge Medicine Business with Sandeep Palakodeti
Nikonomics - The Economics of Small Business
Outro
Host Nik asks for reviews and subscriptions, summarizes how listeners can support the show, and closes the episode.
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Join me, Nik (https://x.com/CoFoundersNik), as I interview Dr. Sandeep Palakodeti (https://x.com/DrDeepMD).
I was excited to welcome Dr. Sandeep Palakodeti, also known as Dr. Deep, to talk about his revolutionary company, Velocity Health.
This concierge precision medicine clinic is addressing huge macro trends, particularly the demand for better healthspan and longevity. We unpack why someone would leave a top institution like the Mayo Clinic to start a business aimed at solving the "sick care" problem of American healthcare.
Dr. Deep contrasts the standard transactional 7-minute primary care visit with Velocity Health’s functional medicine approach, which focuses on root cause medicine and objective diagnostics like VO2 max, DEXA scan, and the coronary artery calcium scan. We also dive deep into the business model, exploring how Velocity Health scales as a 50 state virtual practice, utilizes the MSO PC model for regulation, and maintains an attractive CAC to LTV ratio through its recurring revenue plans.
If you’re an entrepreneur who believes preserving health is as crucial as preserving wealth, this episode is a must-watch.
Questions This Episode Answers:
1. Why did an institutional physician leave major hospitals like the Mayo Clinic to start a cash pay medical practice?
2. How does a concierge precision medicine approach fundamentally differ from a traditional 7-minute primary care visit?
3. What advanced diagnostics, like the VO2 max test, are the most critical KPIs for assessing longevity and health risk?
4. From a regulatory and business perspective, how does the MSO PC model work for healthcare startups raising outside capital?
5. How can a subscription-based healthcare service maintain an appealing CAC to LTV ratio using a longitudinal relationship model?
Enjoy the conversation!
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This week we covered:
00:00 The State of Healthcare Today
05:00 Emerging Trends in Concierge Medicine
10:09 The Shift to Preventive Care
14:46 Understanding Functional Medicine
20:05 The Role of Technology in Healthcare
24:55 The Business Model of Velocity Health
30:04 Patient Experience and Engagement
34:48 Future of Healthcare and Personalization


