Procode AI
Procode AI is an AI-native roll-up of fragmented revenue cycle management companies, deploying a proprietary AI Coding Copilot that automates surgical/procedural medical billing and charge submission. It acquires small to medium RCM firms and currently serves 300+ providers in plastic surgery and dermatology via its Auctus Group subsidiary.
- Company typePrivate
- Founded2024
- HeadquartersLos Angeles, United States
- Headcount101–250
- GTM typeB2B
- OfferingSoftware
What Procode AI does
Procode AI (Procode Inc.) is an AI-native revenue cycle management (RCM) company operating a Build-Then-Buy roll-up strategy against the fragmented $15 billion U.S. RCM market. Founded in 2024 and headquartered in Los Angeles, the company acquires small to medium-sized medical billing firms and retrofits them with its proprietary AI Coding Copilot — an NLP-driven system that translates operative reports into CPT, Dx, and Mod codes with NCCI/MUE/LCD cross-checking and automates end-to-end charge submission directly from the EHR. The platform supports 12+ surgical specialties, with current commercial concentration in plastic surgery and dermatology via the September 2025 acquisition of The Auctus Group, a Bannockburn, Illinois-based RCM firm serving 300+ providers.
The core product surface consists of three components: (1) the AI Coding Copilot, which processes thousands of claims per day and reduces coding errors from 21% to 9%, (2) the Auctus Provider App, an acquired mobile platform that provides financial transparency and AR days management to providers, and (3) comprehensive RCM services (coding, billing, denial management) delivered on top of the AI layer. Pricing is quote-based and not publicly disclosed; revenue is generated through recurring service fees and managed services on acquired RCM books.
The go-to-market combines direct sales to private practice surgeons with an acquisition-led growth channel ('Sell Your RCM Company') that targets the approximately 5,000 fragmented RCM operators in the U.S. The company is backed by $4 million in seed funding (March 2026) led by Story Ventures, with participation from CHAP Health Ventures, Progression Fund, and Perplexity CBO Dmitry Shevelenko. Following the Auctus acquisition, Procode added $2 million in ARR within five months, expanded EBITDA margins from 5% to 35%, and achieved cash flow profitability in January 2026.
Procode AI firmographics
Firmographics- Name
- Procode AI
- Legal name
- Procode Inc.
- Website
- https://tryprocode.com
- Company type
- Private
- Founded year
- 2024
- Operating status
- Operating
- Headcount range
- 101–250 employees
- Short description
- Procode AI is an AI-native roll-up of fragmented revenue cycle management companies, deploying a proprietary AI Coding Copilot that automates surgical/procedural medical billing and charge submission. It acquires small to medium RCM firms and currently serves 300+ providers in plastic surgery and dermatology via its Auctus Group subsidiary.
- Ownership category
- akta.pro rank
Procode AI industry classification
Industry- Product category
- Healthcare Revenue Cycle Management Software
- NAICS
- Software Publishers (5132), Custom Computer Programming Services (541511)
- SIC
- Services-Prepackaged Software (7372)
- akta.pro primary industry
- Medical Billing & Coding Automation (HLACACAA)
- akta.pro secondary industry
- AI Integration & Orchestration Platforms (Connectors, Workflow, iPaaS for AI) (HDAEANAI)
Keywords
Where Procode AI is headquartered
LocationHeadquarters
- HQ city
- Los Angeles
- HQ country
- United States
- HQ region
- North America
Offices1 record
Markets served
Procode AI business model
Business model- GTM type
- B2B
- Offering type
- Software
- Cost components
- Personnel, Technology or R&D
Revenue model
- Revenue Cycle Management Services: Procode AI provides AI-powered coding copilot and RCM tools to healthcare providers, generating revenue through service fees for medical billing and coding automation. The company acquired The Auctus Group, an established RCM firm, and is implementing its AI technology to improve billing efficiency and reimbursement speed for providers.
- RCM Company Acquisitions: Procode AI is rolling up small to medium-sized RCM/medical billing companies, acquiring them and supercharging operations with AI technology. This acquisition-based growth strategy generates revenue through consolidating acquired companies' earnings.
Go-to-market motion1 record
Distribution channels2 records
Marketing channels3 records
Procode AI product offering
Product offeringCore offering
Procode AI builds an AI Coding Copilot that translates operative reports into billing and diagnostic codes (CPT, Dx, Mod) with NCCI/MUE/LCD cross-checking, integrating directly with EHR systems to automate the end-to-end charge submission workflow. The company pairs this software with managed revenue cycle management services, currently delivered primarily through its acquired subsidiary The Auctus Group, to private practice surgeons across 12+ surgical specialties. Its offering is delivered through a build-then-buy roll-up model that acquires small-to-medium RCM companies and enhances them with its proprietary AI technology.
Product overview
Procode AI offers an AI-native revenue cycle management platform with two primary products: the AI Coding Copilot as the core technology engine that translates operative reports into billing and diagnostic codes (CPT, Dx, Mod) with automated cross-checking, and the Auctus Provider App (acquired via The Auctus Group acquisition) as a mobile interface for provider financial transparency and AR management. The platform integrates directly with EHR systems to automate end-to-end charge submission, combining the AI Coding Copilot's processing capabilities with the acquired RCM client base and provider app to serve over 300 providers in plastic surgery, dermatology, and other surgical specialties.
Differentiator
Problem solved
Functional benefit
Brands
- The Auctus Group: Leading RCM company serving plastic surgeons and dermatology providers; acquired brand retained by Procode AI
Products and services
- AI Coding Copilot AI-powered coding copilot that translates operative reports into billing and diagnostic codes (CPT, Dx, Mod) with NCCI/MUE/LCD cross-checking. Reduces coding error rates from 21% to 9% and enables medical coders to code 90% faster. Designed for medical billers and coding staff at specialty surgical practices.
- Auctus Provider App Mobile application for providers offering financial transparency, accounts receivable days management, and reimbursement tracking. Currently serves over 300 providers in plastic surgery and dermatology practices.
- Revenue Cycle Management (RCM) Services Comprehensive revenue cycle management services for private practice surgeons, including coding, billing, denial management, and accounts receivable reduction powered by proprietary AI tools. Delivered primarily through The Auctus Group subsidiary.
Quantifiable outcome
- Coding error rates reduced from 21% to 9%
- +4 more outcomes
Companies that use Procode AI
Customer profileNamed customers1 record
Segments4 records
Ideal customer profiles2 records
Procode AI technology and API
TechnologyTechnology focussed Yes
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
AI capability4 records
Feature4 records
Procode AI partnerships and signals
Strategic signalPartnerships
One partnership is on record.
- The Auctus GroupcoreProcode AI acquired The Auctus Group, a Bannockburn, Illinois-based RCM firm serving more than 300 plastic surgery and dermatology providers. Founded in 2012, The Auctus Group was the first acquisition in Procode AI's Build-Then-Buy roll-up strategy. The acquisition enabled $2 million in added ARR within five months and expanded EBITDA margins from 5% to 35%.
Scale indicators7 records
Recent moves6 records
Expansion highlights5 records
Procode AI competitors and assessment
Company assessmentDirect peers
- CodaMetrix: CodaMetrix provides AI-powered autonomous medical coding for healthcare providers, focusing on complex specialty coding. It competes directly with Procode on AI-driven CPT/ICD coding for surgical and procedural cases.
- AKASA: AKASA builds AI for revenue cycle operations across hospitals and health systems, including coding, claims, and denials. It overlaps with Procode's RCM-automation thesis at a larger-provider scale.
- Notable Health: Notable Health applies AI to automate administrative workflows in healthcare, including medical coding and billing tasks. It is the closest direct competitor to Procode's AI Coding Copilot, serving similar provider customers with workflow-automation software.
Broad incumbents
- Waystar: Waystar is a large, established healthcare revenue cycle management software platform serving hospitals and providers. It represents a broader incumbent competing with Procode across the RCM stack, including coding, billing, and denials.
- Optum (UnitedHealth Group): Optum is the largest healthcare services and technology platform in the U.S., with deep RCM, coding, and AI capabilities. It is a broad incumbent competitor that could leverage proprietary payer and EHR data to compete with Procode's coding AI.
- R1 RCM: R1 RCM is a major end-to-end RCM services and technology provider, including AI-augmented coding and automation. As a large incumbent in the same $15B market Procode is consolidating, it is a relevant broad competitor.
- Availity: Availity operates a large clinical data exchange and RCM-adjacent platform connecting providers and payers. It competes in the broader revenue cycle workflow space Procode targets.
- Experian Health: Experian Health provides RCM, claims management, and patient access solutions to providers. As an established player in RCM technology, it is a broad competitor to Procode's billing and coding automation offerings.
Emerging players
- Phreesia: Phreesia provides patient intake, eligibility, and payment solutions with growing RCM-adjacent capabilities. It is an adjacent competitor that intersects with Procode's provider-facing revenue cycle workflows, particularly in ambulatory and specialty practices.
- Olive AI: Olive AI develops AI-powered automation for healthcare administrative workflows, including revenue cycle. It overlaps with Procode's automation thesis but has historically focused on hospital-system use cases rather than private-practice surgical RCM.
Market position
Strengths5 records
Weaknesses5 records
Competitive moat5 records
Key risks6 records
Key highlights7 records
Customer concentration
Procode AI social profiles
Digital presenceProcode AI financial estimates
Financial estimateRevenue estimate
Valuation estimate
Procode AI leadership team
Management profileNumber of profiles
Profiles3 records
Procode AI subsidiaries and ownership
Company hierarchySubsidiaries1 record
Procode AI funding detail
Funding detailFunding overview
Funding rounds3 records
Investors5 records
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Procode AI M&A and investment
M&A and investmentM&A1 record
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Procode AI
What does Procode AI do?
Procode AI builds an AI Coding Copilot that translates operative reports into billing and diagnostic codes (CPT, Dx, Mod) with NCCI/MUE/LCD cross-checking, integrating directly with EHR systems to automate the end-to-end charge submission workflow. The company pairs this software with managed revenue cycle management services, currently delivered primarily through its acquired subsidiary The Auctus Group, to private practice surgeons across 12+ surgical specialties. Its offering is delivered through a build-then-buy roll-up model that acquires small-to-medium RCM companies and enhances them with its proprietary AI technology.
Is Procode AI a public or private company?
Procode AI is a private company. It is classified as venture growth investor backed and is currently operating.
When was Procode AI founded?
Procode AI was founded in 2024. It employs 101 to 250 people.
Where is Procode AI based?
Procode AI is headquartered in Los Angeles, United States, in the North America region.
How does Procode AI make money?
Two revenue lines are on record. Revenue Cycle Management Services are the primary driver. The others are RCM Company Acquisitions.
Who are Procode AI's main competitors?
Direct peers on record are CodaMetrix, AKASA and Notable Health. Broad incumbents are Waystar, Optum (UnitedHealth Group), R1 RCM, Availity and Experian Health. Emerging players are Phreesia and Olive AI.
Does Procode AI have an API?
No public API is recorded for Procode AI.
What industry is Procode AI in?
Procode AI's product category is Healthcare Revenue Cycle Management Software. Its primary akta.pro industry code is HLACACAA, Medical Billing & Coding Automation, with a secondary code of HDAEANAI, AI Integration & Orchestration Platforms (Connectors, Workflow, iPaaS for AI). Its NAICS code is 5132 and its SIC code is 7372.