New York City-based telehealth psychiatry platform Blossom Health has raised $20 million as part of a Series A and seed funding round.
The company initially emerged from stealth in October 2025 with $18.4 million in funding. Blossom Health pitches itself as an artificial intelligence-powered operating system that incorporates agentic AI to streamline medical decision-making, billing, treatment plan personalization, medication selection and other processes in concert with human psychiatrists.
“Our tools save clinicians 30 minutes or more per patient visit, which ends up being 10+ hours of time back in a week,” John Zhao, CEO and founder of Blossom Health, told Behavioral Health Business. “Not only does that allow our clinicians to treat more patients and do so more effectively, it also makes the lives of our clinicians so much more rewarding. The No. 1 cause of clinician burnout isn’t patient care itself, but rather all the administrative and clerical tedium that comes with that care. We take all of that off their plates.”
With $20 million in fresh capital, Blossom Health aims to expand state coverage, add new national and regional payer contracts, add to its AI copilot capabilities, and expand research and development efforts for its AI-infused platform.
Right now, Blossom operates across nine states: California, Florida, Illinois, New Jersey, New York, Pennsylvania, Texas, Virginia and Washington. Next, Zhao said, the company plans to add Arizona, Georgia, Massachusetts, Michigan and North Carolina to its geographic regions, with others on the horizon.
“Ultimately, our north star is the same across any time frame: Are we doing right by patients and by providers?” Zhao said. “There’s a lot of ways to measure that, but the clearest is always people voting with their feet — our explosive growth in the patients and providers who have onboarded onto Blossom is testament to the value we deliver them.”
The fundraise was backed by 16 investors and led by major venture capital firms Headline and General Catalyst, with participation from Village Global, Correlation Ventures, TA Ventures and Operator Partners.
Additional investments were made by operators and company-affiliated angel groups, including Flatiron Health, Sword Health, Zip, Blank Street, Elemy, Fay, Assured, Birches Health, Bridge and Enzo Health.
One of Blossom Health’s backers, Sword Health, made its own moves into the mental health sector in 2025 with the launch of Mind, its AI-powered mental health tool, which it just expanded into an employee assistance program (EAP) this week.
Zhao did not comment on whether M&A or additional growth opportunities are on the horizon for Blossom Health, but said that, for now, the team is focused on output.
“As long as we continue building Blossom in the right way, putting patients and providers first, growth will take care of itself,” Zhao said.