Post-acute tech company Element5 has secured $15 Million in Series A funds. The company will invest these dollars in expanding the reach of its robotic process automation (RPA) and artificial intelligence solution. The Series A fund raises the company’s total capital raised to $18.5 million.
Series A funding is typically a company’s first significant round of outreach to potential investors, often private equity or venture capital firms. For Element5 the lead investor is the venture capital group Insight Partners, with additional participation from Maxwell Investment Partners.
“Post-acute and hospice is its own beast. Insight has a track record in our space, and they understand the nuances,” Element5 CEO Joe Randesi told Hospice News. “We wanted a strategic partner that can help us navigate those waters. This relationship that we’re striking with them will really help us accelerate our push into the market.”
Element5 was established in 2019 and markets its RPA systems to home health, hospice, senior living, skilled nursing and other post-acute organizations. The company operates in the United States and maintains offices in India.
RPA is an emerging technology in the post-acute space. These solutions can be configured to perform actions within and between systems. RPA uses robots to automate workflows and manage complex and repetitive tasks involving electronic health records (EHR), payer sites and financial systems. RPA systems can be used to automate certain workflows in patient intake, authorizations and reauthorizations and revenue cycle management.
When double checking a patient’s authorization, for instance, a staff member typically has to login to the EHR and enter information from that system into a payer portal, as well as download required documentation and in turn update the EHR with the authorization data. RPA can automate the data entry process.
“Without a doubt, Element5 is changing the way that post-acute care is provided and experienced,” said Jared Rosen, vice president at Insight Partners. “The company’s impressive growth speaks to the market fit and need for its verticalized RPA solution. Insight is thrilled to be a part of Element5’s journey and looks forward to playing a role in the company’s continued growth.”
Following Insight’s investment, Rosen will be joining the board of directors at Element5.
Leveraging new partnerships will be a key growth strategy as Element5 applies these funds to building market share and scale, according to Randesi. Their RPA systems tend to complement, rather than replace, other technologies in the space, such as electronic health records. This creates opportunities to work with other tech companies, consulting firms, and other stakeholders.
“Our goal is to find common clients and produce automations that work across big customer bases,” Randesi said. “There will be a big emphasis on striking the right partnerships in the space and building really thoughtful automations on top of the current technology that they’re using and deliver it to a wide range of clients.”
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