AvoMD Secures $5M Seed Funding to Revolutionize Clinical App Development

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AvoMD, a cutting-edge platform that facilitates clinicians and hospitals in creating customized apps for point-of-care usage, recently secured $5 million in seed funding. The funding round was led by AlleyCorp, an early-stage venture fund, which was accompanied by a variety of other investors.

This diverse group included Las Olas, Epsilon Health, MedMountain Ventures, and prominent physician angel investors, along with existing investors Mirae and Dunamu. Other notable backers of the company comprise Columbia University, Mount Sinai Innovation Partners, StartUp Health, and 500 Startups​.

The platform, powered by AI, provides a no-code application builder that permits clinicians and hospitals to create their unique applications. These applications are adaptable to any specialty, any care setting, and every clinician type. Use cases span from interactive clinical guidelines, such as sepsis and COVID, to medical calculators, billing support, and documentation automation.

AvoMD has already established standardized integrations with the largest electronic health record systems in the US, facilitating organizations to deploy the solution efficiently. Furthermore, it offers AI model integration, equipping doctors to incorporate clinical predictions based on AI at the point of care​.

The inception of AvoMD was a direct response to the firsthand experience of clinical burnout and the challenges faced in developing and deploying innovative clinical applications. The team behind AvoMD, physicians based in New York City, were determined to revolutionize how clinical technology is created and utilized. This pioneering solution saves clinicians over half of their decision-making time, leading to enhanced patient outcomes​.

In the words of Joongheum Park, MD, AvoMD’s Chairman and Head of Product/Engineering, AvoMD is designed to alleviate the overwhelming aspect of clinical technology that often doesn’t fit in the conventional workflow, thereby intensifying burnout.

AvoMD aims to be a co-pilot for clinicians, working alongside them to deliver the highest quality of care, and the team is elated to have AlleyCorp’s support in this vision and the subsequent growth trajectory of AvoMD​.

The founding team of AvoMD was completed when Dr. Park, overwhelmed by the volume of knowledge needed to deliver quality care, partnered with Dr. Yair Saperstein, a physician-technologist, and Laurence Coman, a software investing expert and the son of two physicians. The early applications developed by Dr. Park gained traction among clinicians, which led to the formation of this dynamic trio​.

Brenton Fargnoli, MD, Managing Partner of AlleyCorp Healthcare, expressed his excitement over partnering with AvoMD. He highlighted the team’s deep understanding of the unique issues doctors face and their proficiency in using the right technology to solve them.

Fargnoli mentioned the team’s acute understanding of the challenges of integrating clinical evidence into the workflow and its subsequent effects on burnout and patient outcomes. The swift adoption of the AvoMD product by other clinicians across a variety of settings further heightened their excitement to support AvoMD’s next growth phase​.

In essence, AvoMD is a software platform that seamlessly integrates clinical evidence – guidelines, pathways, and algorithms – into the workflow at the point of care. It can be accessed through the EHR or as a standalone web/mobile application. AvoMD not only automates the ordering and documentation processes but also provides real-time, point-of-care optimized clinical guidelines.

As per randomized control trials and implementations, AvoMD has been successful in saving clinicians over 50 percent of their time in clinical decision-making at the bedside while simultaneously improving outcomes and reducing costs​.

The freshly procured funds will be directed towards expanding sales and marketing, enhancing EHR integration, investing in R&D efforts, and upgrading the AI platform. This significant financial boost will provide the firm with a strong footing into the next year, as per Dr. Saperstein. He also hinted at the possibility of AvoMD raising capital again towards the end of 2024​.

AvoMD, which is nearing an annual recurring revenue of $1 million, envisages a path to profitability in the coming years. This projection underscores the company’s optimistic growth trajectory and the potential of its innovative solutions in the healthcare sector​.

In conclusion, the recent seed funding received by AvoMD not only exemplifies the growing acceptance and demand for no-code solutions in the healthcare sector but also underscores the potential of such platforms in alleviating clinical burnout and improving patient care. With strong backing from prominent investors, AvoMD is poised to transform the landscape of clinical app development, ultimately leading to improved patient outcomes and reduced clinical decision-making time.

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