Two focuses of my blog are Financial Literacy/Money and Business/Entrepreneurship. If you’re creating a startup in the digital healthcare space, you want to have a thorough understanding of how the business works. The following contributed post is entitled, Putting Your Finger On The Pulse Of Funding For Your Digital Heatlhcare Startup.
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Famed for its ability to improve patient satisfaction using timely and concise services and outcomes, digital healthcare is the industry’s golden child of the moment, making it hardly surprising that last year alone saw a record $37.9 billion poured into this field. Unfortunately, with eye-watering high costs for everything from the software to the sensors and equipment necessary to make digital healthcare possible, this investment is more than necessary for most. And, if you’re considering making any ripples in this digital healthcare market that’s only set to keep on growing, you’re going to want to consider how you can also tap into those funding benefits.
After all, even high-value startups in this area will struggle to compete unless they, too, benefit from investment deals. That’s why we’ve put together a fast-fire guide to help you put your finger on the true pulse of funding for your digital healthcare startup.
Understand your options
The funding routes you choose can impact everything from your finances to the speed with which those are delivered, highlighting the need to understand your options. Specifically within the healthcare world right now, investment options include private investment, healthcare capital, and even special purpose acquisition companies. In each instance, you want to take the time to understand amounts, repayment expectations, and the level of control that you’ll ultimately be handing over. Depending on your in-house expertise and visions, the best option will typically be one like capital, which keeps you in control while ultimately providing access to the largest possible sums of money to bring your digital healthcare vision to life.
Follow in the right footsteps
Digital healthcare is a relatively new field, but that doesn’t mean you need to enter the investment arena blind. In fact, ensuring access to the widest possible pool of investment opportunities is often as simple as taking note of successful existing enterprises like BetterUp and Cerebral, both of which secured investment packages exceeding $4 billion last year. Specific areas where these high investments are most often commonplace especially include telehealth, mental health tech, and digital therapeutics, making these fantastic areas of focus for funding you can rely on.
Cut costs where possible
It’s also worth cutting costs wherever you can, ensuring that you’re seeking more realistic, low-level investments that are often far easier to find. While this should never be done at the expense of service quality, viable savings across digital healthcare solutions especially include the effective use of telehealth in general (which can also help to appeal to investors in the first place), the automation of administrative tasks for reduced payrolls, and more. Given that these examples are especially proof of digital healthcare done well, cost savings in this manner are guaranteed to bring investment opportunities within far easier reach for a wide range of reasons, not least the lower amounts that you’re requesting.
Even the experts are dubbing digital healthcare as the future right now, but make sure that you bear in mind these crucial considerations when seeking funding for a startup in this ever-arising area.
