MT PPM 080515-nl

Mother’s Touch, Inc.

PLAN OF OPERATIONS Mother’s Touch is a service business model that provides high quality compassionate care to people with a life-limiting illness wherever they reside. The primary demographic (84%) of individuals in hospice care is age 65 and older. The Company’s immediate strategic goal is to create a profitable business model in Denver, CO that can be expanded within the Denver Core Based Statistical Area (CBSA). Colorado state’s population of those residents over 65 is expected to increase by just over 100 percent from 2010 to 2020. Mother’s Touch has a simple service concept built on experienced management; unique knowledge of the patient needs; proven capability to acquire Medicare certification which creates the ability to implement a complex operational service that can generate above average financial returns. The current location is in Wichita. As soon as Investor loans are committed, current owner's plan is to establish an office from the President's home in Denver. Medicare allows applicants to operate a hospice in a residential home. This strategy will be employed by the current owners of Mother’s Touch as it has been done by them in the previous 2 start-up situations. However, as soon as Medicare Licensure is obtained, appropriate commercial space will be leased for operations. After the relocation, the Company plans to prepare its policies, procedures, and processes for survey/review. This will be an additional deployment of capital from the offering proceeds. Location, location, location… Denver was the 5th Fastest Growing U.S. City in 2014 according Forbes [2015]. In an article by Jackie Fortier titled ‘Are You Ready?’, Ms. Fortier wrote in 2014 that, “Metro Denver has jumped to No. 6 of Forbes’ annual ranking of the 20 fastest growing cities in the nation”.

The Colorado Department of Local Affairs also estimates (as of 03/31/2015) that the four, targeted counties of Adams, Arapaho, Denver, and Jefferson have a 2015 projected, total population of 2,356,449.

Hospice utilization is the percentage of Medicare beneficiaries that are also on hospice. In the Denver area it was 52% in 2013 which was below an estimated max 70% potential utilization per Hospice Analytics. Jefferson County utilization was 56.3%. It has a higher percentage of elderly population than the other targeted counties. Those counties of Arapahoe, Adams, and Denver had utilizations of 51.2%, 51.0%, and 50.6%. These are all above the national average of 45.4%, but there are reasons for that. The Denver area has a superior health care system thereby providing better community education about hospice.

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