Exciting news from StretchDollar! If you’ve been following us over these past few months, you already know that we’re on a mission to make small businesses the best place in the world to work. And we’re starting by offering the simplest, most affordable health benefit, ever.
Today, we proudly announced our launch in seven states: Illinois, Delaware, Colorado, Philadelphia, North Carolina, California and Texas. By year end 2024, we expect StretchDollar to be available to small employers across the U.S.
But that's not all! We've also secured $1.6 million in funding from esteemed investors—Precursor Ventures, Elefund, v1vc, Kindergarten Ventures, and Westerly Ventures.
Bringing to you: More access to health benefits
Since the day the idea for StretchDollar was born, we’ve been talking to startups, non-profits, and small business owners from nearly every industry. We’ve heard about their struggles when it comes to accessing health benefits for their people. (The dislike for the entire process is unanimous.) It’s too complicated. It’s too expensive. It’s just not fair.
We’re here to change that and are thrilled that we can now bring StretchDollar to the small-employer community that needs it.
And do they ever need it.
Did you know, more than 60% of small businesses in the U.S. with less than ten employees, don't offer health benefits? It's a historic low, and affordability is a major factor. In fact, the average cost of a family health plan in 2022 soared to $22,400, a 45-percent increase over the past decade. The rising costs are unsustainable. They want to take care of their people and offer competitive benefits but it’s just not possible.
New health benefit option for the smaller–sized businesses
That’s where StretchDollar comes in. We make it super easy for small employers to take care of their people without breaking the bank.
Here’s how it works. In under 10 minutes, employers can set up a pre-tax, fixed monthly stipend, which their employees can use towards their health insurance premiums. StretchDollar also helps employees find a health plan that fits their needs, with guidance from our licensed brokers, if they need it.
And the best part? Everything can be managed on StretchDollar's platform.
We're so excited about it, well, it feels like a perfect time for our catchy jingle.
You might wonder, how is this all possible? Well, it's all thanks to 2020 federal legislation that established Individual Coverage Health Reimbursement Arrangements (ICHRAs). This law allows employers to use pre-tax dollars to cover employee healthcare expenses. (Check out our Not-So-Boring Guide to ICHRA to learn more about the nitty gritty details.)
StretchDollar leverages this new rule and our deep knowledge in the small business space to create something that removes hassle for small business owners. No more one-size-fits-all health plans or playing the middleman for employee health insurance questions. Instead, employees get to choose a health plan that suits their needs and owners get more control of their benefits budget.
It's truly a win-win.
So, what are you waiting for? Take charge of your small business benefits with StretchDollar: https://www.stretchdollar.com/get-started
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