As the manager of medical practice, you are aware that billing insurance is a critical part of the job. However, it can be quite time-consuming to submit and follow up on claims and while most offices have an administrator on staff that can monitor this process, it’s still difficult. When it comes to healthcare financing, instead of hiring more staff, consider medical factoring as a solution.
What is Medical Factoring?
Whether you have staff in the office that works on insurance claims, or you use a billing service to manage claims. Ultimately, you don’t get paid until the insurance company sends the check. You may not see the payment for weeks or even months after seeing the patient. Which is an issue that most medical practitioners struggle with to achieve steady revenue.
Medical factoring can solve this problem by advancing you a percentage of the value of the claim upfront and paying out the remainder once the insurance company has sent the check. Of course, you will pay a small fee for this convenience.
How Does Medical Factoring Affect Growth & Productivity?
While it’s true that every business prefers to be paid promptly. It is not fully understood how medical factoring can affect the growth and productivity of your practice. One of the major benefits is to the staff. When you transfer this burden to a company that is skilled at navigating the world of insurance, your staff is not as stressed and can focus on running the office. Factors like communications and patient relationships can be addressed and improved. Which helps to keep your existing patients, as well as attract new ones.
In addition, medical factoring provides you with immediate revenue. That revenue can then be used as leverage to make improvements and/or advancements. Often, these things are delayed or forgotten because of unstable finances. However, if you can prove that you have a steady, stable income, you can get your hands on loans or credit lines that you previously were not able to.
Conclusion
Many times, medical practices find themselves stuck and discouraged due to unattained potential. However, medical factoring is an option that can help you achieve your goals. Contact Sterling Capital Consulting today to find out exactly how medical factoring can help your practice. This may be the best decision you ever make.