WellTrack, the Fredericton company that provides mental health software for university students, has reached $400,000 in annual recurring revenues and sees a clear path to $1 million this summer.
Founder and CEO Darren Piercey revealed the company’s progress in generating sales during his two-minute pitch for the 500 Startups Demo Day, which took place last week. WellTrack was one of 41 companies to graduate recently from the Silicon Valley accelerator’s 20th cohort.
“We’re experiencing some great traction,” said Piercey in the presentation. “We’re currently at $400,000 in annual recurring revenue and we have a clear path to $1 million this summer by adding just 35 new customers.
“And the opportunity is huge. Two-hundred billion dollars a year is being spent on mental health. It’s the No. 1 healthcare cost in the U.S. today.”
As Piercey spoke, he stood before a slide that featured three of the company’s showcase clients – Pennsylvania State University, University of California at San Diego and Boston College.
A tenured psychology professor, Piercey started WellTrack in 2010 to create an online tool to help treat mental health issues like anxiety and depression. After the company, whose official name is CyberPsyc Software Solutions, received funding in 2012, he hired Natasha O’Brien, who is now the company’s COO. Together, they altered the product and its target market so they are now making sales.
WellTrack, which has twice gone through Propel ICT accelerators, is a product that helps organizations improve the mental health of its members, especially those suffering from stress, anxiety and depression. The company has had some sales to corporations, but it found a more responsive clientele in universities.
“At WellTrack, we replace therapists with online self-help therapy,” said Piercey. “We’re not just another app; this is real therapy based on my research and the research of others. And we’re currently helping counseling centres deal with these issues.”
Early on in its existence, the company brought on funding from East Valley Ventures, and it has tapped New Brunswick Innovation Foundation a couple of times for money – most recently a $50,000 investment in the 2015-16 fiscal year. As a member of the 500 Startups accelerator, the company received some funding.
WellTrack last year raised money from First Angel Network, though the amount is not known.
“There’s a wave of interest in the mental health sector and we’re riding that wave,” said Piercey. “We’ve got the team, the timing and the traction to make it happen. We have the opportunity here to make a positive impact on the mental health of a whole generation.”