Two years ago, a stampede of software startups began chasing the emerging electronic health records market.
The rush was driven by a $19 billion federal incentives program to push U.S. doctors to adopt electronic medical records.
Now, many doctors are ready to upgrade their first electronic systems, and Austin-based e-MDs Inc. sees a growth opportunity. In response, the company, founded in 1996 by Cedar Park physician David Winn, is moving to a new headquarters and expanding its 350-person workforce.
“The first time around, a lot of products were built by two guys in a garage who were putting out what they thought electronic forms should look like. Physicians typically were not included in the selection process and they were not happy with what they got,” said Stephanie Keene, managing director of strategy and marketing at e-MDs.
“Now doctors are more savvy and they’re involved in the decision making. When they test our software, they see how intuitive it is and they say ‘This was built by a physician,’ ” Keene said.
Next month, the company will move to a 40,600-square-foot technology campus that will serve as its headquarters on Shoal Creek Boulevard in North Austin. It also is opening a 30,000-square-foot administrative campus for the finance, training and professional services in Cedar Park.
Meanwhile, e-MDs is seeking to fill 20 positions, in areas including development, support, training and marketing.
Winn started the company by hiring programmers and using Northwest Diagnostic and Family Medical Center in Cedar Park, which he founded, as the pilot clinic to test the software.
Today, more than 2,800 doctors’ practices and 10,000 physicians use the software, which helps with everything from scheduling patient appointments to recording illness information, ordering tests, prescribing medicine and automating the billing process.
The company, which has raised no outside investment, has been profitable for the past 12 years, Keene said. The company doesn’t disclose current financial information. In 2010, officials said annual revenue was expected to top $30 million.
E-MDs competes with hundreds of small companies and a few larger players including eClinicalWorks of Boston and Greenway Medical Technologies of Carrollton, Ga.
“There’s consolidation going on in the market, and some retraction,” Keene said. “That’s creating a lot of new business opportunities and we will be targeting them.”