4 Benefits Of Medical Factoring Funding For Your Small Practice
Operating a medical practice is a rewarding experience, but it would be unfair to also highlight the fact that it can sometimes be stressful. Keeping cash flowing is a task that is sometimes out of your hands. When dealing with large billers like insurance companies, processing and other regulatory requirements can slow the rate at which you receive your payments, possibly sending you into the red zone. Medical factoring funding can help.
Stay Current with Obligations
Just because cash flow is limited, this does not absolve you of your responsibility to provide patients with the materials and equipment they need for superior healthcare, to properly compensate your employees and to meet other obligations. Rather than fall behind on these responsibilities, this type of funding affords you the opportunity to stay on track and not fall behind.
Flexible Funding Amounts
This form of funding also offers greater flexibility when compared to other sources of funding. What level of funding you are able to retain has everything to do with the average volume of claims you make to insurance companies. So, if your volume rate has increased substantially over the last few months, the amount of funding you can receive will generally also increase. This flexibility helps ensure the funding you are granted is sufficient for your needs.
Compared to other funding options, factoring funding is also a relatively shorter process. Rather than going through a lengthy account set-up process, then another period of waiting for approval, you can set up your account and get your funds in your business account faster since account evaluations are typically largely based on your insurance claim history, which is easier to review. When you have pressing obligations and have fallen behind, this faster funding is especially beneficial.
Welcoming of Small Businesses
When you are a new practice, you can sometimes feel as though you are alone. Some of the more traditional funding options for businesses will turn you away because you don't have the capital or history that larger businesses have. This is not the case with medical factoring funding. Since this type of funding is heavily dependent on your claim history, the size of your business is not a leading factor. So, if you have a small practice, you can be confident that you will have just as much of an opportunity as a larger practice.
No matter the size of your practice, or the volume of your claims, factoring funding can provide you with the assistance you need to keep providing your patients with quality care.