Mental health startup NeuroFlow is looking at health systems pursuing value-based payment models as an avenue for growth.
NeuroFlow sees an opportunity to expand its reach through health systems that are using value-based reimbursement plans, which focus on better health outcomes rather than being paid for specific services, Chief Operating Officer Adam Pardes said. The startup is also looking into systems seeking to use the psychiatric collaborative care model, which integrates mental and behavioral health into primary health care for better health outcomes, he said.
The Old City-based startup's platform can track patients' moods, pain levels and sleep through self-assessment. Health care providers can use it to identify behavioral health conditions and integrate it into a care plan. The goal is to improve access to behavioral health care while reducing the burden on health systems and providers, Pardes said.
“Those value-based care agreements, risk-bearing entities are — I think — really the sweet spot for what we do,” he said.
While the psychiatric collaborative care model is complex because of the necessary collaboration between psychiatrists and primary care physicians, he said, NeuroFlow can automate the administrative casework that goes into the process and mass-screen patients to get them enrolled in behavioral health programs. Automating those processes could help scale that model faster and support more patients, Pardes said.
“If you could help from efficiency standpoint, quality standpoint and cost standpoint, I think that's really maximizing the impact that we can have,” he said.
The company's health system business is doing well, Pardes said, as is its business with the U.S. government.
NeuroFlow recently expanded its relationship with the U.S. military with a new contract awarded by the Naval Academy to give midshipmen access to its behavioral health app. The contract with the Naval Academy began this spring and will continue through spring of 2022. COO Adam Pardes declined to share the value of the contract.
The startup co-founded by veteran and CEO Chris Molaro has netted military contracts before, including a $1.5 million contract awarded last year to bring the NeuroFlow platform to 11 Air Force bases for Space Force members.
Students at the Naval Academy will have access to NeuroFlow’s platform of self-help tools and connections to behavioral health care through a mobile app. The program is designed to reduce the stigma around mental and behavioral health care and provide a space for service members who may not want to participate in in-person services, Pardes said.
“Your mental health is a continuum and it's part of our overall performance, which is so important when leading troops in a high pressure environment,” Pardes said.
NeuroFlow is looking to expand its relationship with the Department of Veterans Affairs and integrate the platform into more military bases, Pardes said.
The Covid-19 pandemic led to new customers heading to NeuroFlow as stay-at-home orders exacerbated behavioral health issues, telehealth was popularized and a new emphasis was placed on mental health. NeuroFlow’s app recently hit a milestone of 5 million assessments, where users can track their mood, sleep and pain levels on a regular basis, Pardes said.
The COO declined to share NeuroFlow’s revenue for 2021 or revenue projections.
NeuroFlow isn’t actively seeking to raise more capital to fuel its growth at the moment, Pardes said. The startup raised a $20 million Series B in January to grow its staff and continues to hire in product development, he said.
“The space is definitely still really active,” Pardes said. “So I expect that as we continue to grow, we'll look at all the potential ways of accelerating that and accelerating the impact that we can make and achieving our mission.”
