- NowRx CEO Cary Breese came up with the idea of automating prescription delivery in 2015 after waiting in three different lines to get his pain medication.
- NowRx recently crowdfunded $20 million in series B funding on SeedInvest, the most ever for that platform.
- Breese said he was attracted to crowdfunding because it allows him more control over the company than typical VC funding, which “doesn’t have a great track record in health care.”
- The COVID-19 pandemic has brought an uptick in business for many medication delivery startups like NowRx from patients looking to avoid contact with other people.
- Visit Business Insider’s homepage for more stories.
NowRx CEO Cary Breese first came up with the idea of speeding up prescription delivery in 2015, after a day of waiting in lines to get pain medication for his injured knee.
“I had to stand in line just to drop off a piece of paper,” Breese said. “Then I sat down and got up to get in another line just to pay them, then sat down again. I stood in a third line just to talk to a pharmacist.”
The idea to eliminate this time-waster burst on Breese, a software veteran, because he had just been in the midst of a multi-week brainstorming session with friend and former colleague Sumeet Sheokand. They’d been scoping out industries struggling with inefficient systems and dated technology that they could innovate on.
“I just walked out and called my cofounder [Sheokand] and said, ‘How come no one’s changed the way pharmacies work?'” Breese said. “I can get a car to take me wherever I want… I can get my groceries delivered, I can order anything I want from Amazon. Why are we all still waiting in line at the pharmacy?”
From there Breese and Sheokand developed NowRx, a startup that aims to eliminate pharmacy waits by automating the prescribing process and delivering meds via HIPAA-certified drivers straight to customer’s doorsteps. The company announced on July 15 it raised $20 million in Series B funding through SeedInvest. Breese said it was the highest total ever for that crowdfunding platform. See the pitch deck NowRx used, below.
“We now have thousands and thousands of investors that are cheerleaders for our company,” Breese said.
Crowdfunding appealed to Breese because it allowed him to grow the startup on his own timeline.
“Venture capital doesn’t have a great track record in health care,” Breese said. “And I think it comes down to the standard attitude of ‘growth at all costs,’ and ‘move fast and break things.'”
This year has been a boom time for NowRx, according to Breese. He said the company has seen a large bump in revenue and number of customers compared to the same time last year, an uptick he attributes to both cumulative growth and the COVID-19 pandemic.
“There’s a lot of customers and patients out there with underlying health conditions that are looking for options so they don’t have to go out into a crowded brick-and-mortar store and risk further exposure,” Breese said.
The pandemic has caused a spike in business for other medication delivery startups as well. Birth control delivery startups Nurx and The Pill Club both told Crunchbase’s Sophia Kunthara they’d significantly expanded the number of patients using their services since the start of the U.S. outbreak. Fellow same-day prescription delivery startup Alto Pharmacy pulled in $250 million in funding from Softbank on January 30, days after the first identified case of COVID-19 in the U.S. was announced.
Check out the pitch deck NowRx used to crowdfund $2o million:
View original article here Source