Flagler Health, an AI-native platform for musculoskeletal (MSK) healthcare, announced it raised a $50 million Series B, bringing total funding raised to $63 million. The financing was led by Bessemer Venture Partners, with participation from SignalFire, Alumni Ventures, Streamlined, 186 Ventures, Proof VC, Tribeca Venture Partners, and Offscript.
Flagler is developing an AI operating system designed specifically for musculoskeletal, or MSK, healthcare providers. The platform integrates with existing electronic medical record systems and coordinates clinical and administrative workflows across the patient lifecycle.
Its capabilities span patient triage, care management, billing and patient communications, with the goal of reducing administrative work while improving operational efficiency and patient outcomes.
Flagler said its platform has been trained on one of the largest MSK patient datasets and was developed by clinicians and healthcare operators with direct experience running MSK practices.
The company is targeting a large healthcare market. Flagler said musculoskeletal conditions affect more than half of U.S. adults and account for more than $400 billion in annual healthcare spending.
At the same time, the company estimates physicians spend nearly 75% of their time on non-revenue-generating activities such as documentation and administrative work.
Flagler is positioning its technology as infrastructure for addressing those inefficiencies rather than as a standalone workflow tool.
In less than three years, the company has expanded to thousands of providers across more than 36 states.
Flagler said providers using its platform generate an average of $164,000 in additional annual revenue per provider.
The company also reported that 87% of patients using its platform experience improvements in at least one area including pain, mood, sleep or mobility.
The technology is designed to operate across different MSK practice types and EMR environments while minimizing changes to existing provider workflows.
Flagler said the platform can run in the background without requiring clinicians to adopt additional logins, training or manual workflows for certain applications such as remote patient outcome tracking.
The new funding will support Flagler’s expansion across additional MSK practices in the U.S. as the company seeks to become the AI-native operating infrastructure for the specialty.
Flagler is headquartered in New York City.
KEY QUOTES:
“MSK is where the healthcare system’s dysfunction is most visible. Shrinking reimbursements, administrative overload, inefficient triage, I watched it destroy clinician morale and clinic margins at the same time.”
“This isn’t a workflow problem. It’s structural. The cost of running these clinics keeps climbing, and that cost is a major reason American healthcare is so expensive. It’s unsustainable, and we’re the only platform built to fix it at the root.”
Albert Katz, CEO of Flagler Health
“Every doctor has wanted a tool like this and assumed it couldn’t exist, something that genuinely improves patient outcomes without adding to their workload. With AI, that’s no longer wishful thinking. Flagler makes the patient experience and the physician experience work together instead of against each other.”
Dr. Leon Anijar, Co-Founder and Chief Medical Officer of Flagler Health
“What drew us to Flagler was rare: a founding team with exactly the right combination of healthcare operations experience, clinical authority, and AI expertise, all applied to one of the largest and most underserved markets in healthcare.”
“The traction and ROI they’ve built in under three years reflects that. Flagler is the only full-stack platform purpose-built for MSK, and we believe it’s on its way to becoming the AI-native operating system for every clinic in this space.”
Steve Kraus, Partner at Bessemer Venture Partners