At a Glance
DermaDetect LTD is a SaaS, API and AI based dermatology company which has developed a platform for skin disorder detection, management & diagnosis. DermaDetect helps patients to get early answers to their skin disorder and receive supporting treatment accordingly.
Traction and Ask
With €100k net revenues in Q1 2023 and 4 customers including the 2nd largest HMO in Israel, leading telehealth services in China, AI diagnostic platforms in Canada, Malaysia and India, DermaDetect is now looking to raise €1M seed funding. The ideal investor would have expertise in the digital health, telemedicine, hospitals and/or health organizations looking to incorporate innovative AI solutions for their dermatology department in Europe. The investment is needed to:
- Validate its AI for expansion to general doctors in Europe and USA;
- Reach 4-6 more customers and €700k net revenues by Q1 2024;
- Strengthen the team with 2 new hires in sales and 2 new hires in product development.
Market, Business Model, Financials and Team
Founded in 2017 in Jerusalem (Israel), DermaDetect is poised to capture a significant share of the global digital dermatology market worth €14.2Bn (+20% CAGR/year).
DermaDetect is monetizing mainly through a pay per use model charged to dermatological clinics (B2B) and patients (B2C). Revenue growth is projected at 30% YoY (breakeven in Q4 2026), reaching €7M by Q4 2026.
DermaDetect team of 10 (2 part-time co-founders and 8 full-time employees), with 3 previous exits, combines several decades of commercial, healthcare, SaaS and AI expertise.
Competitive Advantage
Key USP versus competitors like Skin vision, DermaDrem, and Google, is that DermaDetect is the only API based dermatological system for both physicians and patients in the world with AI trained on constant clinical validation and hundreds of thousands of diagnostic cases.
Round Details
At a €6.1M pre-money valuation, DermaDetect aims to close this seed round by 31 July 2023. Some minority investors have already committed to join with €200k. The minimum investment ticket size is €100k.
DermaDetect has previously raised $2M in grants from Israel Innovation Authority and $3M in private capital from Maccabi Ventures and investors to develop its MVP, which means that, after this investment round is secured, DermaDetect is fully ready for international commercial uptake. DermaDetect is seeking to exit as IPO when reaching about €10M ARR in 4 years at a target valuation of €30M.
Get in Touch
Ran Ken-Tor CEO and the other founders are speaking with potential investors over the next few weeks and are keen to pitch, demo and open up their traction and financial plans in detail.
Innovation Manager Finland Ltd. is not a registered broker-dealer and does not offer investment advice or advise on the raising of capital through securities offerings. Innovation Manager Finland Ltd. does not recommend or otherwise suggest that any investor make an investment in a particular company, or that any company offer securities to a particular investor. Innovation Manager Finland Ltd. takes no part in the negotiation or execution of transactions for the purchase or sale of securities, and at no time has possession of funds or securities.