Folx Health, a virtual LGBTQ+ care provider, has clinched $30 million in a funding round.
The round was led by 7wireVentures alongside participation from Foresite Capital, Bessemer Venture Partners, Define Ventures and Polaris Partners.
The company will use the latest capital raise to focus on scaling its enterprise offering and platform.
The company also announced that Lee Shapiro, managing partner of 7wireVentures and former chief financial officer of Livongo Health, will join Folx Health’s board of directors. The company is excited about leveraging Shapiro’s expertise, particularly around enterprise expansion in healthcare, executives told Fierce Healthcare.
“It is our responsibility to provide offerings that enable folks to receive the care they need and deserve,” Liana Douillet Guzmán, CEO of Folx Health, said in an announcement. "This funding is a testament to the importance of our mission, and we are honored that Lee and 7wireVentures are joining our efforts to create a more equitable healthcare system for the LGBTQIA+ community.”
The company also announced it will be launching new expert-led support groups this month. The multiweek group sessions will initially be on the topic of fertility and family planning, led by Folx Health’s chief clinical officer. But the company plans to “expand very quickly beyond that,” Guzmán told Fierce Healthcare. By listening to member feedback and needs, “that’s sort of what helps inform where we go next.” Folx will also launch an iOS and Android app for real-time behavioral health support.
“7wireVentures is proud to be partnering with FOLX Health during a pivotal moment in the company's trajectory," Shapiro said in the announcement. “Now more than ever, there is a clear need to expand access to inclusive health services for the millions of Americans who identify as LGBTQIA+.”
Folx Health has scaled rapidly since its inception in 2020. While initially, it was focused on serving the trans population, it expanded earlier this year to serve the LGBTQ+ community at large with its virtual healthcare platform, offering virtual primary care and gender-affirming care. The company hopes to operate in all 50 states by the first quarter of next year, executives said.
This summer, the company also rolled out its enterprise solution for employers. Whereas sometimes in healthcare, offering consumer and enterprise solutions at once can be conflicting, Guzmán said, that has not been the case for Folx Health. Each investment it makes in one offering strengthens the other. That’s because members who are satisfied recommend the company's services to other individuals or their employers.
“This is a unique business where actually pursuing both things simultaneously is not a distraction,” she said.
Earlier this summer, the company launched peer support groups aimed at the trans community, which it hopes to expand. Recognizing group therapy is not right for everyone, Folx Health hopes to get into one-on-one therapy, too. “We want to make sure that we’re offering that whole suite of offerings,” Guzmán said. The company also is eyeing opportunities to expand into fertility and behavioral health.
Folx launched in December 2020 as the first major queer and trans venture-backed company offering virtual primary care, sexual health and prescriptions for hormone replacement therapy and sexual health.