REDWOOD CITY, Calif .– (BUSINESS WIRE) – October 20, 2021–
Research of Telosity by Vinaj Ventures, a fund that invests in start-ups working to improve the mental health and well-being of young people, has released its first annual trends report, Trends in investments in adolescent mental health.
As youth mental health has declined for more than a decade, COVID-19 has exacerbated the crisis. Meanwhile, the traditional causes of mental health problems among young people remain stable, such as poverty, abuse, violence and bullying. According to the National Center for the Prevention of Bullying, 1 in 5 students between the ages of 13 and 17 say they have been the victim of bullying at school or online. Victims of harassment are more likely suffer from mental health issues such as depression, anxiety and low self-esteem.
The increase in the number of adolescents with mental health issues, coupled with the increase in the adoption of telehealth for mental and behavioral health services during COVID-19, is fueling investments in scalable and technological solutions, designed and created for young people. The total increase in funding for youth mental health technology companies shows a growing momentum to leverage technology to fill gaps in access to mental health care.
Trends uncovered by the report include:
Funding for youth mental health is skyrocketing. Analyzing the investment chart for 2020 and the first six months of 2021, Telosity by Vinaj Ventures found that funding for youth mental health startups in the first half of 2021 was 7.5 times the funding allocated in the first half of 2020. Along with the huge increase in the amount of money invested, the number of transactions increased by 79%.
The investments go beyond teletherapy. There is also an increase in the number of transactions in startups that offer services other than access to clinicians (e.g., assessment services), showing that startups are creating products and services that meet a wide range of needs.
Late-stage companies receive more investment. In 2020, most of the investment has been focused on pre-seed, seed and Series A startups. This year, two startups beyond Series A received funding, showing that the market for youth mental health is gaining ground.
While the youth mental health technology market is still relatively nascent, the increase in funding at a later stage in the first half of 2021 shows the first signs that this market is beginning to mature.
âThe increased investment in youth mental health technology companies is a big boost for young people,â said Allyson Plosko, director of Telosity by Vinaj Ventures. âAs we mention in the report, almost half of the children who need mental health supports don’t get the care they need. We need to do a better job of reaching children in need. Technological solutions can offer a scalable way to provide mental health support, especially for low-severity patient populations, which is why we believe that investing in companies developing these solutions is a critical step in increasing the access for young people.
Vinaj Ventures and Telosity Future Trends Reports will look at innovation and venture capital trends; startup trends in adolescent mental health; and innovation in digital well-being.
Read the whole Trends in investments in adolescent mental health report.
About Vinaj Ventures
Vinaj Ventures is an innovation and investment services firm working with businesses and philanthropic organizations. Our investment services specialize in market analysis, sourcing, valuation and investing in startups. For more information, please visit www.vinaj.com/
About Telosity by Vinaj Ventures
Telosity by Vinaj Ventures invests in and supports start-ups with affordable and scalable solutions to improve the mental well-being of young people, especially in underserved communities. This includes promoting positive online experiences and interactions, strengthening social and emotional skills and positive behaviors, and increasing access to care and support. Portfolio companies include Dawn Health, Return, Health Ksana, Manatee, Maslo, SpiritRight, My life, and Neolth. For more information, please visit www.telosity.co/
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CONTACT: MÃ©lanie Daifotis
KEYWORD: CALIFORNIA UNITED STATES NORTH AMERICA
INDUSTRY KEYWORD: MOBILE / WIRELESS SOFTWARE PROFESSIONAL SERVICES INTERNET FAMILY CONSUMER MENTAL HEALTH TECHNOLOGY TEENS PARENT CHILDREN FINANCING HEALTH
SOURCE: Vinaj Ventures
Copyright Business Wire 2021.
PUB: 10/20/2021 09: 00 / DISC: 10/20/2021 09:02
Copyright Business Wire 2021.