Procode, an AI-powered revenue cycle management company serving private practice surgeons, has launched from stealth with $4 million in funding and the acquisition of The Auctus Group, a leading U.S. biller for plastic surgeons and a top-three biller in dermatology. The company was founded in 2024 by Jeff Cripe, Kameron Rezzadeh, M.D., and James Baez-Silva. The investment round was led by Story Ventures, with participation from CHAP Health Ventures, Progression Fund, and Dmitry Shevelenko, Chief Business Officer of Perplexity.
Procode AI’s platform is designed to modernize revenue cycle management for surgeons in private practice by automating coding, streamlining claims management, and improving reimbursement outcomes. Its Coding Copilot translates operative reports into billing and diagnostic codes, enabling medical coders to work 90% faster with greater accuracy. Within five months of acquiring The Auctus Group, the company added $2 million in annual recurring revenue, driven by reductions in coding-related denials, fewer accounts receivable days, and improved reimbursement rates for providers.
The company’s Auctus Provider App delivers real-time financial and claims data directly to surgeons, offering greater transparency into performance and revenue flow. Procode AI also deploys an AR and Denials Management Engine that leverages artificial intelligence for accounts receivable decision-making, payment posting, charge posting, and related processes, aiming to accelerate collections and improve reliability.
Founded in 2012, The Auctus Group will continue to operate under the leadership of CEO John Gwin, who remains at the helm of the RCM business following the acquisition. Procode AI said the combination of Auctus’ established billing expertise and its own AI infrastructure positions the company to build what it describes as the first large-scale AI-powered revenue cycle management platform purpose-built for private practice surgeons.
Procode AI currently serves more than 300 plastic surgery and dermatology providers. The company said its mission is to remove the administrative burden and uncertainty around reimbursement, enabling surgeons to focus more fully on patient care while maintaining confidence in their revenue cycle operations.
KEY QUOTES
“Our cofounder is a surgeon. Our mission is personal and singular: create the first, best, and largest AI-powered revenue cycle management company for surgeons in private practice. The Auctus Group is a tech-forward, missionary team who want to build the next generation biller with us.”
Jeff Cripe, Co-Founder of Procode Inc.
“As a surgeon, choosing a medical biller means trusting all of your insurance-based income to one company. At Procode, we’re building technology that ensures that providers are reimbursed fairly for procedures that they perform, and that they are reimbursed faster than ever before.”
Kameron Rezzadeh, M.D., Co-Founder of Procode Inc.
“Most RCM AI products are vaporware. As CEO of The Auctus Group and a longtime HBMA leader, I’ve searched for AI technology that can better equip our team to deliver better billing outcomes for clients and, in Procode, we finally found that.”
John Gwin, CEO of The Auctus Group
