SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB


(Mark One)

     [X]  Quarterly report under Section 13 or 15(d) of the Securities  Exchange
          Act of 1934 for the quarterly period ended September 30, 2000.

     [ ]  Transition  report  under  Section  13 or 15(d)  of the  Securities
          Exchange Act of 1934 for the transition period from ______ to ______ .



         Commission file number: 0-26927
                                 -------


                                  NOVAMED, INC.
                                  -------------
        (Exact name of small business issuer as specified in its charter)





                Nevada                                     77-0443643
               --------                                   ------------
   (State or other jurisdiction of                      (I.R.S. Employer
    incorporation or organization)                     Identification No.)



                 623 Hoover Street, Minneapolis, Minnesota 55413
           -----------------------------------------------------------
               (Address of principal executive office) (Zip Code)


                                 (612) 378-1437
                         ------------------------------
                           (Issuer's telephone number)


Check whether the issuer:  (1) filed all reports required to be filed by Section
13 or 15(d) of the  Exchange  Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports),  and (2) has been
subject to such filing requirements for the past 90 days.

                                    Yes   X          No
                                        -----      -----


The number of outstanding shares of the issuer's common stock,  $0.001 par value
(the only class of voting stock), as of November 13, 2000 was 15,531,464.

                                                         1

<PAGE>



                                TABLE OF CONTENTS

                                     PART I

ITEM 1.  FINANCIAL STATEMENTS..................................................3

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS..................................4


                                     PART II

ITEM 1.  LEGAL PROCEEDINGS.....................................................6

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K......................................6

SIGNATURES.....................................................................7

INDEX TO EXHIBITS..............................................................8











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ITEM 1.           FINANCIAL STATEMENTS

As  used  herein,  the  term  "Company"  refers  to  NovaMed,   Inc.,  a  Nevada
corporation,  and its subsidiaries and predecessors unless otherwise  indicated.
Consolidated,  unaudited,  condensed  interim financial  statements  including a
balance  sheet for the Company as of the quarter  ended  September  30, 2000 and
statements of operations, and statements of cash flows for the interim period up
to the date of such balance  sheet and the  comparable  period of the  preceding
year are attached hereto as Pages F-1 through F-5 and are incorporated herein by
this reference.










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<PAGE>
                                                                   NOVAMED, INC.
                                      Index to Consolidated Financial Statements
--------------------------------------------------------------------------------





                                                                            Page


Consolidated balance sheet at September 30, 2000 (unaudited).................F-2

Consolidated statement of operations for three months
and nine months ended September 30, 2000 and 1999 (unaudited)................F-3

Consolidated statement of cash flows for the nine months
ended September 30, 2000 and 1999 (unaudited)................................F-4

Notes to consolidated financial statements...................................F-5



<PAGE>


                                                                   NOVAMED, INC.
                                                      Consolidated Balance Sheet
                                                  September 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
              Assets
<S>                                                                                    <C>
Current assets:
     Cash                                                                               $                -
     Receivables, net                                                                              186,000
     Inventories                                                                                   477,000
     Prepaid expense                                                                                     -
                                                                                        ------------------

                  Current assets                                                                   663,000

Property and equipment, net                                                                         56,000
Other assets                                                                                        24,000
                                                                                        ------------------

                                                                                        $          743,000
                                                                                        ==================

--------------------------------------------------------------------------------
              Liabilities and Stockholders' Deficit

Current liabilities:
     Cash overdraft                                                                     $           33,000
     Note payable                                                                                   20,000
     Accounts payable and accrued liabilities                                                      461,000
     Related party payables                                                                        209,000
                                                                                        ------------------
                  Total current liabilities                                                        723,000
                                                                                        ------------------
Commitments and contingencies                                                                            -
                                                                                        ------------------
                  Total liabilities                                                                723,000
                                                                                        ------------------
Stockholders' equity:
     Common stock, par value $.001 per share;
       authorized 50,000,000 shares, issued and
       outstanding 15,531,464 shares                                                                16,000
     Additional paid-in capital                                                                  5,334,000
     Stock subscription receivable                                                                (418,000)
     Cumulative translation adjustment                                                             112,000
     Accumulated deficit                                                                        (5,024,000)
                                                                                        ------------------
                  Total stockholders' equity                                                        20,000
                                                                                        ------------------
                  Total liabilities and stockholders' equity                            $          743,000
                                                                                        ==================
</TABLE>


--------------------------------------------------------------------------------



                                                                             F-2

<PAGE>


                                                                   NOVAMED, INC.
                                            Consolidated Statement of Operations
--------------------------------------------------------------------------------



<TABLE>
<CAPTION>
                                                 Three Months Ended              Nine Months Ended
                                                   September 30,                   September 30,
                                                    (Unaudited)                     (Unaudited)
                                          -----------------------------------------------------------------
                                                    2000             1999            2000          1999
                                          -----------------------------------------------------------------
<S>                                      <C>                   <C>             <C>           <C>
Net sales                                 $        245,000      $  319,000      $  990,000    $  1,305,000
                                          -----------------------------------------------------------------

Costs and expenses:
  Cost of sales                                    116,000         174,000         486,000         715,000
  Selling, general and administrative              213,000         368,000       1,011,000       1,166,000
  Research and development                           4,000           3,000          60,000         208,000
                                          -----------------------------------------------------------------

                                                   333,000         545,000       1,557,000       2,089,000
                                          -----------------------------------------------------------------

Operating loss                                     (88,000)       (226,000)       (567,000)       (784,000)

Other income                                         8,000               -           8,000         101,000
                                          -----------------------------------------------------------------
Loss before income taxes                           (80,000)       (226,000)       (559,000)       (683,000)

Income taxes                                             -               -               -               -
                                          -----------------------------------------------------------------
     Net loss                             $        (80,000)     $ (226,000)     $ (559,000)   $    (683,000)
                                          =================================================================
Loss per common shares -
  basic and diluted                       $           (.01)     $     (.02)     $     (.04)   $        (.05)
                                          =================================================================
Weighted average shares basic and
  diluted                                       15,516,000      13,513,000      15,400,000      13,634,000
                                          =================================================================
</TABLE>

--------------------------------------------------------------------------------



                                                                             F-3

<PAGE>


                                                                   NOVAMED, INC.
                                            Consolidated Statement of Cash Flows


--------------------------------------------------------------------------------


<TABLE>
<CAPTION>
                                                                                Nine Months Ended
                                                                                  September 30,
                                                                                   (Unaudited)
                                                                       -----------------------------------
                                                                             2000              1999
                                                                       -----------------------------------
<S>     <C>    <C>
Cash flows from operating activities:
     Net loss                                                          $        (559,000     $    (683,000)
     Adjustments to reconcile net income (loss) to
       net cash provided by (used in) operating activities:
         Depreciation                                                             21,000             4,000
         Stock issued for services                                                20,000           220,000
         Stock based compensation                                                      -           128,000
         Royalty expense                                                          21,000                 -
         (Increase) decrease in:
              Receivables                                                         46,000           (14,000)
              Inventories                                                        281,000          (187,000)
              Prepaid expenses                                                         -             1,000
              Other                                                               35,000           (74,000)
         Increase (decrease) in:
              Cash overdraft                                                      (7,000)                -
              Accounts payable and accrued liabilities                          (359,000)          524,000
              Related party payable                                              209,000          (110,000)
                                                                       -----------------------------------
                  Net cash provided by (used in)
                  operating activities                                          (292,000)         (191,000)
                                                                       -----------------------------------
Cash flows from investing activities-
     purchase of property and equipment                                                -           (12,000)
                                                                       -----------------------------------
Cash flows from financing activities:
     Proceeds from note payable                                                   20,000                 -
     Issuance of common stock                                                    145,000           165,000
                                                                       -----------------------------------
                  Net cash provided by
                  financing activities                                           165,000           165,000
                                                                       -----------------------------------

Effect of exchange rate changes on cash                                          111,000           (19,000)
                                                                       -----------------------------------

Net increase (decrease) in cash                                                  (16,000)          (57,000)

Cash, beginning of period                                                         16,000           130,000
                                                                       -----------------------------------
Cash, end of period                                                    $               -     $      73,000
                                                                       ===================================
</TABLE>






                                                                             F-4
<PAGE>




                                                                   NOVAMED, INC.
                                      Notes to Consolidated Financial Statements
--------------------------------------------------------------------------------

(1)  The unaudited  consolidated  financial  statements  include the accounts of
     NovaMed,  Inc. and include all adjustments  (consisting of normal recurring
     items) which are, in the opinion of management, necessary to present fairly
     the  financial  position  as of  September  30,  2000  and the  results  of
     operations  for the nine months and three months ended  September  30, 2000
     and 1999 and cash flows for the nine months  ended  September  30, 2000 and
     1999.  The  results of  operations  and cash flows for the nine  months and
     three months ended September 30, 2000 are not necessarily indicative of the
     results to be expected for the entire year.


(2)  Loss  per  share  is  based  on  the  weighted  average  number  of  shares
     outstanding at September 30, 2000 and 1999, respectively.














-------------------------------------------------------------------------------



                                                                             F-5

<PAGE>



ITEM 2.           MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

Forward Looking Statement

This Quarterly Report contains  certain  forward-looking  statements  within the
meaning of Section 27A of the  Securities  Act of 1933, as amended,  and Section
21E of the Securities Exchange Act of 1934, as amended, which are intended to be
covered by the safe harbors  created  thereby.  Investors are cautioned that all
forward- looking  statements  involve risks and uncertainty,  including  without
limitation,  the  ability of the  Company to continue  its  expansion  strategy,
changes in costs of raw  materials,  labor,  and employee  benefits,  as well as
general  market  conditions,  competition  and  pricing.  Although  the  Company
believes  that  the  assumptions   underlying  the  forward-looking   statements
contained herein are reasonable, any of the assumptions could be inaccurate, and
therefore,  there  can  be no  assurance  that  the  forward-looking  statements
included in this  Quarterly  Report will prove to be  accurate.  In light of the
significant  uncertainties  inherent in the forward- looking statements included
herein,  the  inclusion  of  such  information  should  not  be  regarded  as  a
representation  by the Company or any other person that the objectives and plans
of the Company will be achieved.

General

As used herein the term Company refers to NovaMed,  Inc., its  subsidiaries  and
predecessors,  unless the context indicates otherwise.  The Company is a medical
device holding  company that develops,  manufactures,  and markets  hydrogel and
saline filled breast  implant  products that are used in primary  augmentations,
revisions, or reconstructive procedures.

The Company  manufactures  and markets two  different  pre-filled  single  lumen
mammary  prostheses  (breast  implants),  the NOVAGOLDTM and the  NOVASALINETM .
These  products  are  designed to address the safety  concerns  associated  with
silicone gel-filled  implants,  as voiced by the FDA's decision in April of 1992
which  mandated that silicone gel implants  would  thereafter  only be available
under controlled  clinical studies.  Both products are used for routine cosmetic
breast augmentation and for breast reconstruction  following either subcutaneous
or modified radical mastectomy. The Company's flagship product is the NOVAGOLDTM
breast  implant,  which  utilizes a unique water based filling  material that is
designed to be  biocompatible  and therefore safe for human use. The Company has
not obtained FDA approval to sell any of its products in the United States.

The  NOVAGOLDTM  product has been  submitted  to the FDA for review and approval
under the Investigational Device Exemption  ("IDE")/Pre-Market  Approval ("PMA")
process.  The IDE includes  the  clinical  protocol,  a risk  assessment,  and a
strategic  plan as to how risks are minimized and handled in the event of device
failure.  The FDA has advised the Company to perform additional testing prior to
any  decision as to whether the Company can proceed with a clinical  trial.  The
Company is yet to commence any  additional  testing.  Upon FDA acceptance of the
IDE and the  collection of sufficient  clinical  data from  controlled  clinical
trials,  a PMA summary will be submitted to the FDA. The FDA reviews the PMA and
grants or withholds approval. If approved,  the NOVAGOLDTM may be sold freely in
the United States. The Company anticipates that the product could be cleared for
full market release in the U.S. by 2004.  There is no guarantee the Company will
obtain approval by 2004 or may never be able to obtain FDA approval.

The  NOVAGOLD(TM)  breast  implant is produced  subject to  patented  technology
licensed  to the  Company.  Currently,  the Company is in default of its license
agreement.  The Company is now in  negotiations  to remedy that default with the
owners of the patented technology.  The default arose from the Company's failure
to satisfy a  semi-annual  royalty  payment of  $21,000.  Should the  Company be
unable to remedy the default, the owners of the licensed technology are entitled
to cause the  Company to cease and desist  from any  further  production  of the
NOVAGOLD(TM)  breast implant and to seek any other remedies available to them to
recover amounts due.

                                        4

<PAGE>



The Company is unable to provide any assurance that a resolution of this default
is forthcoming.

The Company has funded its cash needs from inception  through September 30, 2000
with a  revenues  from  operations,  a series of debt and  equity  transactions,
including several private placements and a loan. The Company is currently in the
process of obtaining  new funding and expects to satisfy its cash needs over the
next  twelve  months  from  the  proceeds  of  new  funding  and  revenues  from
operations.  However, the Company can provide no assurance that expected funding
will be realized and cannot  guarantee that revenues  generated from  operations
will meet the Company's cash needs over the next twelve (12) months.  Should the
Company  fail to realize new funding and be unable to generate  enough  revenues
from operations to meet cash  requirements,  the Company is prepared to seek out
alternative funding sources which might include debt or equity funding. However,
there can be no assurance that alternative funding sources are available or that
in the  absence  of new  funding,  that the  Company  will  continue  as a going
concern.

Results of Operations

Net sales for the three and nine months ended  September  30, 2000 were $245,000
and $990,000  respectively  as compared to $319,000 and  $1,305,000 for the same
periods in 1999.  Net sales for the three month period ended  September 30, 2000
decreased 23% from the three month period ended  September  30, 1999.  Net sales
for the nine month period ended  September 30, 2000  decreased 24% from the nine
month period ended  September 30, 1999. The decrease in net sales over the three
and nine month periods as compared to those periods in 1999 was due to a drop in
the  number  of  orders  for  the  Company's  products  outside  of  Germany  by
independent  distributors and the introduction of competitive  European hydrogel
breast implant products.

Cost of Sales

Cost of sales  for the three  and nine  months  ended  September  30,  2000 were
$116,000 and $486,000 respectively, as compared to $174,000 and $715,000 for the
same periods in 1999.  Cost of sales for the three month period ended  September
30, 2000  decreased  33% from the three month period ended  September  30, 1999.
Cost of sales for the nine month period ended  September 30, 2000  decreased 32%
from the nine month period  ended  September  30, 1999.  The decrease in cost of
sales over the three and nine month periods as compared to those periods in 1999
was the result of a reduction in manufacturing activities due to the decrease in
sales and corresponding rise in product inventory levels.

Losses

The Company  recorded net losses for the three and nine months  ended  September
30,  2000 of $80,000 and  $559,000  respectively,  as  compared to $226,000  and
$683,000  for the same  periods in 1999.  Net losses for the three month  period
ended  September  30,  2000  decreased  65% from the three  month  period  ended
September  30, 1999.  Net losses for the nine month period ended  September  30,
2000  decreased  18% from the nine month period ended  September  30, 1999.  The
decrease  in losses  over the three and nine month  periods as compared to those
periods in 1999 was the result of limited research and development  expenditures
, a decrease in the cost of sales for the period,  reduction  in payables  and a
decrease in the number of employees.

The Company expects to continue to incur losses at least through fiscal 2001 and
there can be no assurance  that the Company will achieve  profitability  or that
revenue growth can be sustained in the future.


                                       5

<PAGE>



Expenses

Selling,  general  and  administrative  expenses  for the three  and nine  month
periods ending September 30, 2000, were $213,000 and $1,011,000  respectively as
compared to  $368,000  and  $1,166,000  for the same  periods in 1999.  Selling,
general and  administrative  expenses for the three month period ended September
30, 2000,  decreased  42% from the three month period ended  September 30, 1999.
Selling,  general and  administrative  expenses  for the nine month period ended
September 30, 2000, decreased 13% from the nine month period ended September 30,
1999. The decrease in selling,  general and administrative  costs over the three
and nine month  periods as compared to those periods in 1999 was the result of a
decrease in costs related to international marketing efforts.

Capital Resources and Liquidity

Historically,  the Company has  expended  significant  resources on research and
development which includes  regulatory  compliance  expenses and marketing.  The
trend  is  likely  to  continue  into  the  near  future  as new  products  seek
introduction in the United States and new expenses are incurred in marketing the
Company's  products  outside of North America.  Therefore,  the Company does not
expect a change from using cash in operating  activities to providing  cash from
operating  activities until the third quarter in 2001 when sales are anticipated
to increase over costs.

At  September  30,  2000,  the Company had current  assets of $663,000 and total
assets of $743,000 as compared to $1,065,614 and $1,142,394  respectively at the
year ended  December 31, 1999. At September 30, 2000,  the Company had a working
capital  deficit of $60,000 as compared to a working capital surplus of $205,450
at the year ended  December  31,  1999.  The  decrease in net assets and working
capital  from  the  period  is due  to a  decrease  in  sales,  receivables  and
inventories.

Net shareholders  equity in the Company was $20,000 as of September 30, 2000, as
compared to $282,015 at the year ended  December 31, 1999. The large decrease is
attributable to the decrease in net assets.

Net cash flow used in  operations  was $292,000 for nine months ended  September
30,  2000,  as compared  to cash flows used in  operations  of $191,000  for the
comparable period in 1999. The increase in cash flows used in operations for the
nine months ended September 30, 2000,  caused a decrease in accounts payable and
accrued liabilities.

Cash flow generated  from financing  activities was $165,000 for the nine months
ended  September 30, 2000 and $165,000 for the  comparable  period in 1999.  The
cash flow was  generated  from the  exercise  of common  stock  options  and the
proceeds of a short term loan.

The Company has funded its cash needs from inception through September 30, 2000,
with a  revenues  from  operations,  a series of debt and  equity  transactions,
including several private placements and a loan. The Company expects to fund its
cash needs in this varied  manner over the next twelve months until such time as
product sales exceed our expenses.






                                        6

<PAGE>



                                     PART II

ITEM 1.           LEGAL PROCEEDINGS

The Company is not a party to any material legal proceedings.


ITEM 6.           EXHIBITS AND REPORTS ON FORM 8-K

     (a)  Exhibits  Exhibits  required to be attached by Item 601 of  Regulation
          S-B are listed in the Index to Exhibits on page 8 of this Form 10-QSB,
          and are incorporated herein by this reference.

     (b)  Reports  on Form 8-K.  No  reports  were  filed on Form 8-K during the
          quarter.






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                                   SIGNATURES

In accordance with the  requirements of the Exchange Act, the registrant  caused
this  report to be  signed on its  behalf  by the  undersigned,  thereunto  duly
authorized, this 14th day of November 2000.




NOVAMED, INC.


/s/  Ruairidh Campbell                                November 14 , 2000
------------------------------------
Ruairidh Campbell
President, Chief Executive Officer and Director













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                                INDEX TO EXHIBITS


EXHIBIT   PAGE
NO.       NO.       DESCRIPTION
-------   ----      -----------

3(i)      *         Articles of  Incorporation  of the Company formerly known as
                    Conceptual  Technologies,  Inc., a Nevada  corporation dated
                    November 26, 1996.  (Incorporated herein by reference to the
                    Company's  Form  10-SB  filed on August  4, 1999 as  exhibit
                    2(i)).

3(ii)     *         By-laws   of   the   Company   adopted   on   November   12,
                    1996.(Incorporated herein by reference to the Company's Form
                    10-SB filed on August 4, 1999 as exhibit 2(iv)).

27        9         Financial Data Schedule "CE"


                               MATERIAL CONTRACTS

No Material  Contracts were entered into during the quarter ended  September 30,
2000.










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