American Heart Association Ventures, an AgeTech Collaborative™ from AARP investor participant, builds upon the overall American Heart Association mission by funding programs that turn high-quality, evidence-based science into practical, meaningful and equitable solutions for patients across the healthcare system. The organization has a special interest in companies working on solutions that address cardiovascular and brain health solutions, women’s health and the social determinants of health.
We sat down with Lisa Suennen, managing partner of American Heart Association Ventures, to learn more about the organization and get an investor’s perspective on what makes some startups stand out and the future of AgeTech.
This interview has been edited for clarity and length.
Please tell us about American Heart Association Ventures.
Most people know about the American Heart Association, which is a nonprofit organization that focuses on researching and informing the public about cardiovascular and brain health, and related diseases and problems. We’re focused on driving breakthroughs in science and policy and making an all-around impact on healthcare through the lens of cardiovascular disease and brain health.
Over the last 10 years, we’ve realized that we also want to take all that innovation and impact from the science and research side and get it all the way to patients. So at American Heart Association Ventures, we invest in companies in order to bring all that research and science the “last mile” — all the way to commercial use in the form of actual products and services for patients and the healthcare system.
Why does the Heart Association include brain health in its mandate?
The heart and brain are inextricably linked as the most vital organs of the body, so we think about them as a single nexus. That carries over into the Ventures side: We think in broad terms about our investment strategy. There are many conditions that aren’t characterized as heart disease but that cause heart disease. Those range from autoimmune and respiratory disorders to certain gynecological disorders, even menopause. So we think about all those things when we’re considering what to invest in.
What compelled you to get involved with the AgeTech space to begin with?
Well, the AgeTech space is inseparable from the heart and brain health space. There are some 120 million people in America with heart disease, and the vast majority of them are adults over 50. There’s a natural overlap there, so when we think about the types of products and services we want to fund, we’re almost always thinking about people who are in middle or later age.
But, again, we take a broad approach — we look beyond straight-up heart disease to things like Alzheimer’s, dementia, stroke, even loneliness and isolation, which has been shown to dramatically increase a person’s risk for heart and cognitive problems.
How do you define success in AgeTech investing, from an investor's point of view?
There are several ways that we define success. First, we want to see the real-world impact. Are we actually reaching people and making a difference in their lives? And is that number of people growing every year?
Second, we want to see that we’re creating and supporting sustainable companies that have a meaningful impact and that are based in science and are clinically legitimate. Are they spreading great science and clinical know-how throughout the healthcare industry and patient community?
Third, we look at financial returns, of course. We have four different funds: Go Red for Women Venture Fund, Studio Red, Cardeation Capital, and the Social Impact Funds. Each one has a different profile that balances both impact and returns, but we’re super focused on making sure that we do a great job for people on both counts.
Can you tell us more about the Social Impact Funds?
The Social Impact Funds focus on the social determinants of health, meaning the focus is not core medical devices or major treatment interventions, for example. Instead, it addresses the things in people’s lives that contribute to their health. That could be healthy eating, food insecurity or economic stability. Do you have a job? Can you pay for your medications? Are you experiencing isolation or loneliness? It also encompasses access to healthcare for people who often don’t get it easily, whether they’re in rural communities or a ZIP code where services are not widely available.
What makes a startup stand out from the pack and inspires you to want to work with them?
I always look at companies with three things in mind: Is it a good idea? Can it be a good company? And: Can it be a good investment?
A good idea is … a good idea! It addresses a problem that, currently, is poorly solved, and does so in a way that’s different, and more effective, than all the other solutions that might be out there. A good company is one that has great leadership and is built to be long-lasting and sustainable. It has a sound business model and the ability to grow and scale.
And a good investment is one that, by doing those other things, can create a financial return or impact return — or both — in a way that is meaningful. Generally, those are the things we look for, but the relative weight we give to each depends on the specific fund.
What kind of mistakes do you see companies make in pitch meetings?
A very common mistake I see is this: Companies often don’t know how to tell their story. They can recite all the numbers and facts, but they don’t tell you the narrative of why you should care, or why it’s important and meaningful in the world. Essentially, they don’t answer a fundamental question: “So what?”
Repeatedly in meetings I find myself asking questions like, “So what happens?” or “What’s the outcome?” The person pitching spends all their time talking about their product, but they don’t talk about the market, the competition, the consumer or the impact of their solution.
How do you see the AgeTech space evolving over the next decade?
I think the word and even the concept of AgeTech is soon going to become anachronistic. What we’re really talking about is products and services that help people age well, and already there is almost no aspect of our lives that doesn’t involve technology. I think the focus will become healthy and happy aging, and however technology achieves that will be incidental.
I also think the space needs to evolve to help people live better while they’re living longer, because nobody wants to live a long but miserable life, right? So the question will become, how do we use science, technology and human interaction to optimize that lifespan in all its different facets?
What do you want to see more of from startups?
I would love to see more entrepreneurs — who are generally younger adults — actually talk to the older adults who are their users. Often these founders have great ideas, but they’ve never consulted with their users to gauge their solution’s usability and feasibility in their lives. Is this new product going to actually be useful for people? So we need to be more thoughtful about engaging with the population we serve to make sure we’re serving them in a meaningful way.
Is there anything else you’d like to share?
I think that as we serve people, we have to think about them as whole people and how all of the different areas of their lives that we engage — whether it’s their health, economic stability or something else — are connected. They’re not just an age group, or people with a certain condition. It’s important for all of us, including investors, to serve people in the context of their whole lives.
Want to learn more or connect with investors like American Heart Association Ventures? If you’re already in the AgeTech Collaborative, log in to explore the ATC Directory and start a conversation. If not, join us today and tap into the power of purpose-driven innovation in AgeTech.
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