Honey Health Raises $7.8 Million to Bring Autonomous AI Agents to Healthcare’s Back Office

Honey Health, a Mountain View-based startup, has secured $7.8 million in seed funding to bring startups-scale innovation into one of healthcare’s biggest inefficiencies: administrative and back-office workflows. Led by Pelion Ventures, with participation from Streamlined, Burst Capital and 8-Bit Capital, the raise supports Honey Health’s goal to replace the fragmented, labor-intensive machinery of healthcare administration with autonomous AI agent teams.

A Force Multiplier for Overburdened Care Teams

Turnover among healthcare workers remains a significant challenge. Research shows that in home-health settings, average annual separation rates exceeded 30% for registered and licensed practical nurses between 2016 and 2019. In hospital settings, the average turnover rate for all staff was approximately 20% in recent years. At the same time, administrative burdens and fragmented tool-stacks persist, meaning that even when staff remain, care teams are often stretched thin by non-clinical work that diverts time and attention from patient care.

Honey Health offers a different path. Rather than delivering a narrow tool, it provides an all-in-one platform of AI “co-workers” that plug into existing healthcare systems and complete full workflows — from data fetching and note preparation to order/rx refills, fax triage and prior authorizations. According to its website these agents operate directly inside the EHR, logging into systems, navigating interfaces and finishing jobs that will either replace or augment human back-office staff.

What makes this particularly relevant for mid-market and specialty care providers is Honey’s focus on organizations with mixed EHR environments, lean IT teams and tool-stacks stitched together from multiple vendors. The company claims its proprietary “Loop Framework” and “Hive Protocol” let its agents onboard in under 30 days and begin completing end-to-end tasks rather than “here’s a dashboard, now you still need staff to act.”

Traction & Impact to Date

Since its launch in December, Honey has reportedly partnered with more than 100 medical groups and health systems. Customer feedback indicates annual profit gains of $50 000 to $65 000 per provider, driven by reduced backfill costs for high-turnover roles and improved scaling without proportionally expanding administrative teams.

One user, Dr. Kashif Latif of AM Endocrinology in Memphis, described the experience as: “Our back-office work just gets done inside our EHR as if a staff member had completed it.”

The agents currently handle key workflows across specialty and primary-care settings including:

• Data fetching (from labs, devices, external systems)
• Note-prep and pre-charting (charts ready prior to visits)
• Order/refill handling (post-visit)
• Fax triage (routing, filing and extracting key details)
• Prior authorizations (end-to-end)
• With these capabilities, Honey is positioning itself as more than a “task-bot” tool — it intends to act like a full member of the back-office team.

Leadership & Founding Vision

The company was founded by Matt Faustman and Xiao Zhang, former engineering, product and AI leaders at LinkedIn. Their personal stories give added resonance: Faustman was diagnosed with Type 1 diabetes a decade ago and experienced firsthand how administrative bottlenecks delayed care. It’s this lived-experience combined with AI product background that drives the company’s mission.

As Tyler Hogge, Partner at Pelion Ventures, put it: “The market has grown exhausted with patchwork point solutions that create more complexity than they solve. The future belongs to compound platforms that can orchestrate entire workflows autonomously across systems. Honey represents this next generation.”

What This Means for the Future of Healthcare Back Offices

The implications of this technology extend well beyond cost-saving. If platforms like Honey Health can truly deploy autonomous agent teams across a variety of health systems, a few future possibilities emerge:

First, care teams may finally reclaim time: fewer hours spent chasing faxes, refills, or interfacing between systems means more time for direct patient interaction or value-added work.

Second, the economics change. Many organizations today add a provider and must proportionally scale up back-office and admin staff. With effective AI agents, they may scale providers without scaling costs, potentially unlocking better margins and more accessible care.

Third, this may influence how healthcare technology evolves: instead of layering yet another front-end “portal” or dashboard, tech may shift to “autonomous worker” models—systems that silently do the work behind the scenes. This lowers the training and oversight burden for staff and may lead to fewer disruptions when systems change.

Finally, on a systemic level, if administrative friction decreases, healthcare access, quality and throughput may improve. When back-office bottlenecks drop, wait-times shorten, referrals accelerate, and patients move more smoothly through the system. Over time that could reduce waste, improve outcomes and shift resources toward direct care rather than administrative overhead.

As Honey Health moves ahead with its new funding to expand capabilities and scale its team, the arrival of true autonomous AI agents in the healthcare back office may mark a meaningful step toward a more efficient, human-centric healthcare system.