Executive Summary
The Opportunity in One Paragraph
PACE (the Program of All-Inclusive Care for the Elderly) is the fastest-growing segment in American senior care, with 200 programs operational as of early 2026, 91,000+ participants, and 20+ new programs opening annually. These organizations are simultaneously a clinical provider, risk-bearing health plan, and social services agency — yet every single one runs on a broken patchwork of 8–14 disconnected systems, none of which were built for PACE. Grove PACE is the solution that doesn't yet exist: the first end-to-end intelligent operating system for PACE: cloud-native, AI-powered, and built to run every functional area of a PACE organization from enrollment through CMS encounter submission.
200
PACE Programs Active
As of early 2026, a historic milestone
91K+
Participants Enrolled
Growing 15–20% annually
8–14
Disconnected Systems
Per average PACE organization today
0
Intelligent OS for PACE
No end-to-end intelligent OS exists. Until now.

What Grove PACE Does
A cloud-native, AI-powered OS providing a single, fully integrated platform to run every functional area of a PACE organization, from initial outreach and enrollment through clinical care, compliance, health plan operations, and CMS encounter submission.

Why Now
The PACE sector hit an inflection point in 2024–2025. Twenty-five new programs opened in 2024, the most in history. PE and VC firms have flooded capital into the space. New entrant PACE organizations are making technology decisions right now, with no good options to choose from.

Investment Ask
Grove PACE is seeking $12–15M in Seed/Series A funding to build the full platform, hire aggressively across engineering and sales, and establish an unassailable market position in the 18-month window before this opportunity becomes obvious to larger players. Profitability projected by Year 4.
01 · The Problem
PACE Organizations Are Running on Duct Tape
PACE organizations are arguably the most operationally complex entity in American healthcare. They function simultaneously as a provider (clinical care delivery), a health plan (capitated Medicare & Medicaid), and a social services agency. Yet the technology available to them is an afterthought: designed for hospitals, SNFs, or commercial health plans, with PACE bolted on as a niche use case at best.
The Fragmentation Problem
A typical PACE organization today operates with 8–14 separate technology systems, including:
Clinical / EMR
- Generic ambulatory EMR (Epic, Netsmart, eCW)
- Not built for IDT workflows
- No PACE-specific care plan templates
- No built-in PACE regulatory compliance
Enrollment / CRM
- Spreadsheets or generic CRMs
- Not built for PACE eligibility workflows
- No state/CMS enrollment integration
- Manual referral tracking
Revenue Cycle / Claims
- Generic RCM platforms (Waystar, Availity)
- No PACE-specific capitation logic
- Risk adjustment managed manually
- Encounter data submission errors
Quality / Compliance
- Spreadsheets for SDRs, grievances, incidents
- Manual appeals tracking
- No automated CMS audit prep
- Siloed from clinical workflows
The average PACE organization spends an estimated 15% of total operating expenses on administrative and back-office support, much of which is driven by the cost of managing disparate systems, manual data re-entry, and compliance work that has no technology backbone.
Why Generic Solutions Fail PACE
| Requirement |
Generic Hospital EMR |
Generic Health Plan Platform |
Grove PACE |
| IDT care plan workflows | ✗ Not supported | ✗ Not supported | ✓ Native |
| PACE eligibility & enrollment | ✗ Manual | ~ Partial | ✓ End-to-end |
| Dual capitation (Medicare + Medicaid) | ✗ Not applicable | ~ MA only | ✓ PACE-native |
| Risk adjustment (CMS-HCC + frailty) | ✗ Not applicable | ~ MA only | ✓ PACE-native |
| SDR / Grievances / Appeals | ✗ Not supported | ~ Generic | ✓ PACE-regulatory |
| CMS encounter data submission | ✗ Manual/consulting | ~ Workarounds | ✓ Automated |
| Integrated data platform | ✗ Siloed | ✗ Siloed | ✓ Unified |
| PACE-specific analytics | ✗ None | ✗ Generic BI only | ✓ Purpose-built |
02 · Current Technology Landscape
What Exists Today — And Why It Falls Short
After thorough market research, there is no end-to-end intelligent operating system built natively for PACE available in the market today. The PACE sector is a classic example of an underserved niche market at the exact inflection point where a vertical SaaS solution becomes viable and valuable.
| Vendor | Primary Market | PACE Relevance | Critical Gap |
| Netsmart CareFabric | Behavioral health, post-acute | Some PACE clients use for EMR | No health plan backend, no capitation/RCM, no PACE quality module. KLAS satisfaction declining. |
| WellSky | Home health, hospice | Limited PACE use | Not designed for PACE's dual-capitation model. No enrollment or quality compliance workflow. |
| PointClickCare | Skilled nursing, senior living | Some PACE interest | SNF-oriented; does not support PACE's community-based, health plan architecture. |
| Epic / Oracle Health | Large hospitals, health systems | Some large PACE orgs | $5–20M+ implementation cost. Built for hospitals, not PACE clinics. Inaccessible for most PACE orgs. |
| Salesforce Health Cloud | Generic CRM / health | Some use for enrollment | No clinical, no RCM, no quality. Requires massive custom development. High ongoing cost. |
| athenahealth (athenaOne) | Ambulatory care, physician practices | Growing PACE interest — now a preferred PACE EMR by some programs | Strong ambulatory EMR but no PACE health plan backend, no capitation management, no SDR/grievance module, no dual-capitation RCM. Requires heavy customization for PACE regulatory workflows. |
| CollabriOS (PaceLogic) | PACE-specific — claims end-to-end | Active in PACE market | Legacy UX with no meaningful AI layer. No FHIR-compliant API or real interoperability. Limited integration capability. Design and architecture reflects a prior generation of healthcare software — organizations have moved off it in favour of modern platforms. |
| MedVision QuickCap | PACE health plan back-end | Active in PACE market | Focuses exclusively on health plan operations and capitation management. No clinical EMR, no IDT workflows, no compliance or quality module. A partial solution that still requires 6–10 additional systems alongside it. |
| Spreadsheets / manual tools | Extremely common in PACE | Used for SDRs, grievances, IDT | The single largest operational risk in PACE today. |
This is the classic vertical SaaS wedge: a market large enough to build a meaningful business, complex enough to require deep domain expertise, and ignored by horizontal platforms who cannot justify the investment to serve it properly.
03 · Market Opportunity
A Historic Inflection Point
The PACE sector reached a historic milestone in early 2026 when the 200th program opened. This followed 25 new program openings in 2024, more than the prior four years combined, driven by CMS expansion mandates, Medicare Advantage saturation, and an aging population that demands community-based alternatives to nursing home care.
$70M
2026 TAM — Current Market
200 programs · $150K–$350K ACV · ARR range $30M–$70M
$128M
2028 TAM — Projected Growth
280–320 programs · $175K–$400K ACV · ARR range $49M–$128M
$225M
2030 TAM — At Scale
350–450 programs · $200K–$500K ACV · ARR range $70M–$225M
60–80
New Entrant Programs
Opened 2022–2025, making tech decisions now. Our primary ICP.
The For-Profit / PE Shift
Between 2016 and 2022, for-profit PACE organizations grew by 182% while nonprofits grew by just 6%. PE and VC-backed organizations now represent the fastest-growing buyer segment, with the highest willingness to pay for enterprise technology that drives ROI.
The PACE Financial Model — Why ROI Is Massive
PACE operates on capitated payments: a fixed per-member-per-month amount from CMS and Medicaid. A 300-participant program manages $10M–$20M in annual capitated revenue. At this scale, a technology platform that improves risk adjustment by even 3–5% pays for itself in weeks.
Conservative, subscription-only view. Add-on revenue from data services, implementation, training, and population health analytics will expand revenue per customer substantially.
Market data sourced from CMS PACE enrollment reports, National PACE Association (NPA) 2024 State of PACE, and comparable vertical SaaS benchmarks in healthcare technology. ACV ranges reflect modular pricing assumptions; final pricing is under active development. Forward-looking projections (2028, 2030) are illustrative modelling estimates based on CMS expansion trends and adjacent managed care technology market growth rates; they are not audited financial forecasts.
04 · The Solution
Grove PACE — The Six Core Modules
Grove PACE is a single, cloud-native platform that replaces every major technology system a PACE organization uses, from first community referral to final encounter submission to CMS, with the first end-to-end intelligent operating system built exclusively for PACE.
Module 1

CRM — Outreach & Enrollment
- Referral tracking and community outreach management
- PACE eligibility screening workflows
- State and CMS enrollment submission automation
- Participant onboarding and orientation workflows
- AI-powered lead scoring and market penetration analytics
- Disenrollment tracking and appeals
Module 2

Clinical — First-Ever Built-for-PACE EMR
- PACE-native Physician and IDT documentation and workflows
- Comprehensive care plan creation and management
- PACE Center scheduling and transportation coordination
- Home care scheduling and visit management
- Medication management and pharmacy integration
- AI-assisted clinical documentation and HEDIS capture
Module 3

Quality & Compliance
- Service Determination Request (SDR) management
- Grievances and appeals with regulatory timelines
- Incident reporting and investigation workflows
- CMS audit preparation and documentation management
- State Medicaid compliance reporting
- Quality measure dashboards and PACE-specific KPIs
Module 4

Health Plan Backend
- Dual capitation management (Medicare + Medicaid)
- Risk adjustment automation (CMS-HCC + frailty scoring)
- Encounter data submission to CMS and state Medicaid
- Claims processing for contracted providers
- Prior authorization management
- Revenue cycle management and financial reporting
Module 5

Data Platform & Analytics
- Unified participant data lake across all modules
- Real-time operational and financial dashboards
- Population health analytics and risk stratification
- Predictive modeling for hospitalization and utilization
- Data science workbench for advanced analytics
- Regulatory and CMS reporting automation
Module 6

Integration & API Layer
- HL7 FHIR-compliant API for external integrations
- Lab, pharmacy, and specialist network connections
- State HIE and Medicaid system integration
- CMS data submission pipelines
- Third-party vendor integration marketplace
- Telehealth and remote monitoring connectivity
Six core modules. And much more.
Community Support Module: Coordinating social services, community resources, and participant support networks, closing the loop on PACE's community care mission.
Patient & Caregiver Portal: A dedicated experience for participants and their families: care plans, visit schedules, medication lists, and secure messaging with the care team.
Predictive Hospitalization & Risk Intelligence: ML models that identify participants at elevated risk for hospitalization or ER use, enabling proactive, preventive intervention before a crisis occurs.
Culturally Sensitive Care: Participant-level language, cultural, and dietary preferences embedded across all clinical and operational workflows. Not an add-on; a core design principle.
AI-Native by Design
Every module, core and extended, is built AI-native. Intelligence woven into every workflow, every screen, every decision.
Built with security in mind
HIPAA Compliant
·
PHI-Safe Architecture
·
End-to-End Encryption
·
Full Audit Trail
·
Role-Based Access Control
05 · Grove — Intelligence Platform
And then there's Grove.
Grove
The Intelligence Engine Inside Grove PACE
The other six modules digitize your workflows. Grove makes you exceptional. It's the clinical intelligence layer embedded across every module — regulatory-aware, proactive, and built for one model of care: PACE.
Featured · Daily Intelligence Workspace
MyGrove — Where Intelligence Becomes Personal
Every provider begins their day in MyGrove, a living workspace that knows what matters most right now. Grove lines up critical work, stays live and listening, and responds the way a trusted clinical partner would. Three modes shape every session: Clinical for day-to-day participant care and open tasks, Research for deeper clinical and regulatory exploration, and Coaching for peer review recommendations and personal development.
Context
What Grove knows about today: participant priorities, care gaps, and team alerts, surfaced before the first interaction.
Evidence
The source behind every recommendation: clinical literature, regulatory guidance, and population data, always cited.
My Snapshot
A personal performance view for every provider, and a trusted window into team growth for leadership.
MyGrove is not a dashboard. It is a daily ritual.
Regulatory Intelligence
Grove reads 42 CFR Part 460 so your team doesn't have to. Every documentation decision is cross-referenced against current CMS requirements in real time, surfacing gaps before they become deficiencies. Grove also understands state-specific Medicaid rules and regulatory variations, so programs operating across multiple states are always working to the right standard.
Peer Review, Human-Led
Grove pre-analyzes documentation and flags gaps — then steps aside. Every finding is labeled "Grove flagged — your decision pending." Clinicians decide. Grove learns. The loop never breaks.
The Trust Index
Grove measures its own adoption quality — not just usage volume. Every provider sees in real time how often Grove aligned with their instincts, where they chose to decide alone, and how that partnership has grown. This is the flywheel: each interaction makes Grove smarter, more trusted, and harder to replace.
Grove is the reason Grove PACE cannot be replicated.
This is Grove PACE's secret sauce — the reason organizations that choose us will never leave, and the reason competitors will spend years trying to catch up. Less burnout. Better documentation. Defensible peer review. And a clear, traceable record of responsible AI use for CMS.
06 · ROI for PACE Organizations
One of the Strongest ROI Stories in Healthcare IT
PACE organizations are at full financial risk. Every dollar of operational efficiency and every dollar of revenue capture improves their bottom line directly. Model based on a mature PACE organization with 300 enrolled participants generating approximately $25M in annual capitated revenue.
Payback in under 60 days.
At indicative contract values (to be confirmed through modular pricing), a PACE organization can expect full payback in under 60 days on even the conservative ROI scenario, making Grove PACE one of the strongest ROI stories in any healthcare IT category.
Revenue Enhancement
| Value Driver | Conservative | Optimistic |
| Risk Adjustment Improvement | +$750K/yr | +$2M/yr |
| Enrollment Growth | +$1.25M/yr | +$2.5M/yr |
| Reduced Disenrollment | +$500K/yr | +$1.25M/yr |
| Total | $2.5M/year | $5.75M/year |
Cost Reduction
| Value Driver | Conservative | Optimistic |
| Admin & Operational Efficiency | $300K–$500K/yr | $800K–$1.2M/yr |
| Technology Stack Consolidation | $150K–$250K/yr | $400K–$600K/yr |
| Hospitalization Reduction | $300K/yr | $750K/yr |
| Compliance Risk Reduction | $500K risk avoidance | $2M+ risk avoidance |
| Total | $1.25M/year | $4.55M/year |
Note: InnovAge, the largest PACE operator, paid $21M+ in CMS settlements, illustrating the compliance risk avoidance value alone can dwarf a typical Grove PACE contract.
07 · Revenue Model & Go-to-Market
Start Smart. Scale Fast.
Pricing Philosophy
Grove PACE will be priced on a modular, per-participant-per-month basis, reflecting the specific modules deployed and participant volume. As a reference point, leading EMR-only solutions charge $55–$75 PPPM for clinical documentation alone. Grove PACE covers CRM, EMR, Quality & Compliance, and Health Plan backend in a single platform. Final pricing is under active development and will be shared with prospective clients and investors on request.
Startup
Modular Pricing
Pre-launch or <100 participants · Entry-tier bundle
Modular pricing — EMR-only entry point available
Core compliance & enrollment modules
~40–60 programs in market
Growth
Modular Pricing
100–300 participants · Core + Compliance bundle
Modular pricing — Core + Compliance bundle
Full clinical + compliance platform
~80–100 programs in market
Largest Segment
Mature
Modular Pricing
300–600 participants · Full platform bundle
Modular pricing — Full platform + data services
All 6 modules + analytics
~40–50 programs in market
Enterprise
Custom Pricing
600+ participants · Enterprise & multi-site
Custom enterprise pricing + premium services
Multi-program dashboards
~10–20 operators in market
Phase 1
Year 1 · Anchor Customers

Land with Compliance
- Target 60–80 programs opened 2022–2025, with minimal legacy tech
- Offer 2–3 founding partner orgs deeply discounted pricing ($30K–$60K/yr)
- Lead with Quality & Compliance for immediate CMS pain relief
- NPA conference presence established
- Target: 5–8 clients, $600K–$1M ARR
Phase 2
Year 2 · Channel Development

Expand with AI
- PACE Technical Assistance Center partnerships active
- 3–4 enterprise sales reps hired
- Upsell clinical and AI documentation modules
- PPPM expansion revenue as clients grow enrollment
- Target: 20–30 clients, $3M–$5M ARR
Phase 3
Year 3–5 · Market Dominance

Scale & Entrench
- Enterprise multi-site operator contracts ($350K–$1M+)
- Data platform network effects compounding
- 100+ clients → de facto PACE standard
- Strategic M&A conversations begin
- Target: 130–160 clients, $28M–$45M ARR
08 · Financial Projections
Path to Profitability
Projections are illustrative modelling estimates based on sector benchmarks and comparable vertical SaaS businesses. PPPM pricing is under active development using a modular framework by participant volume and module set; final pricing will reflect the full scope of Grove PACE relative to point solutions in market. Churn assumption: 8% (conservative for vertical SaaS). Implementation revenue recognized over 6 months. Gross margin at scale: 85%.
$10M
Year 3
50–70 clients
$20M
Year 4
80–110 clients
$36M
Year 5
130–160 clients
| Year | Clients | ARR | Gross Margin | EBITDA | Cumulative Cash |
| Year 1 | 5–8 | $0.8M | 55% | $(3.2M) | $(3.2M) |
| Year 2 | 20–30 | $4M | 62% | $(2.2M) | $(5.4M) |
| Year 3 | 50–70 | $10M | 70% | $(0.5M) | $(5.9M) |
| Year 4 | 80–110 | $20M | 74% | $3.5M | Breakeven |
| Year 5 | 130–160 | $36M | 76% | $9M | +$3M+ |
Grove PACE reaches EBITDA profitability in Year 4 and cumulative cash breakeven by Year 4/early Year 5, assuming the $12–15M raise. The business becomes self-funding from Year 4 onward with no additional capital required.
Built to Lead. Strong Exit Optionality.
Grove PACE is being built to become the defining technology platform for PACE: a category leader with lasting market power. We are not building to sell. We are building to matter. That said, the strategic value of what we are creating means that by Year 4–5, Grove PACE will represent a compelling acquisition opportunity for multiple large-scale acquirers, should that ever align with our mission.
Epic / Oracle Health
Deep strategic alignment: Grove PACE fills a meaningful gap in their managed care portfolio. High natural fit if strategic paths converge.
PointClickCare / MatrixCare
A natural adjacency: Grove PACE extends their post-acute footprint into community-based managed care, a segment they cannot credibly enter organically.
Netsmart / WellSky
Both serve fragments of the PACE market today. Grove PACE represents the complete solution neither has been able to build, representing strong strategic complementarity.
PE Rollup / Managed Care Tech
Cotiviti, Inovalon, Evolent: Grove PACE's risk adjustment engine and data platform are highly complementary assets for any managed care technology platform seeking PACE exposure.
09 · The Ask
Join us in building the future of PACE.
Raising $12–15M Seed / Series A
To build the product fast, hire aggressively, and establish an unassailable market position before the window closes
Year 4 EBITDA Positive
Strong Exit Optionality
115%+ NRR Target
Use of Funds
45%
$5.4–6.75M
Product & Engineering
Core platform build across all 6 modules; AI/ML infrastructure; mobile app; FHIR integration layer
25%
$2.5–3M
Sales & GTM
Enterprise AEs, NPA conference presence, PACE TAC partnerships, channel development
20%
$2–2.4M
Clinical & Compliance
CCO hire, PACE regulatory expertise, CMS certifications, clinical advisory board
10%
$1.2–1.5M
Operations
Infrastructure (HIPAA/SOC2), legal, working capital, and contingency reserve
Why We Win

Deep domain expertise
Built by people who have lived inside PACE organizations. The product reflects real workflows, real regulatory requirements, and real financial pressures, not generic assumptions.

First-mover advantage
There is no incumbent to displace in the vertical SaaS sense. We are creating this category, and we are building at exactly the right moment.

Network effects
Every new PACE client enriches our data platform, improves our predictive models, and makes Grove PACE more valuable for every other client. This compounds over time.

Switching costs
Once a PACE organization builds its clinical, operational, and financial workflows on Grove PACE, switching costs are extremely high. NRR target is 115%+ as clients grow enrollment.

Timing
The market just had its biggest growth year ever. PE capital is flooding in, and new programs are making technology decisions right now. We are building at exactly the right moment.

Competitive moat
PACE regulatory expertise encoded into the product + proprietary data from operating across PACE programs + a team competitors cannot easily replicate.
A world where every PACE organization can focus on what they do best — caring for their participants — because every operational, clinical, financial, and compliance function is handled by an invisible, intelligent system working perfectly in the background. That is Grove PACE.
The Vision. The Platform. Grove PACE.
Grove PACE
[email protected] · thepaceos.ai · grovepace.ai · 2026 · Confidential