Flychain newsletter for November 2023
Signing our third channel partner, building our provider-facing dashboard, and word of mouth referrals among our providers!
Highlights from November 2023
Signing Pario Health as our third channel partner
We’ve signed our third channel partner, Pario Health. Pario is a fully integrated practice management, EMR, and billing solution in the OB/GYN & CNM space. We’re excited to power the launch of Pario Capital as our first formal foray into maternity care, a vertical in which cash flow issues abound.
Building our provider-facing dashboard
Today, our provider experience primarily consists of 1) an application to collect the provider’s data for underwriting purposes, and 2) weekly reporting shared with the provider via spreadsheet to reflect the latest state of their financing program.
We’re excited to begin building a provider-facing dashboard, which will serve as the foundation of our Financial OS. The MVP of our provider-facing dashboard, will include the following functionality:
Financing
The provider can request a draw on their line of credit at any time.
Reporting to reflect the latest state of the provider’s financing program.
Billing monitoring
Real-time visualizations to show the health of the provider’s insurance claims.
The claims data is ingested from the provider’s RCM/biller.
Pro-active alerts to warn the provider if their billing health is trending in the wrong direction.
Cash flow monitoring
Real-time visualizations to show the provider’s financial health.
Bank data is ingested from our live Plaid connection to the provider’s bank accounts.
Pro-active alerts to warn the provider if their financial health is trending in the wrong direction.
Savings
Given that our providers’ largest expense is almost always payroll, we’ve partnered with FundedBuy to help our providers save on insurance premiums while improving employee benefits.
We fully expect to offer more savings opportunities to our providers in future!
We hope to have the Figma demo of our provider-facing dashboard ready to show you in next month’s newsletter!
Tiered SaaS fee for channel partners
Based on the feedback from channel partners, we’ve iterated the SaaS fee structure that we charge our channel partners. We now tier the SaaS fee based on the number of active lines of credit that we’ve provisioned to our channel partner’s clients e.g.:
1-10 active lines of credit
11-20 active lines of credit
21-30 active lines of credit
31+ active lines of credit
One important point to highlight is that this new tiered structure enables us to easily get started with channel partners, as the channel partner doesn’t pay a single dollar until we’ve provisioned at least one line of credit to their client-base.
Strong pipeline of channel partners
We have a strong pipeline of channel partners several of which are in the final contracting phase including:
Licensing and accreditation services for 600 home health agencies every year
Revenue cycle management for home health
EMR in maternity care
Practice management for infusion therapy providers
Word of mouth referrals
While we continue to remain bullish on our channel partner GTM approach, we’ve noticed that providers who we’ve financed directly (not through a channel partner) have begun referring other providers that they are friendly with. For example, Tammy from Fun 2B Free Therapies referred Amy from Synct Therapy, who then referred Kim from Big Hearts ABA. All three of these providers are in the ABA space, where our financing solution has resonated strongly given the overall growth in this vertical and lack of affordable working capital solutions.
Key metrics
As a reminder, we’ve decided to track the following two metrics every month:
Principal
The principal represents the total amount of funds that our capital partners have advanced to our providers in the given month.
Number of providers actively financed
This represents the number of unique providers that we are actively financing in the given month.
Goals
We’ve set ourselves the goal of increasing the principal and number of providers actively financed by 30% month over month between June 2023 and June 2024. You can see our monthly goals detailed here.
Goal vs Actual for November 2023
Graphs since December 2022
Financials
Monthly burn
$50,000
Bank balance
$2,292,499.13
Runway
3.8 years
Asks
We’d love to be introduced to the following types of companies, which are ideal channel partners for us:
EMRs & Practice Management software
Revenue Cycle Management platforms and Billing platforms.
Other healthcare companies that are interested in offering working capital to their clients.
Healthcare providers (any vertical).
Feel free to circulate our partner page to anyone who might be interested in chatting with us.
Till next month!