Quill Bills

Quill Bills develops AI-native revenue cycle management (RCM) and practice management software aimed at independent medical practices and the billing staff who support them. The product covers the full billing pipeline from visit to payment: ingesting paperwork and encounter data (face sheets, insurance cards, superbills, progress notes, schedules) by drag-and-drop or scheduled EHR sync; extracting structured encounters, demographics and insurance plans; assigning CPT and ICD-10 codes from superbills and notes with payer-specific code conversion rules; verifying eligibility via real-time 270/271 checks, payer portals, or an AI phone agent fallback; submitting 837P claims individually or in bulk; and posting and reconciling remittances.

Core modules include claim scrubbing (coding checks, payer rules, prior-authorization flags, COB balance validation, and a payer history scrub against recent denial patterns, with hard errors blocking submission), automated payment posting via a rules engine expressed in plain-English rules with AI-suggested rules and EOB PDF extraction, and a denial workbench that separates rejections from denials, translates CARC/RARC codes into plain language, groups work by remediation path (resubmit, appeal, rebill COB, transfer to patient, write off), supports bulk actions, generates appeal letters, and runs 276/277 status checks. Coordination of benefits is handled across primary, secondary and tertiary lanes with prior-payer adjudication attached, balance validation, crossover detection and balance transfers. Patient billing is automated through SMS-first statements with email and paper fallback, hosted payment pages, self-serve payment plans, a patient portal and two-way messaging. Reporting covers AR and aging, denial analytics, payer performance and a deposit journal, drillable to individual claims off a reversal-aware ledger, with Excel export.

According to the company's Y Combinator profile, Quill Bills also operates as a medical billing company that works directly with providers to lower billing costs and recover denied claims, selling its platform to private-practice physicians and medical MSOs.

Founding story

Quill Bills was founded in 2023 by Gabriel Banks and Kartik Donepudi and joined Y Combinator's Summer 2023 batch; Donepudi's profile lists prior work on Quill AI and studies in computer science and economics at MIT, and the founders previously launched Quill AI equity research products through YC. The company's funding announcement frames the founding rationale around structural failures in medical billing: practices navigating thousands of payer-specific rules with small teams and fragmented tools, with the average practice losing 10 to 15 percent of earned revenue to preventable billing failures such as unworked denials, underpayments and missed filing deadlines.

Business model

Quill Bills sells software and billing services to healthcare providers. Its Y Combinator materials describe selling the platform to private-practice doctors and medical MSOs, and offering white-glove billing as a service; a limited launch offer priced this at a flat 1.8% fee of revenue with no onboarding fee, positioned against billing agencies that the company says charge 2% to 10% of total revenue. Patient payments are processed through Stripe with the clinic as merchant of record.

Percentage-of-revenue fees for billing services (a flat 1.8% fee was offered to early launch customers) alongside its RCM and practice management software sold to practices and MSOs.

Traction

The company's 2023 Y Combinator launch post states it was already deployed with US clinics and hospitals processing millions of dollars in annual claim revenue, with a team of human billers performing manual checks. A customer quote on the company website reports going from 40+ hours per week on billing to almost zero. The website displays placeholder values for clean claim rate, average days in A/R, visit-to-submission time and net collection rate. Quill Bills has been featured in a Stedi spotlight.

Latest developments

In March 2026 Quill Bills announced $3.2M in funding led by Moxxie Ventures, earmarked for a comprehensive payer rule engine, expanded autonomous coverage of denial management, prior authorization and patient collections, and additional EHR and practice management integrations. The company is recruiting a founding software engineer and a founding business development hire in San Francisco, and is featured in a Stedi spotlight.