How to control your physical therapy practice's cash flow
Are you stressed out over unpredictable cash flow of your physical therapy practice? Â Do cash flow fluctuations keep your practice from reaching its full potential? Lack of control over your billing performance can seriously threaten the growth of your practice. Needless to say, without growth your practice will struggle to survive.
To make matters worse, anxiety over physical therapy billing issues can rob a practice owner of confidence and peace of mind needed for building his dream practice. This in turn affects his relationship with patients negatively and further impedes practice growth.
Since the chances of ever getting your claims paid decrease with each passing day, the percentage of accounts receivable after 120 days can be used as a proxy of your billing performance. Obviously, it is impossible to predict when and how much the insurance will pay you. Hence, the key to taking control of your practice’s billing performance lies in knowing exactly which claims are underpaid or even unpaid. Rigorous follow up on the claims in trouble can help you reduce the percentage of your monthly AR past 120 days to ten percent or less.
Improving your practice’s cash flow is not all doom and gloom, though. A good first step consists of discovering your practice’s true cash flow and billing potential. What are your current physical therapy billing stats? Are you aware of any weaknesses in your practice’s billing process?
Next, you should take a look how your physical therapy practice compares to others in the industry. Those numbers may be hard to come by, but bestPT has done the legwork for you and can help you evaluate your stats against the national averages and then help you get above those. You will get the opportunity to compare your Key Performance Indicators (KPIs) to industry standards as well as bestPT performance stats. Â
Just how much could your practice grow with this improved physical therapy billing performance? Can the potential increase in collections pave the way for accomplishing your goal of building your physical therapy dream practice?
There is only one way to find out — request your Individual Practice Evaluation from bestPT. We will help you discover your practice’s cash flow and billing potential.