School-Focused Mental Health Startup Daybreak Health Secures $10M Investment

San Francisco-based Daybreak Health has landed $10 million in Series A to expand its school-based online therapy platform for youth ages 11 to 19.

The company’s announcement, made on Tuesday, comes as the U.S. faces startling implications for the mental health of young people as the coronavirus has upended much of American life.

In a post on the company’s website, Daybreak Health Co-founder and CEO Alex Alvarado said the funding round will help the company build out its team.

Advertisement

“[W]e’re building the first mental health system designed specifically for youth, reinventing both the care programs as well as the access model,” Alvarado said in the post.

Founded in early 2020, the company has established partnerships with 100 California schools and pediatricians who refer families to Daybreak health when an issue is identified. The company’s website says over 200,000 students have access to Daybreak Health’s programming which includes virtual therapy, social and emotional learning courses and a universal mental health screener.

The company employs over 60 clinicians. Collectively, the clinician group can provide care in 6 languages and the “majority identify as BIPOC or LGBTQ+ minorities,” Alvarado said.

Advertisement

“Our program is delivered digitally, with native mobile and web applications designed to engage the young person where they are, keep their supporters in the loop, and deliver truly n of 1 care,” he added.

After a free consultation, Daybreak Health tries to match youth with the “perfect match” for a counselor and seeks to take into account the child’s needs and the clinician’s clinical style and personality type. Parents have monthly check-ins with their child’s therapist.

At present, more than 60% of patients pay nothing out of pocket for services and the company has the goal of growing that number to over 90%.

Menlo Park, California-based Lightspeed Venture Partners led the round with participation from Palo Alto, California-based Maven Ventures. Axios reports that individual investors included BetterUp’s Alexi Robichaux, Remind’s Brian Grey and GSV’s Deborah Quazzo.

Making moves in the youth mental health space can attract major attention from investors. In June, Palo Alto, California-based pediatric behavioral health startup Brightline landed a $72 million Series B round. Brightline recently expanded into the Autism Spectrum Disorder care space.

Both organizations are attempting to fill a major void in mental health services for children. In 2018, the American Academy of Child and Adolescent Psychiatry found that only 20% of children with behavioral health needs receive care. Since then, the pandemic has seen 31% of American parents reporting a decline in the emotional state of their children.

“We’re excited to bring this new system for youth mental healthcare nationwide and continue to push the boundaries of how mental health support can be delivered and made accessible to youth of all backgrounds,” Alvarado said.

Companies featured in this article:

, ,