Nurse Recruitment Agency ShiftMed Raises $200 Million

Virginia-based ShiftMed, which connects nurses with affordable shifts in healthcare facilities, has received $200 million in a funding round led by Panoramic Ventures, with participation from Audacious Capital and Blue Heron Capital.

ShiftMed connects nurses with healthcare providers looking for additional staff through its workplace management platform. Nurses are considered W-2 employees of ShiftMed. They can choose when and where they work and are offered Uber Health rides if they need transportation assistance.

WHAT IS THIS FOR

The new investment will help the company expand its offerings nationally and to other segments of the healthcare market.

“Healthcare providers continue to struggle with access to certified workers as patient demand and volumes continue to grow,” ShiftMed CEO Todd Walrath said in a statement. “ShiftMed can provide healthcare systems with a W-2 solution that is compliant with regulations that leverages local and part-time resources.”

MARKET REVIEW

Staffing shortages have become a major concern for the healthcare industry since the start of the pandemic, and studies have shown that staffing shortages can adversely affect patient outcomes.

Over the past few years, several companies seeking to improve the accessibility of nurses have received significant funding. In 2021, ShiftMed received $45 million in funding.

Last month, Dallas-based startup ShiftKey, which allows nurses, certified nursing assistants and other healthcare professionals to search and offer day shifts in their area, raised $300 million.

The Incredible Health nurse marketplace, which uses a proprietary algorithm to match nurses and hospitals for recruitment purposes, has attracted $80 million in Series B funding in August, about three years after receiving $15 million in Series A funding.

Other companies in this space include the medical personnel market. Clipboard Health, an IntelyCare and Nomad Health nurse recruitment platform that offers an online job portal for temporary healthcare workers.