OptioSurgical Secures $3.3M Funding to Drive Surgical Cost Reduction Platform and Expand into Spine and Cardiovascular Markets

On July 24, 2019, VCBeat (WeChat ID: vcbeat) learned from foreign media reports that OptioSurgical, a medical software analytics company, announced the completion of a $3.3 million financing round. The company plans to use these funds to advance the continued application of its analytics software on surgical platforms and to expand into other specialty areas, such as spine and cardiovascular care. This round was led by Next Frontier Capital. It is reported that OptioSurgical previously completed a $700,000 seed funding round on August 16, 2017.

OptioSurgical, founded in 2017 and headquartered in Colorado, USA, is a medical software analytics company. The company’s mission is to enhance healthcare transparency, reduce medical costs, and improve patient outcomes. OptioSurgical leverages its proprietary software platform to track medical devices used in surgical procedures, integrating specialized information across various surgical disciplines.

OptioSurgical enables surgeons to compare pricing schemes both within and across vendors, allowing them to select alternatives that benefit patients. The application ranks surgeons, provides automated alerts regarding overcharging, billing errors, and the use of non-contracted products, and highlights key information related to vendors and clinicians.

OptioSurgical’s software provides vendors and clinicians with critical insights to help them make more informed decisions, thereby increasing profits and reducing the time required for the U.S. Registered Financial Planner (RFP) certification process from nine months to just a few days. OptioSurgical currently focuses on the $50 billion orthopedic device market. On average, the company can reduce surgical costs for hospitals and ambulatory surgery centers by 20–40%. OptioSurgical plans to continue expanding its product portfolio in 2019 to serve ambulatory surgery centers and hospitals.

“As a surgeon, my mission is to deliver high-quality, low-cost treatment outcomes for my patients. I am very willing to change people’s behavior, but it is extremely challenging for physicians to obtain cost information in an accurate and actionable manner,” said Dr. Dave Laverty, a plastic surgeon.

Rob McCarville, head of the medical consulting firm Medical Consulting Group, stated, “Prior to OptioSurgical, it was difficult for us to obtain case cost information in real time, and surgeons were unsure how to improve cost-effectiveness. With this software, we can now easily achieve these objectives and reduce costs.” Currently, Medical Consulting Group is responsible for the development and management of 70 surgical centers in the United States.

Next Frontier Capital, established on May 1, 2015, and headquartered in Bozeman, Montana, USA, is a venture capital fund. The fund prefers to collaborate with creative-driven and talented entrepreneurs to jointly build companies with international influence, practicality, and value. Backed by investments from the world’s leading technology and financial firms, it currently manages $59 million in assets.

(Compiled by Cheng Tao)