The company’s sales increased 400% last year
Of all the spaces that have seen a major shift due to the pandemic, teletherapy has been perhaps the biggest beneficiary of the shifts in the past year and a half. Before COVID, only eight percent of patients had tried telemedicine in some form; By October 2020, nearly half of Americans said they would feel comfortable seeing a therapist remotely. That’s a pretty impressive turnaround in a very short time.
Investors became aware of this, of course, and companies in the space raised money left and right in 2020 and 2021, including CirrusMD, 98point6, Amwell, and QLER. The last to be funded is SonderMind, which on Wednesday announced $ 150 million in Series C funding.
The round was jointly chaired by the new investors Drive Capital and Premji Invest. General Catalyst, Partners Group, Smash Ventures, Kickstart Fund, F-Prime Capital, Founders Circle Capital, Zoma Foundation, and FCA Venture Partners also attended, bringing the company’s total capital to $ 183 million.
In addition to the financing, the company also announced the addition of a new board member: Molly Bonakdarpour, partner at Drive Capital and former Director of Commercial Partnerships at Livongo.
“Molly’s experience working with high-growth health technology growth companies will be invaluable, as will her operational leadership in the early days of Livongo,” said Mark Frank, co-founder and CEO of SonderMind, told VatorNews.
The SonderMind platform, founded in 2014, brings customers and therapists together according to criteria such as specialist area, availability, location, treatment approaches and insurance. Matches usually take place within a day or two; After that, it usually takes a day or two for the therapist to contact you to make an appointment. This means that a patient can be assigned and scheduled in less than a week.
At the first appointment, the psychiatrist will ask the patient questions about their current situation, including questions about their mood, thoughts, and behavior. The doctor will also usually ask to speak to someone close to them, such as family or friends, to ask their opinion about the patient’s condition and any changes they may have noticed.
After this initial assessment, the doctor will then make a recommendation as to which treatment might be most helpful depending on the type of psychological problems the patient has and their severity.
SonderMind therapists are currently networked with Aetna, Anthem (Blue Cross Blue Shield), Apostrophe, Bright Health, Cigna, Friday Health Plans, Kaiser, Optum and United Healthcare. They are also networked with Cigna EAP and United EAP, as well as Medicare in Colorado.
Since its $ 27 million Series B round in April 2020, the company’s revenue has grown 400%, Frank told me. It now provides mental health access to more than 73 million Americans.
“The outstanding growth we have seen in the existing markets and the impressive clinical results have been extremely attractive to Series C investors,” he said, noting however that he did not attribute this to the pandemic.
“Demand and occupancy have grown in line with our geographic expansion, but not with major changes directly related to COVID. One aspect of our growth is more data showing how we are improving outcomes for SonderMind patients. “
The new funds will be used to accelerate the company’s expansion into all fifty states; It is currently active in more than 10 states and is expected to be available nationwide in a few years. In addition, it also invests in technology, data, and tools to help therapists build their practices and achieve better results.
“We look forward to continuing to build the world’s most clinically effective mental health company. SonderMind was designed to be easier to access, and we will help millions of Americans better navigate the system in order not only to find a therapist, but to find the therapist as well Right Therapist, “said Frank.
“Real therapy works, and SonderMind is committed to making sure it can work for everyone.”