Emergency Medical Service StanPlus Garners $20 Million by Kalaari Capitals & Others

Start-up of an emergency medical response service StanPlus has garnered $20 million in debt and equity capital in a Series A round.

The Hiranandani family office, Prashant Malik (LimeRoad), Sandeep Singhal (Avaana), and other angel investors joined Kalaari Capital, Healthquad, and HealthX Singapore in the round. N + 1 Capital and Caspian provided debt finance.

StanPlus, founded in 2016 by Prabhdeep Singh, Jose Leon, and Antone Poirson, now maintains a network of rapid emergency dispatch (RED) ambulances that hospitals and emergency care centres may use on a B2B subscription basis.

The company also operates emergency rooms and triage centres, with the goal of becoming a full-service emergency care provider.

The funds will be used to expand the company's operations to 500 hospitals and deploy its flagship RED Ambulance in 15 locations (they currently operate in 5 cities). The company is also seeking to enter the B2C market.

StanPlus's founder and CEO, Prabhdeep Singh, “we are looking to offer our B2C service in an omnichannel model. For example, if your Apple Watch detects that you are having a medical emergency, one can call for our service to be dispatched. The same goes for everything else, whether it is your insurance or your employer. We will create a plug and play system. If Zomato or Uber wants to bring this service to their riders, they can do that. Anyone can send us a signal. We can take the signal and respond in time.”

The business claims to be tackling the Indian emergency response industry, which it estimates is worth $15 billion. Between 2019 and 2027, the worldwide emergency medical services market is expected to develop at a CAGR of 6.91 percent, reaching $74.7 billion.

The product section accounted for a substantial portion of this valuation, with a value of $22.96 billion in 2019 and a projected value of $46.25 billion by 2027.

He added, “in India, groceries are delivered in 10 minutes but ambulances take 45. At StanPlus, we are focusing on the 8-minute ambulance paradigm – I like to call it the ‘First Minute, Last Mile’ Healthcare. The capital will allow us to scale across India, bring amazing talent to work on this mission, and build world-first technologies.”

He stated, “my customers never ask whether I have an asset-heavy or asset-light model, but many in the startup world balk at me when I say I hire 600 people, let me tell you why this is the best model. All of my staff is permanent employees who are well paid and have good benefits. For example, if it happens that someone has to climb to the eighth floor of a building without an elevator to rescue a patient, which needs to be an employee. Not temporary staff or ‘contract workers.”

In comparison to the aggregator model firms that have been prevalent in recent years, StanPlus's employment model is unique. But it looks like a runaway success, especially with the start-up’s claims of doubling growth in the last year while staying bootstrapped and EBITDA positive.