Over the summer, I made two changes to the Medical Savings and Loan design.
I was originally thinking of the MS&L as a business plan for a single business that would hold both the savings and lending accounts.
The problem with such a design is that if the lending accounts are underfunded, a single company is likely to raid the savings accounts. I decided that it would be better if the accounts were held by two different corporate entities.
The lending reserves would be held by a financial firm dedicated to making medical loans. The savings accounts would be in a bank of the client's choosing.
I admit, a primary reason for this change is paranoia. If the powers that be decided they wanted to destroy a MS&L, they would have an easy time going after and destroying the lending portion of the company. They would have a bear of a time confiscating individual savings accounts held in multiple banks.
I am now thinking of the MS&L being more of a nexus of companies than as an individual company.
Creating a nexus of businesses might be easier than trying to create one big business that tackles the whole puzzle of self-financing health care. A nexus of businesses could draw in entrepreneurs who want to start their own business. Such a program could also interface with the myriad of existing financial advisors and banks that would be happy to provide additional financial services.
Instead of having one business model for a monolithic Medical Savings and Loan, I now have a collection of connected business models that together form the functions of a medical savings and loan.
If you are an entrepreneur, financial advisor or financial institution that wants to help people self-finance their health care, you can contact me. Just a few entrepreneurs owning their own companies and working together could change the world.
Tweet button: Tweet