NEW YORK, July 15, 2015 /PRNewswire/ -- Stax Development Corporation (Stax DevCorp), portfolio company, BeneStream closed its Series A round of funding of $4.26 million. BeneStream is a health technology company that helps employers connect qualified employees to government health benefits including Medicaid, food stamps and Child Health Plus. The funding, raised from health insurance industry investors and social impact investors, will support anticipated demand leading up to and through the Fall enrollment period.
In early 2011 the Ford Foundation wanted to understand how big data and proposed healthcare exchanges could be used to get more people in need, their benefits. "I approached Stax DevCorp to see if they could help, because of their unique combination of experience in financial services and healthcare, interests in social enterprise, and because they thought differently about creating new businesses and partnerships," said Ben Geyerhahn, CEO and Founder of BeneStream. "Stax DevCorp was instrumental in helping me develop a scalable business model for BeneStream, develop our go to market strategy, bring in early partners and raise capital. They helped me figure out how to deliver benefits at scale and profitably, thereby solving for a large social need at scale and creating value for investors."
"Understanding consumer needs, social investor interests and the corporate eco-system, we could help Ben develop a business model and invite our corporate and private equity backed relationships to the table – literally to lunch – with the social impact community," said Rafi Musher, founder and CEO of both Stax and StaxDevCorp. "We brought core banking, insurance technology and payroll providers together and vetted the model, which Ben and the BeneStream team, built into the business running today. The recent Series A round of funding is validation for this whole project, and we are proud to have been involved since Day One."
BeneStream is currently working with more than half of the top ten largest insurances brokerages in the country. The Series A funding will be used enhance the company's broker partner network and expand its relationships with companies that process the Work Opportunity Tax Credit. Stax DevCorp will continue to advise BeneStream on an ongoing basis as the company prepares for the Fall enrollment period.
To learn more about Stax DevCorp, please visit: http://www.StaxDevCorp.com
About Stax DevCorp
Stax Development Corporation (DevCorp) creates new companies, joint ventures and buy-build strategies to develop innovative solutions that address critical market needs identified by Stax's strategic consulting practice. Stax DevCorp's companies are held in two distinct portfolios: the Social Ventures Portfolio (SVP), whose holdings consist of double-bottom-line companies—those that (like Edco) deliver a combination of economic value and social benefit; and the V-Squared portfolio, a combination of new ventures and joint ventures with a profit-maximizing focus. For more information, see http://www.staxdevcorp.com.
SOURCE Stax Development Corporation