Mantra Health Raises $22M to Provide Mental Health Assistance to Young Adults
Mental health has been a growing concern for many throughout the pandemic, including young adults trying to navigate the workforce, the pandemic and their futures. One New York-based startup aims to help and just raised fresh funding to do so.
Founded in 2018, Mantra Health is a digital mental health software provider for college students and young adults. The company partners with higher education institutions and insurance providers to deliver mental health services across the nation. It also acts as an extension to on-campus counseling and resources rather than replacing current mental health methods.
On Wednesday, Mantra announced it pulled in a $22 million Series A funding round led by VMG Partners with participation from a handful of new and returning investors. New investors include 14W, Alumni Ventures, New Market Venture Partners and Elements Health Ventures. Global Founders Capital, Western Tech Investments, Baleon Capital, City Light Capital and Canaan Partners are returning investors.
“Like many companies hitting the Series A mark, we feel like we’ve found a very special model after spending the last two years fine-tuning our product with our customers and we now need to do what’s necessary to scale,” Ed Gaussen, CEO and co-founder of Mantra Health, told Built In
Gaussen said the company will use the investment to quadruple the size of the team over the next year within its product development, go-to-market and clinical operations.
“Other focus areas will include clinical investments in our virtual provider group, continuing our expansion across all 50 states and doubling down on insurance partnerships,” Gaussen said. “We’re also excited to continue investing in the future of mental health professionals through our Diversity Scholarship program to make sure all young adults in America have the mental support they need to succeed within their reach.”
Mantra provides a free online assessment for students and an initial consultation to discuss creating a personalized treatment plan that keeps in mind cultural sensitivities and diversity. Some colleges that currently partner with Mantra include Moravian University, Hamilton College and Cornell University.
“We’re in a unique spot where our customers trust us and the market is shifting towards us. They love our digital product, they love our clinicians and they love our approach to working with them,” Matt Kennedy, COO and co-founder of Mantra Health, told Built In. “All of our customers renewed and we had 298 percent net dollar retention last year. Just this last week, Cornell asked us what we’re launching next year because they want to look at whatever we’re developing next.”
For the future, Mantra will be focusing on digital-first treatments and launching its Insurance Referral Program, which provides a program to help students with long-term mental health needs.
“Over the next year or so, we’ll introduce new digital-first treatments for patients, new specialties within our provider group and continue to expand our payment mix,” Kennedy said. “Ultimately, Mantra will have a mental wellness pathway tailored to each student from the day they walk on campus to well after graduation.”