Relieving You and Your Business from Financial Stress
Dental practices are often plagued with a significant cash flow problem due to slow insurance claim redemptions and inadequate payment arrangements for patients. Late-paying or slow-paying customers create cash shortages, leaving your business without the cash necessary to cover its own cash outflow obligations. If your dental practice’s accounts receivable balance is higher than the total amount of one average month’s patient receipts, then you have a sizeable cash flow issue. A sluggish or stagnant cash flow can put your dental practice at extreme risk, leaving you vulnerable to a lack of funds for emergencies, capital expenses or technology upgrades. Just one tipping point can wipe out any remaining cash balance or cause you to pay your own invoices late accruing interest fees. You may even find yourself dipping into personal funds to pay invoices or staff salaries. Southwest Management Group can put an end to your risky financial situation by reducing overhead and creating a positive cash flow for your dental practice.
Our Proven Collection Protocols Increase Your Working Capital
Your accounts receivable balance represents an investment in your dental practice. In other words, the money that is tied up in your accounts receivable balance is not available for paying your practice’s bills, paying back loans you have outstanding, or expanding your business. You do not receive a payoff from your investment in accounts receivable until your patients completely pay their bills. The concept of accounts receivable as a business investment is an important idea to understand if you wish to consider the complete impact of accounts receivable on your cash flow. Money that is tied up in accounts receivable can be better spent on marketing, creating jobs, or rewards. Improving cash flow so that you have cash to spend on your business is crucial to the health of your dental practice.
We have the collections process down to a systematic, scheduled and scripted procedure in order to help you join the ranks of our most successful clients with dental practices that are successfully operating at less than a 10 percent accounts receivable balance at the 90 day marker. Southwest Management Group will help you solve your cash flow problems, and expedite your collections.
Training Your Staff How to Maintain a Positive Cash Flow
We have a proven system for collecting past due amounts from patients in a professional manner, and will train your office team on how to have a financial conversation with patients to ensure a higher percentage of payment upon completion of service. In addition, we will demonstrate to you and your staff the most effective methods to get a rapid turnaround on payment for insurance claims. By using our successful proven collection process, your dental practice will increase its solvency giving you the assurance you need in case of emergencies, last-minute repairs and additional options for growing your business. We will give your staff members the skills, techniques and confidence to create a positive cash flow that will strengthen your business while still delivering professional courteous service.
If you would like to learn how to improve your cash flow, contact Southwest Management Group.