Twilio for Mental Health
Investment memos w/o bias
Hey w/o bias subscribers!
Welcome to your first w/o bias investment memo! Super excited to help even the investment field with you for all founders!
Check out this hot-off the press startup. Mental Health has blown up during COVID and there is room for the next generation of tech oriented play in the field. Please email me back if you’re seriously considering committing or if you have questions, let me now and I can ask them on your behalf.
Please refer your investor friends for the next investment memo below:
And if you know of startups that would benefit from an unbiased angel network, please ask them to apply here.
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Tell us about your product.
We're building the Twilio for Mental Health. We're first building out the box tools for mental health providers to tackle their biggest and most frustrating administrative work -- clinical notes and intake. After that, we're going to unbundle these tools into APIs that will free up the flow of data and unlock better patient outcomes.
How do you make money?
We're starting with a SaaS model and charging providers $150/month. However we plan to move to health plans.
What is the market size?
$1.15B on solving just clinical notes. $3.6B if we replace the fragmented tech stack that mental health providers are currently using. $11.1B if we are able to impact patient outcomes and capture 1% of the difference.
How do you reach customers? What's your distribution channels?
We're targeting small to medium group practices. We plan on proving our product through pilots before approaching an integrated providers.
Tell us about your team. Why are you uniquely suited for this company? (identifying information not shared with investors)
One of our co-founder has 10 years of experience in AI/ML. He's worked at Apple and rebuilt Siri to optimize for speed & efficiency. The other has 10 years of experience in startups and has scaled his previous startup to $100K ARR with an NPS of 95.
What is your moat? How will you stay defensible?
Our moat will be the data that we can generate to power our AI models.
What traction do you have till date? How do you know the business is working?
We've spoken to more than 30 mental health providers who all mention that clinical notes are their biggest pain point. We've even approached a large group practice with over 30 clinics and they've validated the need. They want us to go build it before coming back to them. We've secured 2 pilots with smaller providers in order to validate the product.
Previous round: If you've raised in the past, when was this round, how much did you raise, and at what valuation?
Did not raise previously.
Current Round: How much are you raising now and at what valuation? How much is committed for this round? What's the minimum cheque size you'd accept? When are you closing?
~$650K at around $6M post. We have an offer for $100K so far. Open to various cheque sizes depending on the individual or group. Hoping to close end of July 2021.
What milestones did you achieve with your last round and what milestones do you wish to achieve with this round? How will this round's funding be spent?
Bootstrapped. With this milestone, we hope to create a data set with 1000+ hours of training data, 2 validated products through our pilot, and a 95% accurate AI scribe. The majority of the funding will go towards training the AI and ML & Fullstack Engineers.
What other non-monetary ways can angel investors help you? Any other skills / networks you need access to?
Office space, connection to mental health providers, office hours with experts on healthcare biz models, healthcare sales experts.