v3.26.1
Note 5 - Related Party Transactions
 3 Months Ended
Mar. 31, 2026
Notes to Financial Statements  
Related Party Transactions Disclosure [Text Block]

Note 5 — Related Party Transactions

 

The aggregate Due To: PAVmed Inc. for the period indicated is summarized as follows:

 

 

 

MSA Fees

 

 

Employee-Related Costs

 

 

PAVmed Inc. OBO Payments

 

 

Total

 

Balance - December 31, 2025

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

MSA fees

 

 

3,150

 

 

 

—

 

 

 

—

 

 

 

3,150

 

ERC - Benefits

 

 

—

 

 

 

860

 

 

 

—

 

 

 

860

 

On Behalf Of (OBO) activities

 

 

—

 

 

 

—

 

 

 

152

 

 

 

152

 

Cash payments to PAVmed Inc.

 

 

(3,150

)

 

 

(860

)

 

 

(152

)

 

 

(4,162

)

Balance - March 31, 2026

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

 

PAVmed - Management Services Agreement

 

The Company’s daily operations are also managed in part by personnel employed by PAVmed, for which the Company incurs a service fee, referred to as the “MSA Fee”, according to the provisions of a Management Services Agreement (“MSA”) with PAVmed. The MSA does not have a termination date, but may be terminated by the Company’s board of directors. The MSA Fee is charged on a monthly basis and is subject to periodic adjustment corresponding with changes in the services provided by PAVmed personnel to the Company, with any such change in the MSA Fee being subject to approval of the boards of directors of each of the Company and PAVmed.

 

The MSA Fee expense classification in the unaudited condensed consolidated statement of operations for the periods noted is as follows:

 

 

 

Three Months Ended

 

 

 

March 31,

 

 

 

2026

 

 

2025

 

Sales & Marketing

 

$

266

 

 

$

164

 

General & Administrative

 

 

2,312

 

 

 

2,253

 

Research & Development

 

 

572

 

 

 

733

 

Total MSA Fee

 

$

3,150

 

 

$

3,150

 

 

The classification of the MSA Fee as presented above is based on the PAVmed classification of employee salary expense and other operating expenses. In this regard, PAVmed classifies employee salary expense as sales and marketing expenses for employees performing sales, sales support and marketing activities, research and development expenses for those employees who are engaged in product and services engineering development and design and /or clinical trials activities, and other employees and activities classified as general and administrative.