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13 Mar 2025

Motivity Secures $27M to Advance AI-Driven ABA Therapy Solutions

Motivity, a leading provider of clinical SaaS solutions for Applied Behavior Analysis (ABA) providers serving children with autism, has secured a $27 million investment from Five Elms Capital, a prominent software investment firm. The funding will drive product innovation, team expansion, and enhanced support services for ABA providers worldwide.

Currently serving over 550 organizations across seven countries, Motivity has established itself as a key player in delivering high-quality, data-driven care for children with autism. The partnership with Five Elms Capital represents a strategic milestone in the company's growth trajectory, chosen specifically for the investment firm's proven track record in scaling founder-led software companies while maintaining product integrity and customer service standards.

Five Elms Capital brings substantial operational expertise to the partnership, with 38 active portfolio companies and a team of over 75 professionals. The collaboration will focus on accelerating Motivity's technological advancements, expanding customer support capabilities, and enhancing the platform's ability to serve ABA organizations of all sizes.

As part of this growth phase, Motivity is implementing leadership changes designed to drive future expansion. Founder Rex Jakobovits, PhD, will transition to the role of Chief of Strategy and Innovation, where he will guide the company's long-term vision and technological direction. Smith Anderson, previously an Operator with Five Elms Capital, will join as CEO, bringing extensive experience in scaling technology companies.

The company has emphasized that its existing team will remain intact to ensure operational continuity while expanding research and development efforts. Motivity will focus on enhancing AI-driven insights, developing advanced clinical decision-support tools, strengthening caregiver engagement solutions, and expanding enterprise capabilities for larger ABA organizations.

"This investment isn't just about scaling; it's about pushing the boundaries of what's possible in ABA technology," said Rex Jakobovits, Founder of Motivity. "Our focus remains the same: delivering intuitive, intelligent solutions that help providers focus on what matters most – improving the lives of children with autism and their families. We couldn't have gotten here without SBIR funding from the National Institute of Mental Health and the support of its business development programs, including the NIH Entrepreneur in Residence consultation and the NIH Company Showcase Program. With Five Elms' partnership, we can accelerate our capacity to innovate and expand our impact."

Since its founding in 2012, Motivity has established itself as a pioneer in empowering ABA clinicians with technology that enhances clinical effectiveness and improves patient outcomes. The company has previously secured $11 million in Small Business Innovative Research (SBIR) grants, which have been instrumental in developing its next-generation solutions, including AI-driven workflows, analytics for clinical decision support, and caregiver engagement tools.

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