Ex-McKinsey Consultant Builds AI Healthtech Startup

Julius Bruch, a former consultant at McKinsey, left the firm after seven and a half years to co-found Isaac Health, an AI healthtech startup. Bruch, who holds a Ph.D. in dementia research, utilized his background in medicine and healthcare systems to build the company. He credits his consulting experience with providing essential training in problem-solving and networking, which proved vital for fundraising and client acquisition. However, Bruch noted he had to unlearn the corporate pursuit of perfection to succeed in the fast-paced startup environment. In August, Isaac Health raised $10.5 million in Series A funding, bringing its total capital to $16.3 million. Bruch emphasizes that startup life requires flexibility, creativity, and the ability to set boundaries, contrasting the structured nature of corporate consulting with the scrappy pragmatism needed to build a business from scratch.

Julius Bruch, 39, began his career with training in general medicine and neurology. His interest in the field was personal; his grandmother suffered from an atypical form of dementia. This passion led him to complete a Ph.D. in dementia, where he focused on molecular aspects and drug discovery.

Transitioning from the research world, Bruch joined McKinsey to gain a broader understanding of the healthcare system. "I was interested in how the healthcare system works more broadly and how the different parts fit together," he explained. During his tenure, he worked extensively with payers, health systems, and state governments. His projects focused on critical areas such as value-based care, chronic condition management, and digital health.

After seven and a half years, Bruch decided to leave the consulting giant in 2021. He felt he had learned enough about the industry and was ready to transition from analysis to action. "It became a decision between becoming a career consultant or seeing myself as someone who wanted to build something innovative," Bruch stated.

Bruch views his time at McKinsey as the "best possible preparation" for becoming a founder. The experience provided him with a deep understanding of healthcare mechanics and how to structure complex problems. Additionally, the relationships he built—both internally and with clients—became a key driver for his business. He noted that the strong alumni network provided initial contact points for fundraising and problem-solving with payers.

Despite these advantages, Bruch had to unlearn specific behaviors to thrive in a startup environment. The primary adjustment was abandoning the pursuit of perfection. "A startup needs to be able to move fast with scrappy pragmatism," he said. He also had to stop the consulting habit of always giving in to clients. As a founder, he learned quickly that setting boundaries is essential.

The transition also involved losing the safety net of corporate structure. Initially, Bruch questioned his decision, wondering if he was "just playing around." He gave himself a three-month trial period. "After those three months, there was enough traction to make it work and continue moving forward," he recalled. While he initially struggled with the lack of structure, he has since learned to enjoy the autonomy.

Running a startup presents unique hurdles, particularly regarding scaling. Bruch noted that Isaac Health includes a service component, meaning people are involved in every step of growth. This introduces difficulties in hiring the right talent and constantly adapting processes. "The way things work for a team of four people doesn't work for a team of 60 or 70," he explained.

Flexibility is another requirement for startup employees. Bruch advises that new hires cannot simply work within a defined scope; they must be willing to wear multiple hats. "You really have to create everything from scratch, like workflows," he said. This environment demands high levels of creativity and problem-solving, rather than waiting for on-the-job training.

Bruch also offered advice on maintaining a competitive edge. He suggests founders "go with the science" and find co-founders deeply rooted in the subject matter. He warns against building startups on standard, replaceable models without a major moat. "It's important to make sure you are cutting-edge," he advised.

In August, the company successfully raised $10.5 million in Series A funding. This injection of capital brought the company's total funding to $16.3 million. While the financial milestone was significant, Bruch described the emotional reality of startup success.

He noted that every achievement feels like a "massive reward" because it is hard-won. "Every client you get, every revenue milestone, and any external recognition is hard-fought for," he said. Regarding the recent funding round, the celebration was brief. "It feels great for a day—you realize that more investment also means higher expectations and that the goal posts have moved," Bruch concluded.