How a puppy inspired pet healthcare startup Tandem

IN TODAY’S ISSUE

One of the best things about writing this newsletter is speaking to people whose pets inspired them to create innovative new companies. Their affection shines through and is wonderful to see (we celebrated this on National Pet Day last month!).

This week, we’re bringing you an interview with pet healthcare startup Tandem. Read how a new puppy named Sammy, and frustration over the fragmented U.S. pet healthcare system, sparked a new approach to veterinary care.

TODAY’S SPONSOR: POP

When Prem Sharma adopted a little English Springer Spaniel named Sammy, he was just trying to make his daughter’s birthday wish come true. 

He didn’t expect Sammy to inspire his next startup. 

Telehealth. Diagnostics. Prescriptions. Follow-up care. Each aspect of Sammy’s care was delivered separately and through different channels, leaving Sharma frustrated and determined to change things.

“It felt like five companies were trying to do what one should, and that realisation was the seed for Tandem,” Edward Armstrong, Tandem’s Director of Growth and Strategy, told Luxury Pet Care News.

Sharma, a serial entrepreneur who sold his company DayToDay Health to Babylon Health in 2022, set out to bring all aspects of pet care under one umbrella.

Founded in 2022 in Cambridge, Massachusetts, Tandem’s mission is to build an integrated, seamless U.S. healthcare system for pets across telehealth, mobile clinics and in-clinic services. 

JOINED-UP THINKING

Since launching pilot services in autumn 2024, Tandem has partnered with over 100 residential complexes in the greater Boston area to create "Neighborhood Clinics," to bring vets directly to over 500 pet families.

“We're trying to go to market with a fully integrated, health system approach to veterinary care,” Armstrong said. 

“Think of it more as channels: what’s the most appropriate way to care for your pet? Whether it’s telehealth, our neighborhood clinics, or a 5,000-square-foot brick-and-mortar facility,” he said. 

Tandem also plans to launch a 5000 sq ft AI-powered health hub this summer. 

Tandem's proprietary platform, Laika, allows veterinarians to integrate AI into clinical practice. Laika streamlines scheduling, records, communications, and clinical workflows, which Tandem says saves vets up to two hours of admin every day.

HEALTHY INVESTOR APPETITE

Tandem’s integrated model has resonated with investors, thanks to its focus on solving real-world inefficiencies. 

In February 2025, Tandem raised US$10 million in pre-seed funding from undisclosed investors. The company says this will help scale their health hub and expand mobile and digital services in the coming year.

However, Armstrong noted that while investor interest in pet health remains strong, the bar for funding has risen considerably. 

“Investor appetite requires a stronger thesis now - not just growth, but fast profitability. There’s interest from both health-focused and innovation-focused investors.”

PRIVATE EQUITY IN VET CARE

Tandem’s pre-seed funding is indicative of private equity’s aggressive investment into the veterinary sector.

Private equity poured US$51.6 billion into the global veterinary sector from 2017 to 2023, and another US$9.3 billion in the first four months of 2024, according to investment intelligence firm Pitchbook.

In 2021, private equity firms controlled approximately 50% of the U.S. veterinary market, according to Brakke Consulting.

However, clouds may be on the horizon.

According to a Morgan Stanley/AlphaWise survey, vet practice revenue posted its first decline (down 0.5%) since the survey began in mid-2021. Over 75% of vets surveyed said pet owners were increasingly contesting veterinary fees. 

This means that when it comes to maintaining growth, Tandem is playing the long game.

“It’s about committing to real innovation, not just the buzzword, and not rushing just to hit revenue,” Armstrong said. “We want to launch something we truly believe in."

IN THE NEWS

🇬🇧 Prefera acquires British startup The Pack ● Premium pet food manufacturer Prefera has acquired UK startup The Pack for an undisclosed sum. The Pack has co-launched the UK’s first alternative proteins for pet food.

🇬🇧 Lakes Collection dog food range and the Lake District Mountain Rescue Search Dogs Association form partnership ● UK-based Lakes Collection dog food range has formed a 5-year partnership with the Lake District Mountain Rescue Search Dogs Association, a charity that deploys specialist search dog teams for missing people. 

🌎️ Global feed production rebounded in 2024 ● Global feed production rebounded in 2024 after a stagnant 2023, according to Alltech’s 2025 Agri-Food Outlook. The rebound underscored the resilience and adaptability of the international agriculture industry.

Luxury Pet Care News is a twice-weekly newsletter covering trends, growth opportunities and exclusive interviews in the luxury pet care industry. Subscribe for free.

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