Healthcare startup CareTrack Health anticipates to more than triple its workforce after raising $2.5 million from venture investment firm Hybrid Capital Partners and growing its office footprint ten-fold.
With a vast majority of hires in metro Atlanta, the company looks to add up to 130 new employees to its staff of 56 by the end of 2023. To accomodate that growth, CareTrack Health moved from its 1,485-square-foot headquarters to a 14,000-square-foot office at 590 Hays Mill Road in Carrollton, about 50 miles west of Atlanta. The new space includes a 96-seat call center.
CareTrack was founded in 2015. Its software assists primary care providers so that patients understand and adhere to the care plan provided to them by their physician. It also works to identify interventions in-between appointments.
'Recession-proof market'
The investment comes as investors have largely pulled back from startups due to a change in mindset that favors profitability over growth. The company calls healthcare a growing industry that can prevail through turmoil, said President and CEO of CareTrack Andrew Mills.
The primary care market is estimated at around $260 billion, the U.S. will be short 45,000 primary care physicians by 2030, according to management consulting firm Bain and Co. As the amount of primary care physicians decreases, Mills says his company’s software provides a needed solution for productivity.
“Being in healthcare, we are in a recession-proof market,” said Mills. “The demand for healthcare that we provide is going to be a constant need as Medicare will need to save money by having the remaining primary care physicians be more efficient.”
By the end of last year, CareTrack had a $3.5 million annual revenue rate and expects to end this year at $5 million, Mills said.
History
While working as director of sales operations at Greenway Medical Technologies, Mills saw a business opportunity when Medicare launched a new program. Chronic Care Management provides non-face-to-face services for Medicare beneficiaries who have chronic conditions.
He founded the company CCM Navigator with other former Greenway employees Derek Skinner and Susan Tice. The company rebranded to CareTrack in the summer of 2020 because it offered more services than chronic care management, said Mills.
In 2021, the company was No. 76 in the Atlanta Business Chronicle’s list of 100 fastest-growing companies by growing its revenue 90.9% and its staff 104.8% between 2019 and 2021. The Technology Association of Georgia named it one of the top 40 innovative companies in the state the same year.
