Parachute Health Raises $9.5 Million
Healthcare technology platform Parachute Health announced $9.5m in new funding for its digital solution for ordering critical medical equipment and services patients need after they are discharged from the hospital – such as oxygen tanks, wheelchairs and medical supplies.
Despite a shift to electronic medical records, ordering critical medical supplies for patients still requires fax machines and paper records. More than 80% of fax orders are initially declined due to easily-avoided clerical errors and without electronic delivery confirmation, more than 15% of orders are never delivered to patients. Parachute fully integrates into the most popular electronic medical record systems, including Epic, to provide an intuitive, user-friendly solution for medical staff. It is already being used by healthcare facilities across the country, including the Hospital for Special Surgery, Visiting Nurse Service of New York and Stanford Hospital; to name three.
“We are incredibly encouraged by the tremendous interest we’ve seen so far from healthcare facilities and suppliers across the country. Parachute’s goal is to solve the flaws of the post-acute care industry and to help people who depend on essential at-home equipment and services to live independent and happy lives.” – founder and CEO of Parachute, David Gelbard.
“Insight saw Parachute’s ability to tap into an area in healthcare where technology was lacking and not only innovate, but also create real change . Investing in healthcare companies that radically improve the system can mean a better quality of life for people.” – Managing Director at Insight Venture Partners, Peter Segall.
The new funding round was led by Harley Miller and Dan Ahrens of Insight Venture Partners and includes investments from GNYHA Ventures, the business arm of the Greater New York Hospital Association and Anthony Welters, formerly of UnitedHealth Group. Parachute previously raised $5.5m in funding from investors including Loeb Holding Corporation.
Gelbard founded Parachute Health to create a more effective healthcare system after witnessing first-hand how this problem is hurting patients. In 2015, after spinal surgery, Gelbard’s 80-year-old father was discharged from the hospital. The walker that was ordered through his Medicare plan was delayed for weeks and Gelbard’s father re-injured himself while waiting.