It won't happen overnight, but OneBridge has the leadership, opportunity and willpower to be one of Buffalo's major companies.
There is an ongoing shift in health insurance toward plans where employees have a high-level of discretion about the coverage they’re purchasing.
Buffalo-based OneBridge Benefits is at the forefront of that shift.
Founded in 2013, the health-tech company has spent the past several years transitioning into a full-service health insurance platform, with more than 380,000 participants and more than $4.3 billion in health accounts.
OneBridge’s nearly 100 employees work out of its headquarters in downtown Buffalo, taking up two stories of The Crosby Building on Franklin Street. The company is now growing revenue by approximately 25% each year.
“Today a lot of money that employers spend on health insurance, on behalf of their employees, just comes out of paychecks, and the employees don’t know what it’s paying for,” company cofounder and CEO Nicholas Knab said. “Our belief is that consumers can do more if given tax-free money, then meet with someone to choose the right plan.”
It’s a long journey from OneBridge’s start in 2013: a couple of former Meritain Health employees who saw an opportunity to build technology supporting health reimbursement and flexible spending accounts.
OneBridge raised $2 million in 2022, a round that was largely supported by its own employees and angel investors in the community such as Dan Magnuszewski, the CEO of Buffalo-based venture studio Radial Ventures and cofounder and former CTO of ACV Auctions.
The company has competitors that have turned to large venture capital investors, and certainly that option has been discussed, but Knab believes that more measured growth has enabled the company to invest in the customer experience. He attributes that decision to the company’s growth streak and the stickiness of its customers.
It might not happen all at once, but Knab believes that OneBridge will scale substantially in the years ahead. The company dedicates 1% of its revenue back to local charity every year.
“We look up to the businesses that have become really big companies, stayed in Buffalo and helped put it on the map,” Knab said. “We have a different approach, but we believe we can get there.”
