Your New Plan for Medical Practice Financial Success
Is your medical practice performing poorly? Have you seen a decline in revenue recently? It might be time to develop a new plan for your medical practice. You can achieve better medical practice financial success by making a few changes around the office.
We understand your medical practice issues are unique to your situation, but there are some common problem areas many medical offices face. Let’s identify the problems at your medical practice and see if these four strategies will help improve your medical practice financial success.
Start by Reducing Unnecessary Expenses
Without checking, it’s easy to believe your medical practice has no unnecessary expenses. Afterall, you trust your medical staff to only purchase what’s necessary. Despite the competency of your staff, it’s easy for practices to overspend and prevent medical practice financial success.
One unnecessary expense, albeit a fun one, is office parties. While they are a great way to boost office morale, your staff would probably prefer annual income increases and job security. Instead of your medical practice paying for all party expenses, make your next office party a potluck where employees can bring in their signature dishes.
Other unnecessary expenses can include office snacks and coffee. These items are great office treats, but they’re not necessary to daily operations. Although the coffee addict in your office may disagree.
Part Ways with Unprofitable Patients
This may seem like a heartless suggestion, but a medical practice is still a business. You can only stay open if you remain profitable. Some patients just aren’t profitable.
There are multiple ways a patient can become unprofitable. They could repeatedly miss appointments, cancel at the last minute, or no-show. Those appointment times could have gone to other patients who would have shown up. A patient who consistently bails on appointments costs you money.
If a patient continues to miss payments or has a past due balance, they aren’t earning you revenue. While you may make exceptions for patients you have had for years who are experiencing temporary financial hardship, making this a practice habit will cost you and prevent your medical practice financial success.
Make Friends with a Specialist
Finding a specialist you can partner with is a fantastic way to build medical practice financial success. Specialists bring new patients with them.
If you run a solo practice, you can partner with physicians to form a specialty group or a multi-physician group practice.
These new partners can breathe fresh air into your practice and may have some great ideas for how to boost business.
Investigate the Cause
If your medical practice was financially successfully, and suddenly took a downturn, chances are there’s a glaring reason for it.
Before beginning to make changes, it’s important to identify the root of the problem or you could be solving the wrong problems. To identify your issue, conduct a full audit of your business and make a list of problems you discover. Explore these problems and determine the main cause of your revenue issues.
If bandwidth is a cause of your loss in revenue, consider tools and services like medical billing services or an EHR. Parasol Medical Billing can help. Contact us today to learn more about our medical practice management solutions.