While the fax machines are pondered inept and outmoded, they are still used in many hospitals to order durable medical equipment.  David Gelbard – CEO of Parachute Health, consider this machine as his dominant competitor.

The New York-based startup is aiming to digitize the equipment and to make the process easier through the ePrescribing platform. That way, the hospital doesn't spend time on faxing to communicate the order, and the patients and healthcare suppliers can get it quicker than they might have otherwise.

In hospitals, information about a patient can be sent electronically using EHR – Electronic Health Record. For example, your doctor can send prescription and it goes directly to the pharmacy. The complication is involved when the patients leave the hospital and there is no accesses to EMR outside the clinic where the patients have to deal with faxes and paper order forms, that’s where Parachute Health plans to focus. For example, if the patient requires an oxygen tank or wheelchair, they can go into an EHR such as EPIC, sign in to Parachute Health, and order the equipment required. The paper works can be signed and forwarded electronically before being rerouted to the supplier that can take the order who then works to link them up to hospitals digitally.

"We're substituting the fax-day workflow that practiced today to connect this dot in the healthcare system," Gelbard stated.

On Monday Parachute Health announced a $9.5 million a series funding led by Insight Venture Partners to assist the startup to enhance the ePrescribing platform. In total, Parachute health has raised $15 million.