Failed 2019

    uBiome

    Billing insurance for medically unnecessary microbiome tests is healthcare fraud. FBI raided the offices.

    Founded → Closed

    2012 → 2019

    Funding Raised

    $105M

    Industry

    Healthcare/Biotech

    Country

    USA

    IdeaProof AI Failure Score

    82/100
    Market Fit RiskBurn Rate RiskFounder Risk
    Market Fit Risk
    45
    Burn Rate Risk
    65
    Founder Risk
    95

    Full Analysis

    uBiome offered at-home microbiome testing kits. The company's revenue growth was fueled by aggressively billing health insurance companies for clinical-grade tests that were often medically unnecessary. The FBI raided uBiome's offices in April 2019, and both co-founders were indicted for health insurance fraud. The company filed for bankruptcy later that year.

    Could This Failure Have Been Prevented?

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