Catalyst by Wellstar Launches 2nd Atlanta-Based Startup, This Time Targeting the $39B Healthcare Compliance Burden

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$39 billion a year.

That’s how much healthcare systems spend on compliance alone.

But the reality is that healthcare compliance is a fragmented, manual process that bogs down administrators while leaving frontline workers in the dark about critical policy changes.

Now, a new Atlanta-based startup aims to transform that burden into an intelligent, automated system.

Polysight, launched in December by Catalyst by Wellstar's venture studio, is building an AI-native compliance intelligence platform designed to help health systems navigate the increasingly complex web of healthcare regulations. The company announced its formation alongside an active pilot at Wellstar Health System, one of the Southeast's largest healthcare networks, alongside a $1 million investment into the startup.

The Compliance Bottleneck"The regulatory and compliance aspects of healthcare go hand-in-hand with clinical practice," said Rinku Patel, PharmD, CEO and co-founder of Polysight.

Polysight's platform is designed around three core principles: trust, transparency, and traceability. The problem Polysight addresses is twofold. First, compliance teams face an overwhelming administrative burden, manually reviewing hundreds of pages of regulatory updates from multiple agencies. A single update can span over 100 pages of dense policy language.

"That process was just clunky, oftentimes took too long and made the frontline clinicians or nurses or doctors more reactive to changes and policies,” said Jaimie Clark, Head of Innovation and Venture Strategy at Catalyst by Wellstar.

The second issue compounds the first. Even after compliance teams parse these regulations, distributing actionable information to doctors, nurses, and other frontline workers remains difficult. This creates a dangerous gap between policy updates and practice changes.

Polysight's platform monitors regulatory updates, helping teams anticipate evolving requirements. AI-assisted tools then analyze the relevance and impact of changes, while automated recommendations streamline the process of updating policies and workflows.

Unlike general-purpose AI tools like ChatGPT, Polysight relies exclusively on validated, official regulatory sources. Users can access information through plain-language queries rather than navigating complex databases, something that Patel said will “empower” more healthcare professionals.

"Every summary, every user interaction, is cited to the source of that knowledge, so it gives real confidence to a compliance officer or even a mid-level manager or a frontline worker,” she added.

From Problem to Product

Polysight emerged directly from challenges Catalyst by Wellstar identified within its own health system, according to Clark. When they couldn't find an existing solution, they began building one, eventually bringing Patel on board to lead the venture.

Patel brings deep industry experience to the role. A pharmacist by training, she previously founded KloudScript, an enterprise software platform for specialty pharmacy. Throughout her medical and technical careers, regulatory compliance remained a persistent challenge.

"Every step of the way, we had the compliance team members at Wellstar validating our approach to building this platform," Patel says. "It provides for that product market fit right from the start."

The Wellstar pilot provides real-world testing across an 11-hospital system serving Georgia, South Carolina, and Alabama.

"Polysight offers a promising new approach to managing the complexity of healthcare compliance by giving teams real-time intelligence and actionable insight," says Beth Kost, SVP and Chief Compliance Officer at Wellstar Health System.

While launching with health systems, Polysight sees the potential to help any multi-site, multi-state healthcare organization that must navigate both federal and state-level regulations.As the second company launched from Catalyst by Wellstar's venture studio. The first, the workforce scheduling AI vflok, was highlighted by Hypepotamus late last year.-Featured Photo by Hush Naidoo Jade Photography on Unsplash