Healthy Ventures, founded by two female partners, Anya Schiess and Enmi Kendall, invest in health care infrastructure. With the advent of mobile devices, data in the cloud, and changes in insurance, health care is undergoing some precipitous changes which will impact service and payments.
With reported health and biotech funding up year over year, providing cloud-based services to create efficiencies and lower cost will be a growing need in the development of a more consumer-friendly health care system. Healthy Ventures aims to address this market opportunity.
Raising A First Time Fund
Anya and Enmi teamed up in 2015 to launch Healthy Ventures investing their own money to kick off their fund. With eleven portfolio companies in tow, including Sansoro Health, Wellthie, and HealthCrowd, they were able to extend the raise for their first fund, topping it up to close a $40 million. They also succeeded in raising funds from three foundations, along with commitments from family offices.
With the founders personal commitment of 25% of the fund, and with foundation backing, Healthy Ventures stands out in the venture industry. For Enmi and Anya, this is an expression of their strong personal commitment to building out health care infrastructure.
With their increased fund size that closed mid 2017, Healthy Ventures is able to price the seed round and write checks up to $1.5 million. They typically aim to invest for 10-15 percent of the company and seek to provide value to their portfolio startups with connections and experience in this vertically aligned space.
Building Out Health Care Infrastructure
The core sectors of health care infrastructure that Healthy Ventures invests in are credit and payment services, clinical trial infrastructure, security for IoT medical devices, and cloud-based services for health care.
Recent investments include HealthiPASS based in Chicago, which raised a $7.2 million series A funding. HealthiPASS seeks to provide payment transparency to consumers and help health care providers with payment processing. Processing payments is a huge overhead, especially for smaller physician offices. As more health care consumers are opting for high deductible plans with lower monthly fees, understanding costs upfront for care has become important both to the consumer and providers who seek to be paid.
CredSimple which raised a Series A funding in late 2017, is a provider of credentialing service to streamline this process for health care practices, their staff, hospitals, insurance companies, and ultimately consumers. Making sure all practitioners are credentialed is a time consuming process. Providing an efficient streamlined readable updateable service saves time across the industry.
ClinCapture and SubjectWell address the market for clinical trials. ClinCapture a clinical trial platform, streamlines the capture of data, lowers the cost of clinical trials. Subjectwell helps health and pharmaceutical companies recruit candidates for clinical trials. Both companies raised seed rounds from Healthy Ventures in the last six months.
With the acquisition of CoverMyMeds, by McKesson for $1.3 billion in early 2017 and more recently Flatiron Health by Roche for $1.9 billion, health tech infrastructure that moves the needle will be prime targets for acquisition by incumbents.