For 9 out of 10 healthcare providers, the worst part of their job is billing the insurance companies, a process known as revenue cycle management.
Healthcare payments platform Enter, which is on a mission to simplify that process across the industry on both sides of the transaction, has just come out of stealth mode after raising a $5.7 million seed round.
The round was led by Menlo Ventures, Quiet Capital, Savantus Ventures, 500, and SpringRock Ventures, with participating angels including Matt Roszak and Mato Peric. Enter works with more than 125 different healthcare providers and has automated over 6 million human clicks. It recently reached the milestone of $250 million in total claim value, spread out among 100,000 processed claims on the platform.
Every year 7.8 billion electronic medical claims are sent through painfully slow outdated legacy systems. Of these, it typically takes 48 days for a claim to be paid by insurance after the date of service, and 92 days to get the patient their bill. Even worse is that 20% of these claims are denied by insurance, and each denial takes a human administrator 25 minutes to address. It’s a system that begs to be disrupted.
The company’s founders Jordan Kelley and John Russell have multiple noteworthy achievements between them, including inventing the world’s first bitcoin ATM in 2013. Spotting an undeniable opportunity in the healthcare space, the pair has been working on Enter’s healthcare payments platform since 2016. The resulting solution brings together 26 unique products that automate every part of the revenue cycle, resulting in a more efficient healthcare industry for all.
“Healthcare payments–insurance claim processing and patient payments–is one of the least efficient payment infrastructures that exists,” say Kelley and Russell.
“We wholeheartedly believe that this is the main reason why healthcare is such an inefficient industry. Enter’s mission is to open the door to efficient healthcare. We believe Enter is building the Stripe of healthcare.”
Enter yields significant performance gains and enables customers to save as much as 60% on billing. Compared to the industry average of 7.5%, Enter charges just 2.9% + $0.30. Enter also gets practices paid up to 3x faster (16 days instead of the industry-standard 48 days). Enter can reduce staffing headaches, allowing customers to operate a 50-doctor practice with a single administrator.
“We think healthcare is where fintech was a decade ago. We see revenue cycle management as a similar opportunity as when Stripe took on payments 13 years ago,” say Kelley and Russell. “Enter is making it easy to add the most powerful insurance and patient processing platform with just a few clicks.”