MentalHappy

Venture-Backed Mental-Health Platform

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Company Information

Website:

https://www.mentalhappy.com/

Sector:

Healthcare Software

Location:

San Francisco, CA

MentalHappy is taking a unique approach to mental healthcare.

It’s created a digital tool for health and wellness professionals, enabling them to launch their own group therapy services. These expert-led sessions enable those seeking help to speak with a therapist and receive support from their peers.

MentalHappy’s HIPAA-compliant platform launched earlier this year, and is used by professionals nationwide. The company has raised funding from Y Combinator, Index Ventures, Social Impact Capital, and Northwestern Mutual Future Ventures.

Now it’s seeking additional capital to onboard more professionals and scale its platform.

This company’s service is an example of “telehealth,” a term referring to the use of technology to access health-related services.

In the wake of Covid-19, telehealth became a popular, safe way to “visit” a doctor or seek medical advice. But in the aftermath of the pandemic, it’s become the primary way many people receive care.

According to consulting firm McKinsey, telehealth use levels are 38x higher than before Covid-19 struck. And many people use telehealth services for mental health.

Platforms like Talkspace and Lyra offer users the chance to speak with therapists, and have become billion-dollar businesses in the process. By 2030, the market for mental health apps is projected to surpass $17 billion.

But often, the same therapists offer help across multiple platforms. That’s encouraging, but nearly half of them say they are overwhelmed and burned out. There are only 30 licensed therapists for every 100,000 Americans.

That’s why MentalHappy is taking a different approach. Instead of a therapist needing to book 10 sessions to speak to 10 different people, they can now offer group therapy sessions. This enables more patients to receive treatment and reduces the number of sessions a therapist has to conduct.

The benefits of using MentalHappy’s platform include:

• Expanding mental-health services through online support groups.

• Providing additional guidance and practical wellness solutions.

• Scheduling and conducting virtual group sessions.

• Connecting patients safely with their peers for emotional support.

• Reducing hospitalization rates and days spent in inpatient services.

Professionals using MentalHappy set their own rates. Someone running a group of 75 members, charging $20 per member, could earn $1,500 a month. To generate revenue, MentalHappy takes a 10% fee from a professional’s monthly earnings on the app.

MentalHappy’s platform is available through iOS and Android. And the company has been featured in Forbes, TechCrunch, and the Silicon Valley Business Journal. Recently, it teamed up with NFL Hall of Famer Terrell Owens to spread the word about its platform.

Team Background

Amy Leo - Chief Psychologist

Amy has more than 15 years of experience as a therapist and is a published author and speaker in the field.

She began her career as an in-home counselor with Family and Children’s Association, a non-profit health and human services organization. After that, she held the same role with SCO Family of Services, a New York-based family services organization.

More recently, Amy’s become known as “The Singing Psychotherapist,” using unconventional methods to administer health and wellness services. She created her own course, “30 Days of Love,” and is a contributor to popular websites like Marriage.com, where she is a “verified expert.”

She holds a degree in Psychology from Johns Hopkins University.

Tamar Blue - Founder & CEO

Tamar started MentalHappy because of her passion about the benefits of group therapy. More than 20 years ago, she started a peer support organization for classmates dealing with bullying and anxiety.

Prior to starting the company, she was CEO of CanUStart, a technology platform connecting job seekers and employers. Before that, she was an operations manager with Employbridge, a similar platform matching job seekers with the right roles.

Tamar earned a degree in Economics from Florida State University and completed an entrepreneurship program through startup accelerator Y Combinator.

Co-Investors

Index Ventures

A prominent VC firm whose portfolio includes Etsy, Robinhood, and Zendesk.

Northwestern Mutual Future Ventures

The venture arm of insurance company Northwestern Mutual.

Social Impact Capital

A VC firm investing in emerging startups.

Y Combinator

Seed-stage accelerator whose alumni include Scribd, Reddit, Airbnb, Dropbox and Stripe

Raising
$535K
Committed
$7,333 (1%)
Current Valuation
$7.01 million
Min. Investment
$497
Deal Type
Title III
(For all investors)
Offering Type
Equity
Finance History
  • $30K
    2018-03-25
    Unknown
    (Convertible Note)
Notable Investors
  • Index Ventures
  • Northwestern Mutual Future Ventures
  • Social Impact Capital
  • Y Combinator
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