PinpointCare raises $11m in funding
PinpointCare, a Chicago-based personalised health ﻿software company, has raised $11m in funding and now has more than 50 investors according to its CEO, Joel Splan. The software it develops aids doctors in the formation of personalised treatment programme﻿s for patients who are experiencing procedures such as hip and knee replacements. Healthcare providers pay around $200 per case to use the software, which gives access to anyone else involved in the patient's care.

A Chicago-based software company that's riding one of the major shifts in how doctors get paid has raised $11 million.

PinpointCare's software helps doctors come up with customized treatment plans for patients undergoing procedures such as hip and knee replacements. Medicare and other insurers are moving toward paying doctors a lump sum for such procedures. Under such a scenario, it's even more critical that doctors prevent complications in recovery that could send patients back to the hospital, because additional treatment would cut into their profits.

The company has raised its funding almost exclusively from individuals and has more than 50 investors, said CEO Joel Splan, though most of the money has come from about a dozen people. Among its early backers is Chicago-based fund OCA Ventures, he said.

PinpointCare, based in the West Loop, came up with an algorithm that helps doctors determine a care plan—involving post-operation care such as skilled nursing and physical therapy—for each patient. Doctors pay about $200 per case to use the software, which is then made available to any other providers involved in the patient's care.

The company has signed up about 70 customers, including the Illinois Bone & Joint Institute, said Splan, a health care technology veteran who previously worked at Northwestern Memorial Hospital. PinpointCare has 16 employees and likely will grow to 20 by year-end.

PinpointCare got its start building laboratory software, but it moved into care planning when the Affordable Care Act spawned pilot programs for bundled, flat-fee payments for certain high-dollar but common procedures.