LGBTQ+ Mental Health Startup Allswell Secures $1.3M in Pre-Seed Funding to Address Care Gaps

Allswell, a virtual mental health provider focused on serving LGBTQ+ patients, has raised $1.3 million in pre-seed funding to expand its services and address the significant mental health care gaps faced by the LGBTQ+ community. The round was led by Amboy Street Ventures, with participation from Seae Ventures' Unseen Capital, Techstars, and others.

Expanding Access to Specialized Care

Founded in 2024, Allswell currently operates in Maryland, offering virtual, evidence-based therapy for LGBTQ+ individuals. The company plans to use the new funding to expand into more states, starting with the entire DMV region in early 2026. Allswell's services include one-on-one and group therapy sessions, primarily led by social workers and rooted in affirmative cognitive behavioral therapy.

"We really just saw a lack of options in particular for LGBTQ adults," said Dawn Androphy, co-founder and CEO of Allswell, in an exclusive interview. "What we noticed is that a lot of mental health programs aren't really thinking about LGBTQ, if they're targeting adults."

The startup's approach is tailored to address the unique challenges faced by the LGBTQ+ community, including higher rates of trauma, PTSD, and stressors like discrimination. Allswell offers specialized treatments such as cognitive processing therapy and eye movement desensitization and reprocessing (EMDR) for trauma patients.

Evidence-Based Care and Cultural Competence

Allswell's commitment to evidence-based care is particularly important for the LGBTQ+ population. The company adapts traditional therapy models to better suit the needs of marginalized groups, taking into account factors such as minority stress and the impact of stigma on mental health.

Mike Parent, clinical advisor to Allswell and principal researcher at Hopelab, emphasized the importance of evidence-based practices and cultural competence in treating LGBTQ+ patients. "There's a fine line where we work in affirming treatment to acknowledge those [factors], and then acknowledge what we can actually change," Parent explained.

To ensure high-quality care, Allswell screens therapists for experience in working with diverse LGBTQ+ populations and requires them to complete additional training modules designed by OutCare Health, a nonprofit offering LGBTQ+ healthcare resources.

Addressing a Significant Market Need

The funding comes at a crucial time, as the LGBTQ+ community faces significant mental health challenges. Studies indicate that up to 48% of LGBTQ+ individuals meet the diagnostic criteria for PTSD, compared to an estimated 8% prevalence among the general population.

Androphy highlighted the scale of the problem: "Over 30 million American adults identify as LGBTQ+, which some experts suggest is likely an undercount. There's a huge challenge where people really underestimate the size and need of this community."

Allswell's virtual platform is particularly well-suited to serve this population, as data from KFF shows that queer people are more likely than the general population to have had a telehealth visit in the past two years. The company is already seeing positive outcomes, with 83% of patients experiencing a reduction in depression symptoms over four to eight weeks.

As Allswell continues to grow, it aims to address the significant gaps in mental health care for the LGBTQ+ community, offering specialized, evidence-based treatment in an accessible virtual format.