Medical Billing Forum

Starting a Medical Billing Business => Starting Your Own Medical Billing Business => Topic started by: ASAP on May 01, 2015, 05:13:25 PM

Title: Financial Assumptions for Business Plan
Post by: ASAP on May 01, 2015, 05:13:25 PM
We are in the process of starting up a billing service in the state of NJ.  One of the requirements for the Third Party Billing certification is a business plan.  We have one but have not been able to build the financial plan because we don't know what assumptions to make.  I am hoping that from the pool of experienced billers in this forum we can get an average # of claims per month (we know it differs by type of practice so please indicate what type of practice the average is for) and what you find is the average per claim amount.  Our initial target market are dentists (most of our friends are dentists) but we also plan to expand to as many types of providers we can get as clients.  Any other financial assumptions you can share will also be extremely appreciated.
Title: Re: Financial Assumptions for Business Plan
Post by: williamportor on June 04, 2015, 05:50:12 PM
Your financial assumptions for your business will depend greatly on the scope of your marketing efforts. If you plan to rely only on your relationships with your dentist friends, I'd be very conservative in your financial assumptions, on the other hand, if you have a marketing program that is consistent, and  makes use of several marketing tools, you can assume a greater income. An idea that's worked out for me is:

1. Assume a very modest income for the 1st year or 2

2. Track your marketing efforts and results, keep a close accounting of them

3. Adjust the projected income figures in your business plan every 3-6 months as you get updated information from your marketing efforts.

Sorry I can't pin it down more than that, but I'm not sure what you're doing to market your business, other than your relationships with your dentist friends. However....If you plan to work for different types of providers, I would suggest at least 2-3 different types of marketing activities.
Title: Re: Financial Assumptions for Business Plan
Post by: ASAP on July 08, 2015, 06:01:03 PM
First, apologies for not acknowledging your response right away; we had challenges logging in to the forum. 

Thank you for sharing your information