NEWS: LA Healthcare Hub Expanding into OC. ScaleLA Rebrands as ScaleHealth and Opens Location in Costa Mesa…
An LA healthcare hub that acts as a liaison to connect healthcare startups to those that can help them scale and grow is expanding into OC.
ScaleLA has rebranded as ScaleHealth and has inked a partnership with the Innovation Institute – to occupy part of its innovation lab in Costa Mesa. A soft launch in the near future is planned.
The Innovation Institute, with HQ in LaPalma, is a for-profit operation owned by six non-profit hospital systems. In addition to the lab, the institute also has a fund that it invested in and a controlling interest in 15 enterprise development companies. In 2018, the institute partnered with RedCrow, an equity crowdfunding portal. See related article on that here.
ScaleHealth selectively curates the health-related startups it invites into its hub and provides a physical workspace for them, with programming and events. It also provides educational, legal and technical opportunities to healthcare startups, as well as intros to investors.
And, it sometimes takes equity — less than 3% — in the startups it accepts.
ScaleHealth may eventually start its own fund, CEO Taylor McPartland told OC Startups Now.
The LA location has amassed a network of 55 VC firms and funds, as well as angel investors. It also has a network of hospitals and government agencies in the health care realm.
And, it hosts monthly and quarterly events, including roundtables, classes and summits.
It’s already been working with several OC and SD startups, including Family Proud, in the realm of patient engagement; Pilates Metrics in the arena of physical health; and Come & Gone in the area of female sexual health.
Some companies in the South Bay area will now be joining the OC hub, including Linear Health Sciences, Avhana Health and Preveta.
Similar Entities With Similar Missions
There are already several entities in OC working to incubate and accelerate health-related startups.
Octane’s LaunchPad accelerator has been working with life science startups for the past decade.
There’s also the Alchemy Factory, a digital health incubator in Costa Mesa.
A new med-device accelerator, Koa Accel, recently launched. This accelerator operates more like a boutique private equity firm, according to co-founder Ray Chan. See related article here.
And, there’s a SoCal health fund, Wavemaker Three-Sixty Health, based out of Pasadena, that’s an active investor. See related article here.
What makes ScaleHealth different, McPartland said, is that it’s connecting its members with leaders in the healthcare community, and also with local and national civic, community, and academic authorities.
At the OC location, several elected officials are planning to host office hours, as are community leaders from nonprofits who have constituencies that need innovative healthcare solutions in order to improve their health.
Working with the Innovation Institute
The institute’s existing innovation lab is for very early-stage ideas, which are typically from people within its own health care system – those who see a problem and have an idea of how to solve it. They submit an invention disclosure form and the lab does due diligence. If it appears viable, the institute helps take it to market.
ScaleHealth may also eventually start working with raw ideas and build companies around the IP. It’s previously worked with large corporations, advising them how to innovate from within, McPartland said.