Organization Design
§ 4.1 · Corporate Structure · Two-Entity Model

Legal Entity Overview

A Delaware MSO holds investor equity and employs all non-clinical staff. A Georgia Clinical Entity holds CMS enrollment and employs clinicians. The two are linked by an arm's-length Management Services Agreement. MSO has zero clinical authority.

MSO · Business Entity
Spark Senior Health, INC
Delaware C-Corp · Investor Equity Entity
Holds Investor Equity Board-Governed Employs Non-Clinical Staff Owns Facilities & IP
Owns clinic facilities, equipment, vehicles, and tech stack
Employs all non-clinical staff: billing, ops, MSO leadership
Holds all IP, brand, software contracts, and vendor agreements
Earns management fee from Clinical Entity under arm's-length MSA
Connected by
MSA
Arm's-length · FMV
Management Services
Agreement
~25–40% of clinical revenue
Clinical Entity · Medicare Provider
Spark Senior Health, LLC
Georgia LLC · CMS / PECOS Provider
CMS Enrollment (855B) HPSA Modifier QB/QU Employs Clinicians CLIA Certificate Holder
Holds CMS PECOS enrollment and billing NPI — triggers 60–90 day clock
Employs / contracts NP/APRN, LPN, and Remote Medical Director
Holds GA professional licenses and malpractice coverage per clinic
Pays management fee to MSO · MSO has zero authority over clinical decisions

§ 2.3 / 3 · MSO Leadership · Year-by-Year Build

MSO Team Structure

The MSO employs all non-clinical roles under the Delaware C-Corp. Leadership scales with clinic expansion — 5 named roles at Y1 launch to 12+ named roles by Y3, plus an additional staffing buffer (10% Y1–Y2 · 15% Y3). All W-2 roles carry a 25% benefits load. Merit increases: 1.5% Y2 · 2.5% Y3 · 3.0% Y4–Y5. Roles highlighted in gold are new additions for the selected year.

View Year →
Executive Office
MSO · Spark Senior Health, INC
Chief Executive Officer
Y1 · W-2 · Reports to Board · Hire #1
Chief Financial Officer
Y2 · W-2 · Reports to CEO · Finance & revenue oversight
Chief Medical Officer
Y3 · W-2 · Reports to CEO · v4 addition · clinical quality & protocol
📈
Growth & Market Development
MSO · Spark Senior Health, INC
Chief Growth Officer
Y1 · W-2 · Reports to CEO · community enrollment & market expansion
VP Business Development
Y2 · W-2 · Reports to CGO · NGHS, SNF, faith org partnerships
Community Relations Manager
Y2 · W-2 · Reports to CGO · enrollment outreach · faith & NEMT channels
⚙️
Operations
MSO · Spark Senior Health, INC
Chief Operating Officer
Y1 · W-2 · Reports to CEO · HR, transport, clinic logistics
Operations Coordinator
Y3 · W-2 · Reports to COO · cross-clinic logistics & SOPs
Regional Operations Manager(s)
Y3 · W-2 · Reports to COO · v4 addition · 10-clinic portfolio oversight
💻
Technology & Compliance
MSO · Spark Senior Health, INC
Chief Information Officer
Y1 · W-2 · Reports to CEO · EHR, tech stack, MDM, cybersecurity
Legal / Regulatory Compliance Officer
Y2 · W-2 · Reports to CEO · OIG 7-element, HIPAA, Stark/AKS
Fractional Compliance Officer
Y1–Y2 · 1099 · 4 hrs/mo · via MSO ops budget · pre-Y2 hire bridge
💰
Revenue Cycle & Billing
MSO · Spark Senior Health, INC
Billing Specialist I
Y1 · W-2 · Reports to COO/CFO · CCM/APCM/RPM claim oversight
Billing Specialist II
Y2 · W-2 · Reports to CFO · scales with 6-clinic claim volume
Senior Billing Analyst
Y3 · W-2 · Reports to CFO · denial mgmt, HEDIS, QI reporting
RCM / Commure RCM (Outsourced Vendor)
Y1+ · Vendor · Palmetto GBA J-J submission · not a W-2 headcount
🔒
Staffing Buffer & Reserve
MSO · Unallocated Headcount Reserve
Additional Staffing Reserve (Y1)
budget of 107K
Additional Staffing Reserve (Y2)
Y2 · 10% of Y1+Y2 cumulative · HR contingency & ramp
Additional Staffing Reserve (Y3)
Y3 · 15% of Y2+Y3 cumulative · scale reserve for 10-clinic build-out
v4 Operational Budget Addition
Y3 · CMO, Regional Mgr(s), compliance scaling · carried forward Y4/Y5

§ 2.3 / 5.1 · Clinical Entity · Per-Clinic · Stage-Driven Hiring

Per-Clinic Clinical Team

Each clinic runs its own independent stage clock driven by member count — not by calendar year. Clinical Entity (GA LLC) employs NPs and LPNs. Remote MD is a 1099 retainer. One Driver is present at every active clinic from Day 1. Stage advances trigger mandatory hiring. Roles highlighted in green are new additions for the selected stage.

Clinic Stage →
Supervising Physician · Clinical Entity · 1099 Retainer (Not W-2)
🩺
Remote Medical Director (MD)
1099 retainer · Signs Nurse Protocol Agreement · CLIA Lab Director · Immediately available via phone/Doxy.me during all clinical hours · GA Medical Board
$30,000/yr1099 · no benefits load
Clinical Team · W-2 · Benefits-Loaded · Clinical Entity
👩‍⚕️
NP / APRN #1 — Lead Primary Clinician
S0+ · W-2 · Hired first (triggers PECOS clock) · Nurse Protocol Agreement required · GA 2024: prescribes Schedules II–V · 8:1 MD ratio
$125,000$147,500 loaded (Y1 ×1.18)
🏥
LPN #1 — Field Clinical Support
S0+ · W-2 · Vitals, POC labs (i-STAT), vaccines, CCM/RPM enrollment · GA law: may draw blood with documented phlebotomy training
$52,000$61,360 loaded (Y1 ×1.18)
Care Coordination · Remote · W-2 · Clinical Entity
Administration & Logistics · W-2
🚐
Driver — Member Transport & Logistics
S0+ · W-2 · 1 per active clinic from Day 1 · AM pickup / PM return · Samsara fleet tracking · HIPAA-trained · van is logistics only — no clinical care
$45,000$53,100 loaded (Y1 ×1.18)
0–200
STAGE 0 · LAUNCH
Hiring Triggers
Expected Timeline

§ Clinic Expansion · SPARK Senior Health, Inc. Deployment Sequence

10-Clinic Portfolio Rollout

Clinics open sequentially by FFS member density. Each runs an independent 18-month ramp. Habersham is the flagship — densest FFS market in the portfolio (5,066 FFS members) and first to advance through stages.

Year 1 · 3 Clinics
M1 · Habersham / Cornelia5,066 FFS · Flagship
M3 · Lumpkin / Dahlonega3,946 FFS
M5 · Stephens / Toccoa3,554 FFS
Year 2 · +3 Clinics
M13 · White / ClevelandDual launch with Rabun
M13 · Rabun / ClaytonDual launch
M15 · Union / Blairsville5,571 FFS
Year 3 · +4 Clinics
M25 · Fannin / Blue Ridge
M25 · Gilmer / Ellijay
M27 · Gordon / Calhoun
M29 · Chattooga / Summerville
Year 4 · Steady State
All 10 clinics fully openNo new CapEx · Y4/Y5
+15% headcount triggerMature clinics S2–S3
Panel deepeningCCM/APCM maturing
Year 5 · Full Maturity
10 clinics at 950+ membersTerminal PMPM: $235–$239
S3/S4 across portfolioDual-NP in early clinics
EBITDA ~$8.0MPer v4 financial model
§ 5-Year Headcount & Cost Summary

Portfolio Staffing Projection

All figures reflect the v4 financial model. Clinic headcount shown as total portfolio positions (EOY) — not per-clinic averages. Every active clinic has at minimum 1 NP + 1 LPN + 1 Driver from Day 1. Clinic benefits load is staged (18% Y1 → 25% Y5). MSO benefits flat at 25%.

Role / CategoryYear 1Year 2Year 3Year 4Year 5
CLINIC HEADCOUNT & COST · Total Portfolio · Stage-Driven by Member Count
Active Clinics (by end of year)36101010
NPs / APRNs — 2nd NP triggers at 650 members (S3)39161919
LPNs — LPN #2 added concurrent with NP #239161919
Care Coordinators — PT at S1, FT at S2, 2nd CC at S3/S439161919
Admin / Front Desk — PT starts at S2, FT at S3/S41581010
Drivers — 1 per active clinic from Day 1, W-2, $45K36101010
Remote MD — 1099 retainer per clinic · no benefits load36101010
Total Clinic W-2 Headcount 1338667777
Benefits load on W-2 clinic staff18%19.75%21.5%23.25%25%
Total Clinic Staff Cost (loaded)$836K$3,061K$5,884K$8,963K$9,477K
MSO HEADCOUNT & COST · Central Leadership · 25% Benefits All Years
Executive (CEO + CFO Y2 + CMO Y3)12333
Growth & Market Dev (CGO Y1 + VP/Community Y2)13333
Operations (COO Y1 + Ops Coord + Regional Mgr Y3)113–43–43–4
Technology & Compliance (CIO Y1 + Legal/Comp Y2)1 + frac.22–32–32–3
Revenue Cycle & Billing (Billing I → III Y3)12333
Additional Staffing Buffer10% of Y110% of cumul.15% of cumul.Merit onlyMerit only
v4 Operational Budget Addition+$300KCarried fwdCarried fwd
Merit increases (all MSO staff)Base+1.5%+2.5%+3.0%+3.0%
Total MSO Staff Cost (loaded, 25%)$1,400K$2,382K$3,291K$3,390K$3,492K
PORTFOLIO TOTAL STAFFING (CLINIC + MSO COMBINED)
Total Staff Cost · All Roles $2,236K$5,443K$9,175K$12,353K$12,968K
Notes Clinic benefits load stages 18%→25% Y1–Y5. MSO flat 25%. All staff merit: 1.5% Y2 · 2.5% Y3 · 3.0% Y4/Y5. +15% clinic headcount Y4/Y5 as early clinics advance to S3/S4. MD is 1099 — no benefits load.
Clinic Benefits Load (W-2)
Y1: ×1.18  ·  Y2: ×1.1975  ·  Y3: ×1.215  ·  Y4: ×1.2325  ·  Y5: ×1.25
Merit Increase Schedule (All Staff)
Y1: Base  ·  Y2: +1.5%  ·  Y3: +2.5%  ·  Y4: +3.0%  ·  Y5: +3.0%
MD Retainer by Stage (1099)
S0: $30K  ·  S1: $34K  ·  S2: $42K  ·  S3/S4: $54K  ·  No benefits load
MSO · Spark Senior Health, INC · Delaware C-Corp

MSO Staff Structure · Year-by-Year Growth

All non-clinical staff. 25% benefits load all years. Merit increases: +1.5% Y2 · +2.5% Y3 · +3.0% Y4–Y5. Gold nodes = new addition for that year. Dashed nodes = 1099 advisor / contractor.

Existing role
New this year
1099 advisor / contractor
Year 1 Launch · 3 Clinics 5 named roles · $1.4M MSO cost
5 named roles + 10% staffing buffer
Advisory · 1099 Contractors
Legal / Compliance Advisor
1099 · HIPAA, OIG, Stark
Financial Advisor
1099 · Finance & accounting
HR Advisor
1099 · HR, Rippling
Medical Advisor
1099 · Clinical oversight
Year 2 Scale · 6 Clinics +5 named hires · $2.38M MSO cost
10 named roles + 10% staffing buffer
Advisory · 1099 Contractors
Medical Advisor
1099 · Clinical oversight
Year 3 Build-Out · 10 Clinics +4 named hires + $300K v4 addition · $3.29M
14–15 named roles + 15% staffing buffer + $300K ops
Years 4–5 Steady State · Full Maturity No new named hires · merit increases only
Same structure as Y3 · +3.0% merit Y4 & Y5

Y4: $3,390K · Y5: $3,492K · +3.0% merit annually. No new headcount.


Clinical Entity · Spark Senior Health, LLC · Georgia LLC · CMS Provider

Per-Clinic Staff Structure · Stage-Driven Growth

Each clinic runs its own stage clock driven by member count. Charts show expected stage per year for a typical clinic. Remote MD is always a 1099 retainer. Teal nodes = new addition at this stage.

Existing role
New this stage
1099 contractor
Stage 0 Launch 3 clinics · 0–200 members each
4 roles per clinic · $836K total clinic cost
Stage 1 Building 6 clinics · 200–400 members
5 roles per clinic · $3.06M total clinic cost
Stage 2 Steady State 10 clinics · 400–650 members
6 roles per clinic · $5.88M total clinic cost
Stage 3 Two-NP 10 clinics · 650–800 members
9 roles per clinic · $8.96M total clinic cost
Stage 4 Full Clinic 10 clinics at S3/S4 · 800–1,000 members · terminal PMPM $235–$239 · $9.48M total clinic cost
9 roles per clinic · NP #1 promoted to Lead · dual care coordinators at $58K · full maturity