CareSync
The business, the turning points, and the decisions behind them.
01 / WHAT IT BUILT
What the company did
CareSync provided software and services for managing chronic diseases.
02 / CareSync FAILURE REASONS
Failure factors supported by the current evidence
MedCity News (22 Jun 2018) quoted CareSync’s phone recording that operations ended despite efforts to raise additional capital or find a strategic partner to continue, and quoted Shipt CEO Bill Smith that a syndicate including The Smith Family Office intended to acquire CareSync to save it but could not reach a deal due to time constraints.
The company recording said events occurred despite best efforts to raise additional capital to continue operations.
Bill Smith said a syndicate intended to acquire CareSync to save the company but a deal could not be reached due to time constraints.
03 / EVENT HISTORY
Events in the structured record
- Operations ended
CareSync ended operations.
04 / CONTEMPORARY REBUILD ASSESSMENT
Difficulty of rebuilding this project today
Material for this section is being gathered and checked. It will appear here once ready.
Overall assessment: Not completed
05 / CAUSAL CHAIN
How the factors connect
- 01
After a last-gasp rescue attempt by a syndicate of investors including Shipt founder Bill Smith fell through — Smith told the Tampa Bay Times that no deal could be reached due to time constraints — CareSync discontinued its business operations on June 21, 2018, closing its Tampa and Wauchula, Florida facilities after about seven years in business.
- 02
Employees were informed at a 9 AM meeting on June 21 that the company was closing and had to leave the premises by 10 AM; roughly 292 to 300 employees were laid off, receiving no severance and no COBRA healthcare benefits.
- 03
The Tampa Bay tech community scrambled to support the displaced workers: within 24 hours, Tampa Bay Tech organized job openings and job fairs from member companies, and many local firms rushed to publicize open positions for the 300-plus affected employees.
- 04
In October 2018, a $1 million bid by Vatica Health was reported for the assets of CareSync, which had abruptly closed its doors in June; PitchBook later named CareSync to its annual list of the top 10 venture capital-backed failures.