PayMedix, which aims to simplify complex healthcare billing and payments processes for both providers and patients, raised another $25 million in funding to accelerate the growth of its cloud-based medical financing solution.
Credit funds managed by SVB Capital, the venture capital and credit investing arm of SVB, led the financing round with participation from existing investors SV Health Investors, Hexagon, and Caltius Equity.
According to the press release, the new funding will enable PayMedix to further develop its payment platform, increase staffing, and support geographic expansion. The company is expanding to meet rapidly growing demand from healthcare providers and employers to change how people access, pay for, and benefit from healthcare.
PayMedix claims to have processed more than $5 billion in payments and continues to enhance its financial technology platform to offer a complete solution that serves all parts of the healthcare payment equation.
Investors
SVB Capital, the venture capital and credit investing arm of SVB, has invested more than $00 million in digital health startups to date. Its latest investment portfolio includes – Nayya ($37 million), Komodo Health ($222 million), and Olive ($106 million).
“PayMedix has created an innovative payment model that benefits consumers and healthcare providers alike,” said J.P. Michael, Senior Managing Director of SVB Capital. “With this transaction, we are pleased to help them continue their growth trajectory as they offer better solutions to facilitate healthcare payments.”
Medical billing software startups
Digital health companies offering medical billing software have raised close to $2 billion in funding to date. More recently, Rivet, a provider of medical billing transparency platform for patients and providers, raised $20.5 million in Series B funding led by Catalyst Investors with participation fromAnkona Capital, Menlo Ventures, Pelion Venture Partners, and Lux Capital. In another deal, PayZen, a provider of patient-centric medical payment solutions, raised $15 million in Series A funding. SignalFire led the round with link Ventures, 7wireVentures, Viola Ventures, and Picus Capital.
