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Healthcare Leadership, Policy & Digital Health News India > Blog > Health Tech > Honey Health Secures $7.8 M to Automate Healthcare’s Back-Office with AI Agents

Honey Health Secures $7.8 M to Automate Healthcare’s Back-Office with AI Agents

Published: October 28, 2025
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Honey Health has raised $7.8 million in seed funding to deploy its AI-agent platform that automates non-clinical workflows such as prior-authorizations, chart-prep and refills directly inside healthcare systems, promising major efficiency gains for providers

Glimpse:

The Mountain View-based startup helps clinics and health systems replace fragmented administrative tools with “AI team members” embedded in the EHR. With over 100 organisations already on board, customers report savings of ~$50–65 K per provider annually. The new funds will accelerate scale and platform capabilities.

Honey Health, a startup founded by former LinkedIn AI leaders Matt Faustman and Xiao Zhang, announced a $7.8 million seed funding round led by Pelion Ventures, with participation from Streamlined, Burst Capital and 8-Bit Capital. The company builds “autonomous AI agents” which log into the EHR, extract data, execute workflows (e.g., refills, prior authorizations, note prep and fax triage) and complete tasks end-to-end without requiring the user to leave their system.

Honey Health targets the “middle market” of healthcare organisations large independent practices, smaller health systems and MSOs that often run mixed EHRs and have limited IT staff. Its proprietary Loop Framework and Hive Protocol enable rapid onboarding (often under 30 days) across different systems. According to company figures, their agents have helped organisations enhance provider margins, reduce back-office staffing burdens and free up clinicians for higher-value work.  

With the newly secured capital, Honey plans to expand its AI capabilities, deepen integration into health-system workflows and accelerate customer growth. Faustman emphasises the shift away from narrow AI “point solutions” toward platforms that manage entire workflows arguing this is where the next phase of healthcare automation lies.

“Healthcare organisations are stuck between two broken models: point solutions that only solve narrow tasks and a constant struggle to hire and retain back-office staff. We’re offering something fundamentally different: AI agent teams that work autonomously in the background to complete entire workflows.”

By

HB Team

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