Pittsburgh’s fintech sector just received a $6 million boost and the funds could transform how many small businesses provide health benefits.StretchDollar, an insurance fintech startup with dual headquarters in Pittsburgh and San Francisco, announced a $6 million seed funding round on Tuesday led by Fika Ventures and Oscar Health. The company, now worth an undisclosed amount, says it’ll use the funds to improve its platform and possibly further its Pittsburgh presence after CEO Marshall Darr moved to the city earlier this year.“Right now, we’re focusing on expanding our marketing and engineering teams, with more roles likely opening after the new year,” Darr told Technical.ly. While the small company is committed to being remote-first, “I’d love to have more colleagues nearby, so while there’s nothing concrete, an office in Pittsburgh is definitely a possibility,” he said.Launched September 2023, StretchDollar offers small businesses a platform to contribute pre-tax funding directly to employee-owned health plan premiums. Just last month, the company grew its customer base by 25% and is on track to end 2024 with over 200 small businesses using the platform, according to Darr.The whopping $6 million raise demonstrates the rise of the platform, too. In 2023, the median seed round raise was just $1 million and climbed slightly to $1.3 million in the first half of 2024, according to startup data website Crunchbase.“We’re growing rapidly because there’s a gap in the market,” Darr said.The decision to make Pittsburgh one of StretchDollar’s homes poises it for growth — but was originally a personal decision, Darr said. His wife accepted a physician position at healthcare provider UPMC and they moved to the region from Philly in May, which is when the company’s presence in Pittsburgh officially began.The fintech market in Pittsburgh is both diverse and dynamic, including major multi-billion-dollar institutions like PNC and BNY Mellon, as well as growing local startups like payment services Affirm and Pineapple Payments

ICHRA-focused StretchDollar raises $6M with help from Oscar Health.

As digital tools and technology become an integral part of healthcare, two key players — GoodRx and Oscar Health — are making strides in the industry. Both companies have demonstrated solid financial performance while focusing on enhancing digital engagement and improving accessibility to healthcare services. Despite facing challenges, each is carving its niche by prioritizing consumer-centric innovations to assist patient interactions with their healthcare systems. GoodRx by the Numbers. Third-quarter financial results for GoodRx saw an 8% increase in revenue, to $195.3 million, driven by a 4% rise in prescription transactions revenue and sparked by a 7% increase in monthly active consumers. Subscription revenue declined 8%, to $21.3 million, due to the sunset of the Kroger Savings Club partnership formed in 2018