BOSTON, June 26, 2018 /PRNewswire/ — StripSupply, a Boston-based company focused on disrupting the $11 billion diabetic test strip market, announced today it has secured seed round funding, led by LaunchByte Ventures, in a syndicate alongside a group of serial entrepreneurs, physicians, and angel investors. The funding will allow the company to further accelerate its mission of improving access to care by making diabetic testing affordable for everyone. StripSupply provides FDA-approved glucose test strips on a subscription basis for up to 85% less than major retail pharmacies.
According to the American Diabetes Association (ADA), approximately 30 million people in the U.S. have diabetes and 1.5 million Americans are diagnosed with the disease each year. The ADA estimates that the annual direct medical expenditures for a person with diabetes can reach up to $7,900 annually.1 StripSupply estimates that approximately 9 million diabetics pay out-of-pocket for testing supplies because they are either uninsured or have health insurance with high deductibles.
“The retail price for diabetic test strips at major pharmacies can be more than $100 for a 50-count vial. However, the manufacturing cost doesn’t typically exceed 15 cents per strip,” said Jay Hastings, CEO and Founder of StripSupply. “That’s $600 a month for a person with diabetes that needs to test their glucose levels 9-10 times a day in order to stay healthy and avoid serious complications like blindness, amputation, or death.”
Diabetics can now test as recommended by their physician and at a price they can actually afford. StripSupply offers brand-name and low-cost alternative diabetic test strips on a subscription basis that is ideal for people with a high-deductible health plan, high copayment, or no insurance.
“Big Pharma has spent a lot of money trying to persuade both the medical community and consumers that their particular test strips are better,” said Salvatore Viscomi, MD, Chief Medical Officer and Co-Founder of StripSupply. “Yet most people with diabetes are unaware that the FDA holds all glucose meters and test strips to the same standards of accuracy. That’s why StripSupply not only carries the most popular brand name test strips, but we also offer FDA-approved generics and other low-cost alternatives at a fraction of the price of major brands so that all diabetics can have access to quality testing supplies.”
In conjunction with the investment, Tan Kabra, Founder and Managing Director of LaunchByte Ventures, and Cindy Nguyen, CFO of Circulation, will be added to the board of directors.
“All of the innovation made in the diabetic testing space has been focused on making glucose meters more “connected,” but very little innovation has occurred around patient accessibility,” said Kabra. “StripSupply has a huge opportunity to disrupt a massive market that hasn’t advanced much in 30 years and, at the same time, save lives.”
Founded in 2018, StripSupply is dedicated to improving access to care by making it affordable and convenient for people with diabetes to purchase high-quality blood glucose testing supplies at a fair price. Through a monthly subscription service, StripSupply offers diabetics affordable, high-quality, FDA-approved test strips without insurance or a prescription.