General Category > General Questions
Can you make a profit by charging 4%?
PMRNC:
--- Quote ---There are five major medical billing companies in United States, most of those in business know who they are, they do about 80% of all business in medical billing. They ALL use cutting edge technology.
--- End quote ---
That's absolutely incorrect and what are we basing the word "MAJOR" on? What study would show only 5 "major" billing companies? This is absolutely FALSE since I happen to know a hundred times that amount so I would want to know what study this is from and how they conclude those 5 companies are "major" ?? Statistics are worth nothing.. Of course if this study took 10 companies to create that study..well then I could understand how they would come up with 5. But really that number is so incredibly low I would have to think they only accounted for 10 companies. We have a network of over 7500 billers of which more than 75% are billing companies, many of which are successful and servicing a nice market of providers.
supertaz93:
--- Quote ---When I make a statement, I give a link to a study, data, or factual basis for the statement.
--- End quote ---
--- Quote ---There are five major medical billing companies in United States, most of those in business know who they are, they do about 80% of all business in medical billing.
--- End quote ---
Please provide your link to this information.
Also, tallmanusa, you remind me of this person I know. That person will ask me a question, but when I reply with an answer that is not what he wanted to hear, he goes on the defensive. You came to this forum asking if you could make a profit while charging 4%. You already believe the answer is yes and nothing will change your mind even though facts (experience, business 101, whatever you want to call it) have been presented to you. When several people have given you advice about your inquiry, you became defensive. Just read back through this thread. Several members have given you great advice. You say you are new to the medical billing field yet you act like you know it all so I am not sure why you came to this forum. However, I believe you are quite the opposite....clueless. Examples of you being clueless include HIPAA, compliance, and what a medical biller does (read back through this thread and your obamacare thread)
So why did you really come to this forum?
tallmanusa:
http://www.moneyandbusiness.com/business/accounting-taxes/accounting/5-best-online-medical-billing-service-companies
All of the above businesses do very well, and use latest technology, that was the question.
This business is no different than many other businesses, in which a small percentage of vendors do most of the business. Nothing unusual. Surprise? They use technology to get where they are, something wrong there?
Where that figures came from? My discussions with HBMA. It has 600 members, usually those doing well.
Me, defensive? I beg your pardon.
I have learned a great deal from the discussion here and so have many other people.
In essence, this is a tough business, to be successful, and the definition may vary, you have to have cutting edge technology.
Quite obviously my definition of successful is different from many others; but there is nothing wrong in that.
If nothing else, nobody should have any illusion that somehow EHR would not be completely implemented ahead of the schedule.
PMRNC:
HBMA? Ahh... ok, I'm starting to see clearer now.
As for the link you posted .. this was first paragraph:
"Below you will find a list of the five best online medical billing companies. These companies share several common characteristics as they have years of experience, and they comply with all Health Insurance Portability and Accountability Act (HIPAA) regulations to assure that patient records are handled with privacy."
I expected to see HOW they got this information or at LEAST a hint of how they rated them.. but no. It's no more reliable than If I posted 5 companies and said they were the best.
I'm not going to continue to be argumentative.. time is money of which I'm wasting both. You came here with questions, but I don't know why since you have found "YOUR" answers. Good luck to you.
QueenAlicia:
Practice Mate/Office Ally is free because they get paid on the back in from the insurance companies.
--- Quote from: tallmanusa on November 20, 2012, 11:41:51 AM ---Thanks for the comments Richard, very helpful.
I agree with you that most billing companies have many things to worry about, HIPAA is not one of them, as long as you follow some basic rules do your best to comply with them.
My impression is that the platform you use is the key to this business, you survive or perish on the system you choose. This is an IT business more than ever, or at least it has become one now.
Office Ally/ Practice mate, I did not think that it was a good enough system that I would want to offer; but it is free.
Kareo/ Practice Fusion is good enough and will do for most practices, cost $299 per month for the top platform, but not good enough for large practices.
What if you have large practices:
There are two that I investigated, I am sure there are others.
Advanced MD
Health Fusion/ Meditouch, this works with ipads as well.
The above two are more expensive than Kareo.
If you charging only 5% your profit is constrained if you offer high end platforms.
I could not pay $30 per hour and be profitable. In addition the technology is so superb, why do I need such experienced biller? I plan to outsource the billing for a fraction of that cost.
I have to make a profit, otherwise I would not be doing this for long. You can charge more, which I would not, or you can skimp on the platform which is imprudent or you outsource, which I chose.
Outsourcing does not have to be offshore, it can be within the United States.
--- End quote ---
Navigation
[0] Message Index
[#] Next page
[*] Previous page
Go to full version