Dive Brief:
- Ohio-based HealthSpot is selling off its $5.17 million in assets after filing Chapter 7 bankruptcy, according to the company's trustee, Myron Terlecky, a Columbus attorney.
- The company has $23.27 million in liabilities, and received a $1.5 million loan from the state of Ohio in 2013, Crain's Cleveland Business reports.
- HealthSpot manufactured walk-in health kiosks to facilitate video chats with physicians, had more than 50 placed around the country - 25 in Rite Aid stores in Ohio, and established joint ventures with the Cleveland Clinic, the Mayo Clinic, University Hospitals, and the MetroHealth Systems.
Dive Insight:
HealthSpot CEO Steve Cashman told Crain's Cleveland Business last year that the company's growth challenge was tied to customer awareness.
"After all, walking into a giant box and chatting with a doc through a monitor isn't your average health care encounter," Cashman said. "There's definitely a customer-awareness issue."
There are 1,800 retail clinic locations around the U.S. but competition is fierce and the clinics only represent about 2% of primary care encounters, according to a 2015 report from healthcare consulting firm Manatt Health.