AI-driven compliance platform targets rapid expansion with new $6.2M seed round led by RTP Global.
Hipp Health, an AI-native platform improving efficiency for behavioral health practices, has raised $6.2 million in seed funding to accelerate its mission of modernizing administrative, clinical, and compliance workflows. The round was led by RTP Global with participation from Swift Ventures, Rackhouse Venture Capital, and Difference Partners.
The San Francisco-based company plans to use the funds to expand its product capabilities, strengthen its AI infrastructure, and grow its team. This investment comes as behavioral health providers face mounting administrative burdens tied to Medicaid compliance and increasing patient demands.
Streamlining Behavioral Health Operations
Hipp Health provides an all-in-one platform that automates compliance-heavy tasks such as data collection, clinical documentation, and claims validation. Its AI-powered tools help practices reduce outstanding claims, optimize billing, and integrate analytics for improved decision-making. According to Hipp Health’s Co-Founder David Connors, some partner practices have already achieved a 90% reduction in outstanding claims due to the platform’s intelligent automation features.
Connors explained, “We’re extending AI deeper into billing and revenue cycle management, enabling behavioral health organizations to run compliant and resilient operations seamlessly on a single system.”
Addressing a Growing Industry Need
The behavioral health sector in the U.S. continues to struggle with staff shortages and increasing caseloads driven by rising diagnoses of autism, ADHD, and early childhood behavioral challenges. Against this backdrop, regulatory pressure and Medicaid-related compliance requirements have become critical pain points for mid-sized and enterprise practices.
RTP Global Partner Julius Schwerin highlighted the opportunity: “With the EHR and administrative software market for behavioral health valued at over $2 billion and growing, we believe Hipp Health is uniquely positioned to modernize compliance and operational workflows in this space.”
About Hipp Health
Founded in 2024 by David Connors, former VP of Product Strategy at Workday, and Faaez Ul Haq, previously leading data and ML initiatives at Pipe, Hipp Health is building the next generation of AI-driven compliance and administrative systems for behavioral health. The company operates as a privately held, venture-backed startup headquartered in San Francisco.
Deal Highlights
| Detail | Information |
|---|---|
| Funding Amount | $6.2 million (Seed Round) |
| Funding Date | October 6, 2025 |
| Lead Investor | RTP Global |
| Other Investors | Swift Ventures, Rackhouse Venture Capital, Difference Partners |
| Headquarters | San Francisco, United States |
| Founded | 2024 |
| Founders | David Connors, Faaez Ul Haq |
| Use of Funds | Product expansion, AI investment, and team growth |
| Industry Focus | Behavioral Health, AI-powered Compliance & Administration |
| Reported Impact | 90% reduction in outstanding claims among client practices |