Physical therapy products supplier opens retail outlet

Jeff Worrell knows a thing--or two-about starting a small business.

Worrell, now owner of Advantage Medical Equipment and Supply Inc. in Carmel, found himself in a desperate situation five years ago when his partner shut down the business they shared.

The two had formed Advanced Medical,

Worrell has rebounded well, however, by starting from scratch. His current company is expanding to offer more services.

In April, he will move his business from Carmel Drive to 12400 Old Meridian St., also in Carmel. He bought land there and built a 7,000square-foot facility, including a warehouse in the rear and a retail store in the front. His current warehouse and office total 2,800 square feet.

The retail outlet is new to Worrell's business-and the industry. In past years, insurance companies provided coverage for physical therapy products, and patients could get the items from a therapist or doctor. Because insurance companies increasingly are dropping coverage for physical therapy items, patients are forced to buy the products in a retail market.

But Worrell thinks he can stay one step ahead of the competition. For those patients who are unable to visit his new store, they still can get supplies such as canes, lumbar cushions, ankle braces and cold packs at some hospitals.

He opened kiosks a year and a half ago where he sells his supplies in 10 hospitals in Indiana, Ohio and Kentucky, including the local Rehabilitation Hospital of Indiana.

"I can restock the kiosks with my delivery vans," he said. "My goal is to capitalize and take advantage of every opportunity."

He also sells supplies via his Web site and catalog.

The Iowa native arrived in Indianapolis in 1986 to sell physical therapy equipment for a Chicago-based firm. He left that company in 1989 to start Advanced Medical, which met its end Aug. 24, 1994. Worrell will never forget when he discovered his partner-through legal maneuvering had closed the business.

"I was without a job," he said. "But that same day I started Advantage Medical. I basically had to start over."

He reorganized from his basement with two employees who stuck with him. His home served as headquarters, where he would load supplies into a van and drive to physical therapy offices around the city asking if they needed anything. The crude delivery system would be a compelling precursor to the success of his business.

He found a site for his company on Carmel Drive. There, and from another office he opened in Cleveland, two company vans deliver anything from gauze pads to ultrasound machines to physical therapy offices in Indiana, Ohio and Kentucky. The vans are on the road five days a week and usually make 24 stops a day, Worrell said.

Worrell's success hardly surprises his attorney, Pat McCrory of local firm Harrison & Moberly, who helped Worrell reorganize his business.

"I always knew Jeff was going to be successful. He is a very positive person who has a can-do attitude," she said. "He had to walk away from his old business and start a new company with a new name. He has done extremely well."

Rick Weber, a physical therapist at Physiotherapy Associates in Indianapolis, has bought products from Worrell for six years and appreciates the quality service.

"That's why we've stuck with him," Weber said. "Everybody has the same equipment for sale, but it's the service."

Weber appreciates the convenience of having his equipment delivered, allowing him to save on postage expenses.

"Everybody's always looking to save a dollar. These days, you have to save in the health care industry," he said.

About eight companies nationwide compete for physical therapy supply business in Indiana, Worrell said, including Wabash Medical Co. in Indianapolis. Worrell is unaware of other supply companies that deliver, however.

Worrell has come a long way since his days at Iowa State University, where he was an athletic trainer mainly for the school's football program, although he also taped the ankles of Iowa State basketball star and current Utah Jazz player Jeff Hornacek. Through his experience as a trainer, Worrell developed a knee brace the university marketed for a while.

Advantage Medical Equipment and Supply Inc.

Location: 130 W. Carmel Drive

Telephone: 581-1551

E-mail: Admedical@aol.com

Founded:1994

Founders-owners: Jeff and Shari Worrell

Service: physical therapy, equipment and supplies

Employees: 11 in two locations

Revenue: $2.1 million

One-year goal: increase revenue to $2.7 million and open a retail outlet to sell rehabilitation products directly to the public

Industry outlook: Insurance companies increasingly are dropping coverage for physical therapy products. Many patients who once had access to the items through a hospital or physical therapy are now forced to purchase the products from a retail location. Physical therapy supply outlets that open retail locations should stay competitive in the new market.