Since raising a $3 million Series A in April 2019, SonderMind has been busy.
The Denver-based startup has jumped from around 20 employees to nearly 70, expanded into two new markets and now added a huge infusion of capital to fuel its growth.
SonderMind announced a $27 million Series B on Monday, as it continues to build out its behavioral health platform and change the way we view mental health care.
The round was led by General Catalyst, and also included new investor F-Prime Capital and participation from existing investors Kickstart Seed Fund, Diōko Ventures (managed by FCA Venture Partners) and Jonathan Bush.
“We’re trying to break the status quo by democratizing mental health care.”
SonderMind is dedicated to making behavioral health more accessible and has built a marketplace to connect patients with providers.
The SonderMind Solution is a platform that matches clients who are a clinical fit with behavioral health experts, while handling payments, insurance reimbursement, clinical assessments and more, all in one place.
Since launching in 2014, SonderMind has built a 500-person network of community behavioral health professionals. Over the past year, the company has expanded from Colorado into Texas and Arizona.
“Since we raised our Series A, our focus was really on building the infrastructure, so we could start to expand the model we had begun to prove out in Colorado and in other markets,” co-founder and CEO Mark Frank told Colorado Inno.
Frank said the recent capital injection would be used for a variety of things, including SonderMind’s next market expansion.
He expects SonderMind to move into four to six new markets this year, while also growing its presence in Texas.
In addition, the startup plans to broaden its enterprise partnerships with payors, employers and health systems, and further build out the technology platform. Frank said the company plans to have nearly 100 employees by year-end, though the recent coronavirus pandemic has made things more uncertain.
The company has been agile in response to COVID-19, rapidly accelerating its telehealth plans to keep up with demand.
Prior to the pandemic, SonderMind initially planned a six-week rollout for its telehealth solution, with May as the target date for launch.
Once the severity of coronavirus became clear, SonderMind sped up its rollout to six days and launched the solution in March.
“The launch has been extremely successful,” Frank said. “A vast majority of our clients are using telehealth in light of the pandemic.”
Along with the new funding, SonderMind added Eric Roza, former CEO of Datalogix and current General Catalyst executive in residence, and Kent Thiry, former CEO of DaVita and current executive chairman, to its board of directors.
The company was also named to Colorado Inno’s 20 Startups to Watch in 2020 list in December.
As the company continues to grow, Frank said SonderMind’s mission of making mental health care accessible, approachable and utilized drives every decision.
“We’re trying to break the status quo by democratizing mental health care,” he said.
