To our extended clinician network:
I'm Michael Wang, CEO of Telecare, and I wish to convey my profound gratitude for your steadfast commitment and support throughout our incredible journey together.
I'm excited to share a unique investment opportunity with you. Australian Medical Angels, our lead investor from the last funding round, is currently consolidating a SAFE investment for Telecare as part of our Series A fundraising round. As valued clinicians in Telecare's supporting network, we warmly invite you to consider participating in Telecare's next phase of transformation.
This will be the final opportunity for individuals to invest directly in our company. You will have priority access to invest before Australian Medical Angels extends this opportunity to its broader investor network. Moreover, you will be privileged with waived management fees (5%) to enter this round. All investments will be consolidated into a Special Purpose Vehicle (SPV) through Australian Medical Angels, facilitating a pooled fund for streamlined management.
I want to take a moment to express my heartfelt appreciation for your enduring support. In the past year alone, we have witnessed remarkable growth and a series of accomplishments. We have expanded our specialist network, secured new hospital contracts, and successfully launched our groundbreaking software product, RxPad. The innovative solutions you have developed have set new industry standards, solidifying our position as a leader in our field.
For more details, refer to the below invitation letter from Dr. Bi Mian, the principal investor
of Australian Medical Angels, along with additional FAQs to assist you with any terminology or queries you may have. If you are interested in this opportunity, please complete the Expression of Interest (EOI) form by the 27th of October.
Best Regards,
Dear colleagues,
I trust this message finds you well.
Let me introduce ourselves, Dr Amandeep Hansra and myself (Dr Mian Bi) are the founders and lead investors at Australian Medical Angels (“MA”). We are currently the largest and most prolific Angel investor syndicate in the Australian healthcare space with over two dozen portfolio companies and are proudly doctor-led and owned.
It has been a year since MA made the decision to lead our original investment in Telecare. A total of 48 clinicians invested into a fledging telehealth service company that was playing its part in the COVID-19 pandemic response by enabling specialist services in the age of rolling lockdowns and travel restrictions.
What we saw at MA was not just another specialist telehealth provider but a company with a focus on software-enabled workflows and operational automation to bring practice management to the 21st century. We always held the fundamental belief that Telecare could transform from a direct-to-patient telehealth service provider into a B2B service delivery company that could service hospitals and institutions. Furthermore, their ability to double down on software development to build efficiencies in the practice and outpatient clinic management space is truly where their future lies.
Telecare's journey over the past year has been marked by significant advancements in the realm of virtual healthcare provision. Notably, their partnership with Mackay Hospital has been instrumental to their continued expansion into the public hospital virtual healthcare space. Expanding from outpatient services to virtual inpatient services at NCN Health in Victoria demonstrates that Telecare has the secret ingredient to expand their footprint across regional and rural Australia, bridging the gap between healthcare inequalities between the city and the bush.
Beyond expanding the scope and scale of their service offerings, Telecare has been diligently focusing on software development, unveiling an ambitious portfolio of software and automation tools to assist everyday clinicians. The strategic approach of creating software to meet their own requirements is something not seen in SaaS companies and I dare say, gives Telecare a unfair advantage as they make moves into the software space. This approach is poised to address the evolving needs of managers and clinicians, setting a strong foundation for the future.
As a practice owner myself, I am eagerly looking forward to the day when I can finally get early access to Telecare’s suite of practice automation tools.
In summary, Telecare has achieved the following key milestones since our investment:
Given Telecare’s achievements over the past year, I have confidence in their ability to continue going from strength to strength. Therefore, MA is committed to participating in Telecare’s current SAFE funding round.
If you are interested in co-investing, please drop me a line.
Yours Faithfully,
Mackay Hospital and Health Service
In June 2022, Telecare assumed responsibility from Telstra Health to deliver Virtual Outpatient Services to Mackay Hospital and Health Service in Queensland. This partnership has yielded remarkable outcomes, including doubling capacity, introducing new services, and enhancing patient care. Telecare's expanded services encompass haematology, hepatology, respiratory, medical oncology, paediatric behavioural development, IBD, and endocrinology. By leveraging
Telecare's solutions, patients at Mackay HHS have gained access to a broader range of specialties, resulting in reduced wait times for specialist consultations and significantly elevated satisfaction levels.
NCN Health
Commencing in December 2022, Telecare initiated the Virtual Inpatient Services contract with NCN Health. Recognising the challenges stemming from General Practitioner workforce shortages, Telecare addressed critical issues that were impacting patient care. Previously unable to admit patients over weekends due to staffing limitations, NCN Health underwent a transformation. Telecare believes the model is highly scalable across health services around the country given the workforce limitations prevalent across regional Australia.
South West Hospital and Health Service
August 2023 marked a significant milestone as Telecare was commissioned to extend its Virtual Outpatient Services to South West Hospital and Health Service in Queensland. Building upon their existing case conference model, this expansion will cater to the healthcare needs of a vast region encompassing three hospitals and nine GP services, covering over 310,000 square kilometers — an area nearly equivalent to the size of Poland.
Dhelkaya Health Services
In another notable achievement, Telecare secured a contract in August 2023 to provide Virtual Inpatient Services to Dhelkaya Health. The engagement will involve delivering in-hours ward rounds and patient admissions virtually to Castlemaine Health's rehabilitation unit, ensuring seamless and efficient care delivery.
Kyabram Health Services
August 2023 witnessed yet another accomplishment as Telecare was selected to provide Virtual Outpatient Services to Kyabram Health Services, further expanding their reach and impact within the Australian healthcare landscape.
RxPad
In August 2023, Telecare proudly introduced RxPad, Australia's pioneering standalone e-prescription software. Born out of frustration with the prevailing prescription process, RxPad empowers doctors by eliminating paper prescription pads, saving time, and enhancing patient-focused care. The remarkable traction is evident, with over 180 active users since launch and an impressive pipeline of over 400 more users in line.
AI Letter Writer
At present, Telecare is in the advanced stages of developing an AI-powered letter-writing software. Designed to seamlessly convert clinician notes or voice recordings into fully formatted specialist letters, the tool streamlines communication between clinicians and specialists. The closed beta is scheduled to commence from November 2023, promising increased efficiency and improved communication in the healthcare ecosystem.
Pathology Results Viewer
In August 2023, Telecare embarked on a collaborative journey with the Alfred Hospital to co-design and build a customised Pathology Results Viewer. The completion of this project is anticipated in early 2024, enhancing the accessibility and efficiency of critical pathology data.
OPAU (Outpatient Processing Automation and Utilities)
As Telecare continues to scale their operations, the team is diligently developing OPAU — an all-encompassing hospital productivity platform. Grounded in meticulous design and build processes initiated in July 2023, OPAU is slated to enter beta testing in late 2024, offering a comprehensive suite of tools designed to seamlessly integrate with existing healthcare systems. Telecare believes OPAU will double the administrative efficiency of hospital outpatient departments.
The SAFE round will be active for a period of four weeks, commencing today and concluding on October 27, 2023.
It presents a distinctive opportunity to support the acceleration of Telecare's growth journey. For a detailed explanation of what a SAFE is, please refer to this informative video by Y Combinator, or see the FAQ section below.
If you wish to participate in this SAFE round, or you would like to seek additional information, click here.
Special Purpose Vehicle (SPV) typically refers to a separate legal entity created for a specific purpose, often related to fundraising or investment. Startups might use SPVs to consolidate funds from multiple investors into a single entity, which then invests in the startup.
This structure can simplify the investment process, provide anonymity for certain investors, and facilitate compliance with regulations. SPVs are commonly used in venture capital and angel investing to streamline investments in startups.
In short, SPV is a fund which is run by Medical Angels in the upcoming SAFE fundraising round.
You will invest in Telecare through Medical Angel’s SPV. You will have ownership of the portion of the fund. Managing investments, updates, and communications with Telecare will be handled through Medical Angels.
A SAFE is a fundraising method that startups can use to raise capital. In exchange for cash, investors receive the right to purchase equity in future priced rounds. SAFE stands for “simple agreement for future equity.” It was invented at the Silicon Valley incubator Y Combinator in 2013 as a simpler alternative to convertible notes.
When you use a SAFE to raise money, you aren’t giving away any part of your company at the time of the agreement. Instead, you negotiate terms of a possible future investment, such as a discount rate or valuation cap. As such, SAFEs are not debt instruments or equity financing — they’re legal contracts that promise future shares.
The SAFE is a financial instrument that represents a promise of future equity. It provides investors with the right to convert their investment into equity in the company at a later date when specific trigger events occur, such as a qualified financing round or a liquidity event.
A SAFE investment lets startups raise money without going through a valuation. Instead of providing shares in exchange for an investment, a SAFE gives the investor the right to purchase equity after the company has been valued.
SAFEs convert into equity after a “triggering event.” When they’re used to fund companies, the trigger event (also known as a liquidity event) is typically the startup’s first priced round of fundraising, such as a Series A.
During that financing round, the SAFE holder can convert it into equity according to the terms of the agreement, such as a valuation cap or discount. These terms often let early investors purchase equity at a lower price compared to later investors.
For example, a startup is raising money and enters a SAFE with an investor under the following conditions:
One year later, the company launches its Series A with a valuation of $25m. The SAFE now converts into equity, and the investor can purchase equity at a lower rate since the $15m valuation cap is less than the company’s $25m valuation.
In short, the company received the cash it needed to grow ($1m), and in exchange for taking a risk on a new venture, the investor gets to purchase shares at a lower valuation.
The minimum investment required is $5,000.
The SAFE will convert into equity when a predetermined event occurs. This event is typically a qualified financing round where the company raises a specified amount of capital or a liquidity event, such as an acquisition or IPO.
SAFE holders typically do not have voting rights or additional privileges in the company. However, they are entitled to equity upon conversion based on the terms of the SAFE agreement.
The SAFE does not have a fixed maturity date. It remains outstanding until a conversion event occurs or until other conditions specified in the agreement are met.
Future dilution depends on the startup's fundraising plans and success. If the company raises additional capital in the future, existing investors, including SAFE holders, may experience dilution as new equity is issued.
The startup has conducted legal due diligence and ensured compliance with relevant securities regulations for this SAFE offering.
The SAFE may include certain protections, such as a valuation cap or discount rate, to provide investors with favourable terms upon conversion. We are committed to ensuring fair treatment of our investors.
