A cloud-based technology platform for the dental practice, CareStack, has raked in $28 million in Series B round led by Steadview Capital, and California-based dental plan system – Delta Dental.
The four-year-old startup, which has offices in Orlando, US and India, also saw participation from existing investors – F Prime Capital, Eight Roads Ventures and Accel Partners.
The trio had led CareStack’s $16 million Series A round in September 2018.
Following the investment, F Prime’s partner Carl Byers and Accel’s partner Shekhar Kirani have joined CareStack’s board of directors.
Majority of the capital raised will be deployed towards expanding customer base and services to more dentists. Besides, CareStack is planning to double its team size to 400 by 2020.
Apart from Trivandrum, which serves as the engineering centre, product research, development and support, it will also open a new office in Kochi.
Unlike generic doctor focused software, CareStack solely focuses on dentists and further connect them with employer and insurance companies. Its full-stack model encompasses a patient portal, scheduling capabilities, business analytics, billing information, charting, patient engagement tools, among others.
According to the company, it makes revenue by selling software, revenue cycle management, and patient financing.
Led by Abhi Krishna, CareStack had recently tied up with Florida-based ClearGage to provide its users with a suite of patient-centric payment solutions. The partnership enables access to ClearGage’s Mobile QuickPay and AutoPay.
CareStack will leverage the integration with ClearGage for patient financing for treatments and increase overall revenue. CareStack’s play is quite similar to niche e-commerce companies such as Myntra and BigBasket.
As compared to general software that focuses on addressing horizontal pains of doctors across all specialisations, CareStack focuses on dentists. On the lines of other SaaS companies, its business is largely driven by the US and other western economies.
The development was reported by Mint.