This is a crosspost of a post I originally wrote on Healthfundr. You can view the original here.
Over the past year since we launched the first iteration of Healthfundr, we’ve met amazing investors, entrepreneurs, and industry/startup experts. We’ve had more than 800 meetings, calls, meals, and more, helped investors make investments, and refined our model. Most importantly, we’ve learned a ton about how to make online investing work in an industry as complex and broad as healthcare.
We’re a few weeks away from launching what will be the core to Healthfundr making online health startup investing intelligent and scalable: hf Expertise. We’re incredibly proud of hf Expertise and it’s the biggest leap forward yet in our model. We want to make dramatically more startups successful through hf Expertise.
For investors, hf Expertise is a way to get relevant, market-specific information to help you do better due diligence and make smarter investing decisions. For startups, hf Expertise is a way to increase your chances of success by getting cost-effective and efficient access to expertise to help you navigate the many challenges you face.
Over time, hf Expertise will be multiple products that connect investors and startups to industry and startup expertise. But when we launch, hf Expertise will be two things, an on demand phone advice platform and user profiles. Check out the video below to learn about these two products and read on to learn why we’re building hf Expertise.
Why We’re Building hf Expertise
A few months ago, we stepped back and asked “What do health startups need to succeed?” We decided it’s three things: capital, expertise, and technology. We set aside technology (as that’s outside of what we’re doing), and focused on capital and expertise. We quickly realized that the two are inextricably connected.
Because healthcare is so broad and complex, it’s nearly impossible for any one investor to know everything they need to know to make smart investing decisions in every promising company they see. Likewise, beyond the typical uncertainty of a startup, healthcare startups face enormous regulatory, clinical, bureaucratic, and other uncertainty not faced by other startups. It’s often difficult to even figure out who the real customer for a company’s product is. (see Reimbuserment for Investors)
We quickly realized how unique healthcare is. Both investors and startups need access to an incredibly wide range of highly technical and complex expertise. We also realized there really aren’t any low friction ways to efficiently and cost-effectively connect investors and startups to industry and startup expertise. For example, a large venture capital fund can relatively easily bring in expertise to help them decide whether to write a $5M check, but these economics just don’t work for individual or part-time health startup investors.
These insights led us to start building hf Expertise. We realized that by using technology to more efficiently connect investors, startups, and investors at the most critical, early stages, we can help individual/part-time health startup investors make better investing decisions by giving them access to relevant, market-specific information, and startups access to expertise that can increase their chances of success. With this model, we want to make more startups successful, increasing returns for investors and improving the quality of life for everyone.
hf Expertise Phone: On demand phone advice platform
The above video gives the details, but if you didn’t watch yet, hf Expertise Phone is an on demand phone advice platform that connects investors and entrepreneurs to industry and startup experts. It’s a way to have frictionless micro-consulting engagements. hf Expertise Phone is also the first way we’ll be using the hf ecosystem to efficiently build real connections between investors, entrepreneurs, and industry/startup experts.
Once we launch, every hf member will be able to have a user profile that highlights their areas of expertise. Building a profile will be super simple. You’ll just sync with either LinkedIn or Doximity and we’ll automatically create most of your profile. Once you add areas of expertise and a few more details, your profile will be good to go. Soon after we launch, you’ll also be able to connect with other hf members through your profile.
Your hf profile will be the starting point for building relationships and transacting with other hf members. We want to build community trust by empowering members to work together and transact with each other. Transactions can be as small as a 15 minute phone call or answer to a question, or as large as cofounding a company or coinvesting with someone. Your hf profile is the core of your ability to build a reputation and transact in the hf marketplace. We’re starting simple, but over time, you’ll have more and more ways to use your hf profile to build a reputation and relationships with others in the health innovation ecosystem.
While everyone will be able to create hf profiles, highlight their areas of expertise, and connect with other members, not everyone will be accepted to be an expert that is able to take on demand phone advice calls, provide info to investors, or assist hf portfolio companies. We want to ensure that hf Expertise is the best expertise network available to early investors and entrepreneurs. As the community grows, we’ll accept more and more experts and types of expertise into the network.
We’re extremely excited about what we’re working on and can’t wait to have you join us in making investing in and buidling health startups smarter, easier, and more efficient. To get started, request a hf Expertise invite below, then create your hf account if you don’t have one yet.