bttn Secures $5M Seed Funding - Medical Supply Marketplace

Bttn. Secures $5 Million Extension to Seed Round

Following a $1.5 million seed funding round completed in June, bttn. has announced a further $5 million extension. This extension was led by FUSE, bringing the company’s post-money valuation to $26.5 million.

Addressing Inefficiencies in Medical Supply Procurement

Founded in March 2021 by JT Garwood and Jack Miller, the Seattle-based company originated from observing the difficulties faced by medical organizations during the global pandemic. These challenges included sourcing necessary supplies and securing equitable pricing.

According to CEO JT Garwood, the impetus for bttn.’s creation stemmed from the antiquated systems prevalent in the industry. Many organizations were still relying on faxed order forms and lacked accurate inventory management.

Disrupting the U.S. Wholesale Medical Supply Market

Bttn. is focused on the U.S. wholesale medical supply market, projected to reach a value of $243.3 billion by the end of 2021, as reported by IBISWorld. The company has developed a business-to-business e-commerce platform offering a diverse range of high-quality medical supplies.

Customers are experiencing savings averaging between 20% and 40%, alongside improvements in the ordering and shipping processes, Garwood stated.

Growing Customer Base and Expanding Services

Currently, bttn. serves over 300 customers, encompassing individual practices, surgical centers, and various government entities. The company also holds the position of preferred supplier for more than 17 healthcare associations nationwide.

Beyond its initial focus, bttn. is expanding its offerings to include dental supplies and is attracting clients such as senior living facilities, as well as home and hospice care providers.

Strategic Use of Funds and Future Development

The newly acquired funds will be allocated to bolstering bttn.’s technology, sales, and operations teams. Furthermore, the company intends to forge new partnerships.

Planned feature additions include a shipment tracking portal, enhanced order automation capabilities, and improved control over supply delivery schedules.

Leveraging Data Analytics for Proactive Supply Management

Bttn. is also increasing its analysis of marketplace data to identify emerging trends, including hospitalization rates. This information will be shared with customers to anticipate potential supply disruptions.

For instance, Garwood explained, increased hospital occupancy often precedes supply shortages.

“Our core mission is to address the inherent inequities within the medical supply industry and deliver a superior solution for our customers,” Garwood added. “We aim to proactively inform customers about anticipated demand surges, providing them with accurate data and empowering both consumers and healthcare providers.”

Partnership with FUSE and Future Growth

Garwood described the initial seed round as a catalyst for rapid growth, and characterized the partnership with FUSE as a natural progression, citing the firm’s valuable assets.

Brendan Wales, general partner at FUSE, communicated via email that his firm prioritizes supporting promising entrepreneurs in the Pacific Northwest. He noted that FUSE identified bttn. prior to any public funding announcements.

Wales highlighted the growing consumerization of healthcare, initially observed on the patient side, but now extending to providers. Medical office staff are seeking comparable customer experiences to those offered by popular online retailers, and bttn. demonstrates “a strong commitment to delivering such experiences to healthcare professionals.”

“We were particularly drawn to the concept of providing a transparent and user-friendly experience for healthcare providers, a feature that has been notably absent,” Wales added. “Combined with a dynamic and ambitious team, this made our partnership a seamless endeavor.”