Health IT firm BeneStream has closed $4.26 million Series A round of funding, led by TLSG Investments, with participation from Kapor Capital and Relativity Healthcare Partners as well as seed investors Serious Change, LP, Kevin Hill, Martin Babinec, and George V. Duczak.

The company provides a service that connects qualified employees to government health benefits, saving their employers the cost of insuring those employees. It is currently working with more than half of the top 10 largest health insurance brokerages in the country.

“With this round of funding, BeneStream will deepen its broker partner networks as well as begin to expand its relationships among companies that process the Work Opportunity Tax Credit (WOTC),” said Ben Geyerhahn, CEO and Founder.

BeneStream’s process moves eligible employees onto free government sponsored health insurance and is proven to deliver cost savings as a component of a healthcare package for qualified companies. The process utilizes the Medicaid expansion portion of the ACA which was designed to help employers save and provide employees with quality insurance through Medicaid enrollment. In that sense, the company has partnered with Human Capital Management providers who administer WOTC, a federal tax credit designed to encourage employers to hire targeted populations including veterans and low-income individuals who participate in the Temporary Assistance for Needy Families (TANF) and the Supplemental Nutrition Assistance Program (SNAP).

As part of the deal, TLSG Investments’ Michael Sachs will join and chair the BeneStream board, joining existing board members Julius Mokrauer and Kevin Hill.