Rising health care costs fuel Springbuk’s growth

For Indianapolis-based Springbuk Inc., growth has come quickly—especially in the past 12 months.

The health-analytics-software firm, founded in January 2015, sells an HR tool for employers to track health care spending and outcomes. Since August 2016, its customer base has nearly tripled—from 310 clients in 35 states to 1,010 in all 50 states. Employment is up to 38, with six hires imminent.

Springbuk has little in common with many fast-growing Indianapolis startups. For one, it’s pitching health-care-benefits software in a town known for enterprise sales and marketing software. Also, its co-founders, Rod Reasen and Phil Daniels, didn’t forge their careers in the tech sector.

Even so, the historically under-the-radar company is increasingly appearing on tech-companies-to-watch lists. One Midwest investor suggested that Springbuk’s becoming a billion-dollar company is not far-fetched.

“In the venture world, you’re constantly looking for people who have these big visions—they’ve got an idea for a company that really could become a $1 billion enterprise,” said Ron Watson, principal at Missouri-based Lewis & Clark Ventures, speaking about his first sit-down with Reasen at a coffee shop in late 2015.

“And Rod immediately showed me that they had a path to get there. Obviously, it takes a lot to get there, but the vision was there.”

Lewis & Clark led Springbuk’s $3.75 million financing round in May 2016, a capital infusion that helped fuel its growth. It had about 17 employees this time last year and was housed in a north-side office building it was fast outgrowing.

Today, it’s in flex-lease space at Union 525 downtown and expects to have 44 employees in the coming weeks.

“We could be as high as 150 in the next 12 months,” Reasen said.

Springbuk executives wouldn’t disclose annual revenue—beyond saying it exceeded $1 million in 2016 and that it’s up 180 percent from this point last year and is on track to triple over the next year.

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