[t0mas88]

Have you thought about settinng up a subsidiary that licenses your base tech for a reasonable royalty fee and raise capital for the subsidiary to develop a medical product from it?

The risk and part of the returns there are for the investors. While it will generate additional revenue (and diversification) for your bootstrapped company allowing you to keep building and mitigate some of the risk of having a narrow (military) client base.

And if it becomes a major success (sounds like pg thinks that's possible) you'll co-own it.

[Componica]

One of our partners is a renowned neuro-ophthalmologist at our local university, and he's always suggested medical applications for our array. However, the combination of low volume, slim margins, and regulatory challenges (acquiring patient training sets and navigating FDA approval) makes this direction potentially perilous for us. What helps us is our human factors partner has decades long connections with NASA, FAA, and DoD which gets us a foot in the door, and allows us adopt a low volume/high margin strategy. This approach is letting us refine our technology and then we can focus on standardizing it, reducing costs, and perhaps refocus on medical applications.

I do think your suggestion is a good approach, but what's key is finding smart investment that has experience in developing medical devices.