# Curve Health Financial Model SaaS platform connecting skilled nursing facilities (SNFs), hospitals, and EMS via telemedicine, health information exchange, smart billing, and predictive analytics. - Canonical: https://finamodel.com/startups/curve-health - Excel download: https://finamodel.com/startup-models/curve-health.xlsx - Category: Health-tech - Model type: SaaS ARR / Valuation - Funding round: Seed - Funding: $6M - Founded: 2020 - Geography: US (post-acute / senior care market). [DECK, slide 1 - "September 2020"] - Customer: B2B2C ## About the company Curve Health connects skilled nursing facilities, hospitals, and EMS through telemedicine, health-information exchange, billing, and predictive analytics. It aims to reduce gaps in care coordination between acute and post-acute settings. Hospitals pay a monthly fee plus a share of telemedicine billing, while SNFs pay a recurring monthly SaaS fee. These two revenue streams reflect different customer economics and make facility adoption central to scale. The model should forecast hospital and SNF customers, monthly fees, telemedicine billing volume, revenue-share rate, and churn. Clinical operations, integrations, billing collection, and sales costs should be distinct from the core SaaS margin. ## What's included - 5-year monthly revenue build with stage-appropriate growth assumptions - Full P&L, headcount plan, and operating-expense schedule - Cash-flow statement, runway, and burn-rate tracking - Valuation via exit multiple with a DCF cross-check - Returns analysis with MOIC and IRR - Unit economics including CAC, LTV, payback, and cohort retention ## Product & value proposition Four-module platform branded "THE CURVE Model": - **Train** - telemedicine best-practices interface for physicians and SNF staff; charting prompts to reduce fatigue and improve documentation quality. - **Connect** - location-agnostic telemedicine enabling physicians to treat patients across multiple SNFs simultaneously; point-of-care lab/imaging (X-ray, EKG, urinalysis, telemetry) integration; 24–48-hour post-visit monitoring. - **Bill** - proprietary telemedicine "Superbill" developed over 5 years; integrated with hospital billing systems; automates chart-to-claim workflow to reduce human error and accelerate reimbursement; also captures SNF comorbidity revenue. - **Predict** - senior-care-specific algorithm using usage data for population health, resource planning, and 30-day readmission reduction. Core claim: 50%+ reduction in hospital admissions from SNFs. Platform built on the Call9 telemedicine platform (acquired/licensed asset). Partnership with IDEO for UI/UX and business design. ## Market - TAM stated as $4B+ - no breakdown by sub-segment shown in the deck (no $ split between Hospital, SNF, and ALF rings on the nested-circle diagram). - Post-acute space referenced as $163B - this is total post-acute expenditure per CMS 2016 data, not Curve's addressable software/services slice. - Three concentric market rings identified: Hospital Opportunity (innermost/smallest), SNF Opportunity (middle), Assisted Living Facility Opportunity (outermost/largest) - no individual $ values visible on image. - 2.1 million patients transferred to ED from post-acute facilities annually; two-thirds (~1.4M) deemed unnecessary. - No SAM or SOM figures provided. No market growth rate cited. ## Revenue model Two pricing streams: 1. **Hospital customers**: Monthly fee + % of billing (revenue-share on telemedicine billings captured through the platform). 2. **SNF customers**: Monthly fee only (flat SaaS subscription). - ALF (assisted living facility) channel mentioned as expansion opportunity; pricing not specified. - No specific monthly fee amounts, % of billing rate, or contract length disclosed in the deck. - Revenue cycle management (RCM) / billing automation is a core value driver; platform captures telemedicine fee-for-service revenue and supports value-based contract negotiation with payors. ## Traction & metrics Case studies from Call9 platform (predecessor): - Case Study 1: 70% of patients avoided ED; SNFs made $944,882; payors saved $9,503,696 (pre-COVID). Awarded AGEM April 2017. - Case Study 2: 70.2% of patients avoided ED; SNFs made $1,027,695; payors saved $10,336,663 (pre-COVID). Awarded NAEMSP August 2016. - Case Study 3: 38.3% relative reduction in transfers; SNFs made $177,568; payors saved $1,785,993 (pre-COVID). Awarded SAEM May 2018. - Peer-reviewed publication (West JEM, Oct 2020): only 27% of intervention group transported to ED vs. 71% of comparison group (OR for admission = 0.15). No current Curve Health customer count, ARR, MRR, or live deployment metrics are disclosed. Traction figures are from the Call9 predecessor platform. ## Competition / moat Not addressed directly. Implied moats: - **Platform integration depth**: HIE + telemedicine + billing + analytics in one system creates switching costs. - **Clinical evidence base**: peer-reviewed outcomes data (6 published/awarded studies) is a rare differentiator in digital health sales. - **Billing IP**: 5-year-developed telemedicine Superbill optimised for national payors - not easily replicated. - **IDEO partnership**: top-tier UX/design partner and access to healthcare system network. - **COVID tailwind**: telehealth reimbursement restrictions waived, potentially doubling revenue opportunity; CMS administrator quoted as saying "the genie's out of the bottle" on telehealth reimbursement. - No competitive landscape matrix or named competitors shown. ## Team & funding ask / use of funds **Team**: - Rob MacNaughton - CEO (named "Top 50 Healthcare Technology CEOs of 2020") - Tim Peck, MD - President & Executive Chair (founder; lived in a nursing home for research) - Cheryl Porro - CTO - Nicole Greene - SVP Product & Operations - Erika Green - Head of Clinical Operations - Garrett Gleeson - Head of Corp Dev + Communications - Call9 Software Development Team (inherited) - Strategic Advisory Committee; Clinical Operations Experts; IDEO Business Design & Healthcare Experts **Funding ask**: $5–6M Seed Round. **Use of funds** (two buckets, no % or $ split given): - R&D: HIE optimisation, EMR integrations (Epic/Cerner, PointClickCare/Sigma/Matrix), hardware integrations, AI/ML for predictive analytics. - Expansion: sales execution on existing pipeline, exec team build-out, IDEO UI/UX rollout at scale, RCM optimisation, customer success. --- ## Recommended financial model - **Archetype + why**: B2B SaaS + RCM revenue-share hybrid. Curve has two distinct revenue legs - a recurring monthly fee (pure SaaS) and a variable % of billing (usage-based / RCM). This requires a model that tracks both streams separately against a facility-count ramp. Closest archetype: **SaaS ARR model with a parallel RCM/variable-revenue layer**, not a pure ARR model. - **Forecast horizon & granularity**: Monthly for Year 1–2 (seed deployment phase); quarterly for Years 3–5. 5-year horizon total. Monthly granularity needed to model sales cycles, go-live lags, and cash burn against the $5–6M raise. - **Key drivers & assumptions**: *Facility growth:* - Hospital logo count - Year 1 end - SNF logo count - Year 1 end - ALF expansion - - Monthly churn rate per facility type *Pricing:* - Hospital monthly fee - Hospital billing share (%) - SNF monthly fee - Average telemedicine billings per hospital deployment/month *Clinical / operational:* - Average % ED avoidance achieved - Implementation lag (contract to go-live) *Costs:* - COGS: primarily customer success / clinical operations headcount + tech infrastructure - S&M: enterprise health system sales is expensive - - R&D / engineering: Call9 dev team inherited - - G&A: CEO, CTO, CFO-equivalent, legal *Funding:* - Seed raise: $5.5M midpoint - Runway target - **Scenarios (Base / Bull / Bear - which variables flex)**: - **Base**: 5 hospital + 15 SNF logos by end of Year 1; 20% MoM logo growth in Year 2. - **Bull**: COVID telehealth waiver becomes permanent, doubling reimbursement rates; 10 hospitals + 30 SNFs by end of Year 1. - **Bear**: Enterprise sales cycles slip to 9–12 months; reimbursement waivers expire; 2 hospitals + 8 SNFs by end of Year 1; requires bridge capital. - Key flexed variables: sales cycle length, reimbursement rate (% of billing), hospital logo count, gross margin. - **Required sheets / outputs**: 1. **Assumptions** - all drivers in one editable block (hospital price, SNF price, billing %, churn, headcount plan, raise timing). 2. **Revenue build** - separate waterfall for (a) SaaS MRR (hospitals + SNFs) and (b) RCM variable revenue (hospitals only), consolidated to total net revenue. 3. **Headcount & OpEx** - by department (R&D, S&M, G&A, Clinical Ops). 4. **P&L (Income Statement)** - monthly Y1–Y2, quarterly Y3–Y5. 5. **Cash flow & runway** - monthly burn, cumulative cash, months of runway vs. raise. 6. **Scenario toggle** - dropdown or input cell to switch Base / Bull / Bear. 7. **KPI dashboard** - logo count (hospitals / SNFs), ARR, net revenue, gross margin %, burn rate, months of runway. ## Frequently asked questions ### Is the Curve Health financial model free? Yes. The Curve Health model is a free Excel download with live formulas. ### Can I change the assumptions? Yes. The workbook is editable and its live formulas recalculate when assumptions change.