Why 6 out of the 10 largest MSOs in the US use Medvelle

Six of the ten largest aesthetic MSOs in the US use Medvelle to manage their inventory and procurement. The obvious question is why. The obvious answer is lower supply costs. That's part of it. It's not the whole story.

The real story is equity value creation. In PE-backed healthcare, every operating decision eventually gets measured in what it does to the equity the sponsor will eventually sell. Procurement looks like a back-office function until the numbers get walked into a valuation model. Then it becomes one of the highest-leverage decisions on the operator's desk.

Two numbers set enterprise value, and Medvelle moves both

Every PE-backed deal in healthcare runs on the same equation: enterprise value equals EBITDA times a multiple. EBITDA is the closest read on the operating cash the business generates; the multiple is what a buyer pays for each dollar of it, reflecting how much they trust the earnings and how much they like the business.

Both numbers compound. For a business with $20M of EBITDA at 10x ($200M of enterprise value), a $2M EBITDA improvement adds $20M. If the multiple also moves up a turn, that adds another $20M. Do both at once and $22M × 11x = $242M, a $42M gain versus the $40M from the two levers applied separately. That extra $2M is the compounding.

How Medvelle improves EBITDA

1. Lower COGS. Most operators assume the market is efficient on basic consumables. It isn't. Medvelle sees pricing across hundreds of aesthetic locations (the benchmark no single operator can replicate) and typically delivers 25% savings on the discretionary supply spend the platform touches, roughly 20% of total COGS. That is a 5% total COGS reduction: for a $5M location with COGS at 35% of revenue, $87.5K of EBITDA that would not have existed otherwise: $875K of enterprise value per location at 10x, $17.5M across a 20-location MSO from this lever alone.
2. Overpayment and invoice-leakage prevention. Wrong pricing tiers, duplicate orders, credits never applied, rebates never collected. Medvelle pays the supplier directly and invoices the client afterward: every order, delivery, and supplier invoice verified against contracted pricing before the client is ever billed. Every dollar caught is a dollar of EBITDA that would have leaked out.
3. Procurement and finance labor absorbed by software. Accrual COGS reports, AP reports, usage reports, end-of-month reports, all produced by the platform, downloadable live. Roughly 80% of all orders are placed by Medvelle's recommendation engine rather than manually, and the saved operating expense flows straight to EBITDA.

How Medvelle supports the multiple

Reduced operational risk. Buyers pay more for businesses that run predictably. In most MSOs, procurement runs on single points of failure: a few people, a few supplier relationships, a few manual processes. Medvelle's recommendation engine handles reordering, price checking, bundling, and supplier routing across a network of 600+ suppliers.

Financial clarity. Diligence teams get spend by location, by service, by month, reconciled to invoices, downloadable live. When the buyer's team can get clean answers instantly, there are fewer places to push for a lower price.

Audit readiness. Findings on the audit, especially on COGS, undermine buyer confidence and turn into discount pressure. Medvelle structures the documentation the way an auditor traces it: faster COGS testing, fewer findings, no last-minute scrambles.