XML 33 R19.htm IDEA: XBRL DOCUMENT v3.24.3
Related Parties
9 Months Ended
Sep. 30, 2024
Related Party Transactions [Abstract]  
Related Parties Related Parties
Transactions Notes Receivable
The Company enters into promissory notes with physicians of the Company. The notes receivable balances are satisfied through cash payments or settlements through the physicians’ compensation as part of their employee agreement. The notes receivable are amortized over a 60-month period as a reduction of compensation. The notes bear interest at the Company’s incremental borrowing rate (6.63% at September 30, 2024 and 7.18% at December 31, 2023, respectively).
As of September 30,
2024
As of
December 31,
2023
Original
Principal
Issue
Date
Maturity
Date
Notes receivable
Note 2*$157 $656 $5,355 5/1/20194/30/2024
Note 317 491 6/1/20195/31/2024
Note 81,640 2,081 2,816 5/1/20205/1/2025
Note 10310 310 7/12/20247/12/2029
Note 11250 250 9/20/20249/20/2029
Total notes receivables2,357 2,754 
Less:  Current portion of notes receivable(1,980)(1,604)
Notes receivable, less current portion$377 $1,150 
*The Company is in the process of extending maturity date for this note.
Leases
The Company has operating leases for eleven of the office facilities owned by employees of the Company. Total cash was approximately $0.5 million and $1.8 million paid for leases to related parties for the three and nine months ended September 30, 2024.

The Company has operating leases for ten of the office facilities owned by employees of the Company. Total cash was approximately $0.6 million and $1.9 million paid for leases to related parties for the three and nine months ended September 30, 2023.
Inventory Purchases/Concentration Risk
The Company purchases the majority of pharmaceuticals inventory from a subsidiary under common control of a Legacy AON Shareholder. During the three months ended September 30, 2024 and 2023, the Company purchased approximately $395.0 million and $268.0 million, respectively, from the related party. These purchases were approximately 91% and 86% as a percentage of cost of revenue for the three months ended September 30, 2024 and 2023, respectively. During the nine months ended September 30, 2024 and 2023, the Company purchased approximately $1,081.0 million and $774.0 million, respectively, from the related party. These purchases were approximately 91% and 88% as a percentage of cost of revenue for the nine months ended September 30, 2024 and 2023, respectively. At September 30, 2024 and December 31, 2023, the Company had $144.0 million and $120.9 million, respectively, included in accounts payable for invoices from the related party, representing 92% of accounts payable at each period-end.