Bio-Optronics gets $30M investment from San Francisco firm

Bio-Optronics Inc., a provider of software to healthcare organizations, received a $30 million investment from Mainsail Partners, a San Francisco-based growth equity firm that invests in fast-growing bootstrapped tech companies, officials announced Thursday.

Mainsail will partner with President and CEO Daniel Kerpelman and the existing management team to scale the business rapidly. Bio-Optronics will use the capital and Mainsail’s support to accelerate product development, enhance customer service, and grow sales and marketing, officials said.

Bio-Optronics, headquartered in Rochester, is a leading software and services company that creates user-focused applications for healthcare organizations that positively impact business performance. Their customers include leading hospital systems, clinical research sites and organizations, medical groups, and the Department of Veterans Affairs. It has been operating for more than three decades in the region.

“Our business is founded on providing great software products with exceptional customer support,” Kerpelman said. “We did not need to raise capital to continue our growth, but rather chose to partner with Mainsail in order to invest more heavily in our products and in our customers’ success. Mainsail took the time and effort to develop a relationship with the company over the last several years, and I am confident they will add meaningful value.”

Bio-Optronics grew its revenue at a more than 20 percent pace for the past three years. All three of their product families had double-digit growth for 2017, with a total growth of 25 percent, officials said.

Joining Kerpelman on the company’s board are Michael Anderson, partner at Mainsail Partners; Taylor McKinley, operating partner at Mainsail; and David Farsai, vice president at Mainsail.