Cohealo

About Cohealo

Cohealo provides a technology-driven solution for the healthcare sector, specifically targeting the multi-billion-dollar issue of underutilized medical equipment. Founded in 2012 by Brett Reed, Michael Slocombe, and Mark Slaughter, the Boston-based company operates a cloud-based software and analytics platform designed to help hospital systems share expensive capital equipment across their facilities. This approach to collaborative consumption aims to increase asset utilization, reduce the need for costly equipment rentals, and cut down on redundant capital expenditures.

The founders' backgrounds created a complementary fit for the venture. Brett Reed, a retail operations executive before pursuing his MBA, brought expertise in operations and logistics. He met Mark Slaughter, who was experienced in selling surgical equipment, at the University of Miami, where they identified the widespread problem of equipment underutilization. Slaughter had observed that hospitals were often either over or under-equipped and that expensive machinery frequently sat idle. This insight formed the core of Cohealo's business concept. The company, which began in Florida, later relocated to Boston to be closer to a major healthcare hub.

Cohealo's business model centers on its SaaS platform that integrates with a hospital's existing systems, like its EMR, to track equipment usage without requiring manual data entry from clinical staff. The platform provides analytics that give administrators visibility into where, when, and how often equipment is used, identifying both underused and overused assets. When a need for a specific device arises at one facility, the system can locate an idle unit at a sister hospital. Cohealo then manages the logistics, including transportation, to move the equipment where it's needed, ensuring it arrives ready for use. This service allows health systems to function more cohesively, transforming a collection of individual facilities into an integrated network that can optimize its collective resources.

The company generates revenue by charging its clients, which are large health systems, for access to this platform and service. By improving equipment availability, Cohealo enables hospitals to support service line expansions and accommodate more surgical cases, which can lead to increased revenue. The analytics also support data-driven capital purchasing decisions, allowing systems to buy a single piece of equipment to be shared among multiple locations. Since its first funding round in 2012, Cohealo has raised a total of $15.1 million over several rounds from investors including Romulus Capital, Krillion Ventures, and JVP.