RC Capital Completes Growth Equity Investment in OnCall Staffing to Address Healthcare Staffing Needs
OnCall Staffing (“OnCall”), a leading provider of staffing and moonlighting solutions to healthcare systems and practices, announced a partnership with RC Capital, a healthcare‐focused growth equity firm. The growth financing will accelerate OnCall’s mission to provide flexible, cost‐effective alternative solutions to locum tenens to relieve healthcare systems from the immense workforce shortages.
Started by Dr. Scott Shapiro in his residency, Oncall provides a comprehensive portfolio of local clinicians that eliminates unnecessary travel expenses, offering a more cost‐effective alternative to locum tenens. Additionally, outsourcing the staffing for hard-to-staff overnight and weekend shifts can alleviate the painful cycles of trying to recruit, hire and retain professionals for those needs, while simultaneously reducing provider burnout, one of the most prominent challenges in the medical profession today. Importantly, OnCall also provides a site-specific, physician chief medical officer to assist with credentialing and day-to-day administrative needs which eases the burden on its clinicians and healthcare system partners.
“By partnering with RC Capital, a tenured healthcare investor with decades of experience building healthcare companies, we are thrilled to be able to serve more health systems who are eager for affordable clinical workforce solutions, while also providing more clinicians with flexible and supplemental income opportunities,” says Dr. Shapiro.
Founded in Philadelphia, OnCall serves leading health systems such as Jefferson Health and University of Pennsylvania Health System and plans to rapidly expand into new markets.
As part of the transaction, Mark Hamm, a 20+ year healthcare staffing veteran will become Executive Chairman of the OnCall Board of Directors and Dale Jenkins, former CEO of Curi and an experienced Board member for leading academic medical centers and healthcare systems, will also join the Board.
“The use of temporary labor is up 130% from pre‐pandemic levels and overtime pay is up over 50% resulting in US health systems cumulatively paying $24B more per year for clinical labor,” says Hamm. “OnCall is uniquely positioned to address the healthcare workforce crisis by partnering with hospitals and practices across the nation in a long‐term capacity to alleviate administrative burden and staffing gaps by providing local, affordable, on demand talent solutions.”
“We look forward to partnering with Dr. Scott Shapiro and the company to scale OnCall’s staffing solutions in new markets, providing health systems alternatives to expensive and transitory locum tenens, while also addressing clinician burnout,” says Patrick Dunnigan, Partner at RC Capital who also joins the OnCall Board of Directors along with Dan Fleming, Managing Director at RCC.
Bass, Berry & Sims LLP provided legal counsel to RCC and HMB provided legal counsel to OnCall.