Canal Partners is please to announce that one of its managing partners, Wain Kellum, was recognized by the distinguished MIT Enterprise Forum. Wain Kellum joined Canal after being a portfolio CEO for two Canal companies including Omnilink and Vocalocity (later sold to Vonage). After seeing Wains unparalleled ability to execute and rapidly scale SaaS companies- managing partners Jim Armstrong and Todd Belfer brought Wain on as a Managing Partner. “Wain made a fantastic addition to Canal, not only did he bring us into many great deals in Atlanta, but his involvement as board member has proved invaluable to our other portfolio companies. Wain has been credited to of sourced and led the financing rounds of ClickDimensions (exited) and CallRail- two cornerstone SaaS companies in the Atlanta-metro area. Wain currently sits on the board of three Canal portfolio companies – MobileLogix, Allbound, and CallRail.
One might ask…what ever happened to the local healthcare SaaS company Omedix? That is a very good question and there has been such amazing changes that we forgot to tell the community what happened to last years Venture Madness Finalist.
In July of 2016, our portfolio company Omedix merged with Massachusetts based Forerun, Inc., The merger of these two companies formed a new-co called Edaris Health. Forerun offered a cloud-based electronic health record solution that served the Urgent Care and other ambulatory/episodic health centers. The technology was pioneered by the Beth Israel Deaconess Medical Center (BIDMC/Harvard) and positioned itself to offer superior workflow processes compared to other EHR’s in the market. Though the company had a strong presence in the Emergency Room and Urgent care market- it missed the functionality in the areas of patient engagement. Omedix was a perfect fit as it provided a fully integrated patient portal, a key feature that Forerun desired before the merger.
The opportunities are bountiful for Edaris Health as they have formed a strategic partnership with Henry Schein and are planning to roll out full integrations with its Practice Management System- MicroMD. The combined product offering will create great synergies within the urgent/ambulatory care markets.
Omedix empowers clinics to manage all aspects of their patient engagement through one secure integrated platform hosted in the cloud. Over 1,200 providers use Omedix software to enable patient self-service, leading to more streamlined workflows and a superior experience for patients.
Forerun’s specialized urgent care EHR (electronic health record) UrgiChart™ helps capture, prioritize and disseminate patient information. Forerun’s innovative architecture EHR design displaces the old-school EHR electronic chief complaint method and unlocks the power of computing technology to deliver a new charting experience that allows for fast and complete charting with a logical flow designed by physicians.
After the merger, the corporate name was changed to Edaris Health. “Our new name – Edaris Health – recognizes our legacy solution in the emergency services arena as we expand our offering to primary care clinics with urgent care access services. Edaris will provide next generation clinical informatics to meet the convenience of unscheduled visits while maintaining patient’s expectation for speed and quality of care,” -Ken Wolfe, CEO of Edaris Health.
The Edaris technology solutions, UrgiChart and FlexChart (from Forerun), enable clinicians and other health care providers to better serve patients who are seeking unscheduled and flexible access to care without compromising quality in care delivery. The company’s products are used at many community hospitals and Urgent Care Centers across the U.S.
Edaris also provides hospitals, clinics, provider networks, and private practices with convenient, affordable, and user-oriented online patient portal solutions. The Edaris patient engagement platform, EngageCare (from Omedix), isn’t just a way for patients to securely contact practices online, it makes it faster and easier for patients to pay their bills, gives patients an alternative to using the phone, and engages patients by supplying automatic access to their health information.
Canal Partners held their annual spring social last Thursday on March 30, 2017. The event was a huge success- having over 100 attendees show support. The purpose of the event is to provide a medium for technology innovators, service providers, mentors, and investors to come together and develop and strengthen relationships. “It was great to reconnect with some familiar faces, learn about new endeavors happening in our community, and connect people that haven’t had the chance to meet. Canal Partners looks forward to these socials as they are a catalyst for further connections and discussions with software companies” says Patrick Armstrong- managing partner at Canal.
CEO’s from some of the hottest Phoenix startups were in attendance including Scott Hines from MobileLogix, Susan Cordts from Catalytic Health Partners, Bob LaLoggia from AppointmentsPlus, Matt Pitinsky from Parchment, and Bahan Sadegh from NetTime Solutions. “We feel like these events are a great forum where our technology innovators can meet some of the best and brightest service providers and c-level executives in the valley” says Todd Belfer- managing partner of Canal Partners.
Notable providers that showed support to the social include representatives from Galvanize Phoenix, DLA Piper, Snell and Wilmer, HeadFarmer Recruiting, Palladium Recruiting, Arizona Technology Council, Lightpost Digital, SeedSpot Phoenix, and Kaiser Commercial Real Estate.
Canal Partners is an early stage venture capital firm founded in 2009 and located in Scottsdale Arizona. Canal’s investment focus is funding 1-3M in early stage B2B software-as-a-service businesses in the geographies of Phoenix, San Diego, Atlanta, and Denver. Canal has a time-tested investment model in investing in companies that have 1M+ of annual recurring revenue, strong management teams, and capital efficient business models. Notable companies in the Canal Partners Portfolio include WebPt, NetTime Solutions, ClickDimensions, MobileLogix, and Allbound. Canal Partners currently has 9 companies in their technology portfolio and has board representation on six of them.
Lightpost Digital- a subsidiary of Deal Current Network, secured a a Venture Capital investments from Canal Partners and DWP Investment in January of 2017.
The company is a nationally recognized provider of digital marketing services for small businesses.
This round of funding was a big stepping stone for Lightpost Digital, which only started in the autumn of 2015. Monthly revenue has been steadily increasing, now over 250 percent year-over-year growth. By the end of 2017, that number is predicted to shoot up more than 300 percent.
“Last year we focused on proving our business model, developing systems, and hiring a team of marketing experts for our operational team,” said Jimmy Hendricks, CEO of Lightpost Digital. “We are now focused on building the largest digital marketing sales force in the US to help us provide the most affordable marketing services available to business owners today.”
There are six main services that Lightpost provides: WordPress website development, SEO, Google AdWords management, Facebook ad management, business listings, and review building and monitoring. The utilization of technology for account managing automation is a vital differentiator for digital marketing companies. It is a key to keeping business owners’ expenses low.
“We rely heavily on systems and technology to manage every aspect of the account without missing the element of the human touch,” Hendricks said. “That’s where we’ve seen other low-cost providers miss the mark, but we’ve figured out how to leverage technology to streamline account management so our team can focus on strategy and getting results.”
Lightpost Digital has scaled at a rapid pace by use of proprietary systems and technology. The newest funds will be used to aggressively recruit and train, thus leading to a robust, nationwide sales team. This is essential to the Lightpost’s business model and sales growth.
“As investors and past small business owners, we were immediately attracted to Lightpost Digital’s business model,” said Todd Belfer, Managing Partner of Canal Partners. “We knew the team was onto something when we learned a small business could hire Lightpost Digital to manage their marketing for less than a $1,000 per month without compromising on quality. Coupling this with the experience of founders Jimmy Hendricks and Patrick Dillon, we anticipate they’ll grow into a successful national company.”
By close of 2017, the founders and fund managers predict Lightpost Digital will be cashflow positive with profitable returns.