Larry Smart, CFO at CareSource, talks partnership with Boomerang Ventures

Earlier this week, managed care organization CareSource joined as a limited partner in Boomerang

Earlier this week CareSource, a nonprofit, nationally recognized managed care organization with over 2.3 million members, announced a strategic partnership with Boomerang Ventures, an early-stage venture studio and venture capital fund specializing in connected health solutions.

Through this collaboration, CareSource became a Limited Partner in the fund, allowing Boomerang’s VC Fund to make investments ranging from $500,000 to $2 million. In addition, this partnership will allow Boomerang to expand into new geographic markets.

CareSource, meanwhile, in it role as a limited partner, will now have the opportunity to co-invest into strategically aligned companies addressing health care with cutting-edge technology. The company will also gain access to Boomerang's network of health care professionals, providers, investors, and other experts.

Finally, Boomerang's portfolio companies will have the opportunity to pilot technologies with CareSource providers. 

Larry Smart, CFO at CareSource, spoke to VatorNews about the partnership with Boomerang Venture, what technologies the company is hoping to access, and 

VatorNews: How did this partnership with Boomerang come about? Why did you decide they would be a good partner for you?

Larry Smart: In early 2023, Boomerang reached out to CareSource asking how we were thinking about remote patient monitoring and Social Determinants of Health as value propositions.

We learned that we both have a focus on transforming health care through innovation. CareSource felt we could leverage Boomerang’s combination of a studio and venture fund to support the need of entrepreneurs to take their innovations from ideation to viable markets.

VN: What does Boomerang provide CareSource with that you didn't have otherwise? 

LS: We both have plans to expand into new, key geographic markets. Boomerang helps provide CareSource state-level engagement with early-stage companies, institutions and investors to identify and develop promising health solutions and technologies. 

VN: What technologies are you hoping to gain access to through Boomerang's investments? What gaps are you looking to fill for your organization?

LS: CareSource’s focus is on serving underserved, under-resourced communities. This investment will fuel progress to better address gaps in the health care system to improve health care access, quality and equity. 

VN: What is the goal in this partnership? What would success look like for you?

LS: The primary goal of the partnership, and the ultimate success factor, is to drive innovative solutions that can positively impact the health of the communities CareSource serves, particularly people covered by government-sponsored health care programs.