The U.S. spends about $4 trillion annually on health care, of which $1 trillion goes to Healthcare Administration. As with many things in healthcare, providers must do a lot of administrative work to manage their clinician’s credentials are manual, paper-based, time-consuming and in disparate systems.
This problem led to the establishment of medal, a supplier management platform that automates licensing, continuing education tracking, certification and compliance.Thursday, start closure A $35 million Series C round brings its total raised to $85 million. The round was co-led by Spark Capital and new investor GV (formerly Google Ventures), with participation from Salesforce Ventures, Sequoia Capital, Optum Ventures, BoxGroup and Elad Gil.
Derek Lo, Alumni of the Year Forbes Healthcare under 30 list, founded Medallion in 2020 with a mission to reduce healthcare overhead by automating the manual components of the certification and continuing education process. Medallion’s platform enables healthcare organizations to license their providers in new states, renew their existing licenses, track providers’ progress through continuing education, enroll in insurance plans and verify provider credentials.
The San Francisco-based startup sells its software to digital health companies, health systems, provider groups and payers. It now has more than 200 clients, ranging from small organizations with 5-10 employees to organizations with more than 1,000 employees. Medallion will also work with independent physician practices as long as there are five or more providers, Lo said.
Without automated software, organizations must manually track license renewal dates for their suppliers, as well as the status of applications pending. They also have to manage all the back-and-forth communication with suppliers and state boards, which can increase employee hours and lead to burnout.
“Medallion eliminates all this work for our clients and manages the entire process end-to-end, even communication with state commissions and suppliers,” Lo said. “It’s a very similar process for payer registration.”
Like any SaaS company, Medallion sells its technology for a platform fee. It also offers additional bundles for licensing, payer registration and authentication.Some of the clients using the Medallion platform include Headspace Health, Oak Street Health, carbon health, Medical Express, his, Tia and Florida Longevity Health Plan.
The startup’s competitors include symbol, Availability and medical trainer.Lo claims Medallion is different from these companies because no other platform is comprehensive enough to offer an all-in-one platform — his company’s software manages everything from licensing and continuing education to certification and payer registration.
Medallion’s funding round comes amid rapid growth — just six months after it went public B series twelve months later A series. The company has also nearly doubled its workforce to 150 since the Series B.
With digital health companies now in the majority, the new funding will be used to “double down” on Medallion’s efforts to expand the diversity of its customer base. Lo said the company is looking to attract more health systems and paying customers. The funding will also be used to accelerate product development and expand strategic partnerships, he said.
Series C financing need Medallion’s post-money valuation is $350 million, up from $200 million after its last funding round.
Photo: elenabs, Getty Images
