Aledade raises $30M to help small practices in the age of Obamacare

Aledade

Former national coordinator for health IT Farzad Mostashari raised $30 million in Series B financing for Aledade, Forbes is reporting. ARCH Ventures Partners led the round, with participation from existing investor Venrock, bringing total funding to $35 million.

The company helps small doctor practices band together in so-called accountable care organizations (ACOs), enabled by the Affordable Care Act.

To comply with new payment models Obamacare introduced, health care providers are required to become more proactive in managing patient care. This involves taking preventive health measures and coordinating care to improve outcomes for less money.

Aledade provides tech tools that give doctors greater control over decision-making.Aledade provides tech tools that give doctors greater control over decision-making. “We’re helping physicians who want to stay independent and prepare for the future for value-based income models,” says Mostashari.

Moreover, Aledade’s solution doesn’t require smaller practices to dump their existing EHR systems; it will work on whatever EHRs doctors have, to analyze patient populations, track hospital discharges, or pinpoint patients racking up medical bills.

By the end of the year, the company expects to have more than 100 physician practices in its ACOs, managing 75,000 Medicare patients. Practices pay a membership fee of $500 per general practitioner per month. They keep 60% of savings, with 40% going to Aledade.