Martin Felsenthal

Marty Felsenthal is a co-founder and Managing Partner of Health Velocity Capital, a San Francisco–based firm that invests exclusively in healthcare software and tech-enabled services businesses. He has worked with innovative, disruptive, and rapidly growing healthcare companies for roughly 25 years, and co-founded Health Velocity Capital in 2016 alongside long-time partner Bruce Crosby, whom he has known for about 30 years and with whom he shares roots in the Nashville healthcare arena.

Before Health Velocity, Felsenthal was a partner at two leading sector-focused venture and growth firms — Salix Ventures and HLM Venture Partners. In 2015 HLM Venture Partners tapped him as a partner to launch and lead its new San Francisco office. Earlier in his career he worked with Madison Dearborn Partners, one of the largest private-equity firms in the country. Across these roles he built a track record spanning telemedicine, revenue-cycle and health-IT software, specialty care services, and health plans.

He holds an undergraduate degree from Princeton University and an MBA from the Stanford University Graduate School of Business. Beyond his investing roles, he has served on numerous company boards and as an advisor to the Innovation Fund at the California Health Care Foundation. He currently sits on the board of directors of Clever Care Health Plan, among other portfolio boards.

Health Velocity Capital raised more than $185 million for its inaugural fund (Fund I) and subsequently closed an oversubscribed $300 million second fund (Health Velocity Capital II), bringing the firm to roughly $485 million in assets under management. A distinguishing feature of the firm is its limited-partner base, which includes major health plans and health systems that can offer portfolio companies distribution reach and strategic validation.

• Invests exclusively in healthcare software and tech-enabled services — digital health, health IT, and healthcare services — with a mission of "partnering with entrepreneurs to help create a more affordable, sustainable, consumer-friendly healthcare system."
• Backs companies "creating new markets" and with a "history of financing healthcare industry 'firsts.'"
• Stage spans pre-seed to growth equity, with a practical emphasis on growth-stage companies that already have commercial traction; typical checks of $10M–$50M.
• Values founders with a deep understanding of the healthcare landscape, a clear vision for patient-care impact, and innovative approaches to lowering cost and improving outcomes.
• Leverages a strategic LP base of health plans and health systems to give portfolio companies embedded distribution advantages and validation with buyers.