Across the country, two-thirds of physicians work in practices that are set up as a small business. Payment reduces 18% over four years, together with soaring malpractice premiums as well as other overhead costs, have threatened to put such practices away from businesses. More than 50% of doctors have deferred plans to purchase much-needed new equipment, and also 30% either have lain off employees or are planning layoffs in the near future.
What is medical receivable funding?
Medical receivable funding is a means by which health care providers (Hospitals, Medical doctors, Outpatient Facilities, Physical Therapists, Dialysis Facilities, MRI Facilities, Durable Equipment Suppliers, Rehab Centers, Medical Labs, & Substance Abuse Clinics) receive immediate cash for their billings to third party payors (i.e. business insurance companies, HMOs, Azure Cross/Blue Shield, Medicare and also Medicaid).
As opposed to bank lines that can tie way up all of your property, factoring involves only your current third party medical promises • No collateral apart from accounts receivables
• No financial guarantees • Unlimited amount of dollars
Factoring provides working capital without adding debt to your balance sheet. There is no predetermined maximum limit. This Healthcare funding arrangement is just not limited in amount as much bank products are nor is it subject to bank “regulations.”
Research of physicians has identified these immediate needs:
The creation regarding solid dependable income
Decrease in the particular reimbursement interval between the time services is provided and payment is received
Increase in the overall percentage of claims collected
Reduction in administrative costs
Ready availability of cash for new equipment, expansion regarding office space, the addition of new companions, and practice marketing and advertising.
This “wish list” could be complete if access to this working capital could be produced debt-free. The physician practice would certainly then have the financial freedom to focus on business growth and affected person satisfaction, instead of focusing on how to meet the next payroll or malpractice premium payment. Is such a solution achievable? Fortunately, the answer is YES!