Any dentist knows that small problems grow to larger ones, given time.
More than 41% of small business say they struggle to manage their finances. A new dental practice faces an uphill struggle to establish itself while dealing with the expert knowledge required for dental billing and coding. But there’s nothing to say you need to handle it all yourself.
If you’re running a new dental practice, then here are 7 reasons to outsource your billing to a dental billing company.
1. The Root of Your Business
The death of many a small business lies in plate spinning.
Small businesses face a huge range of administrative tasks that threaten to drown their core business. Dentists deal with privacy compliance, customer record administration, and, yes, dental billing and coding.
These all soak up hours you could spend on the patient care your staff trained for. Time lost from your core business often yields no true returns. It becomes lost revenue.
The more hours you bleed from your core business, the less successful you’re likely to be. The time that might be spent out-competing rival practices disappears into the ether instead.
Outsourcing your billing allows you to hand these concerns over to a third party, maximizing the effectiveness of your on-site staff. That leaves you positioned to make the most of your resources.
2. Pearly White Processing
Mistakes are costly enough in any field, but doubly so in finance.
For every error your team makes, they need to spend time fixing it. That can cause even a mundane task to double in size. Due to the complicated nature of insurance, fixing a mistake could take even longer than that.
Mistakes may also lead to later anomalies in a financial audit – not something most companies would choose to deal with.
Dental billing services know what they’re doing. Daily coding and billing is their bread and butter, so mistakes are unlikely to occur with frequency. Even when they do, the responsibility for those mistakes lies with your billing company, not with your own organization.
4. Practice Makes Perfect
When you invest in dental billing services, you’re not paying for the same thing you’d get in-house. You’re also receiving expertise.
It’s hard to overstate the value of expertise in finance. Insurance is a complicated beast, and laymen in the arena won’t just have knowledge gaps – they’ll struggle to even be aware of how much they’re unaware of.
With the expertise of a billing service also comes better control over your finances. They can make you aware of large-scale patterns, consistent issues, and offer general analytics feedback. That means your company can improve over time as it resolves common problems.
3. The Training Pain
If you forego working with a third party, then you’re bringing the cost of staff training to your door.
There’s nothing simple about dental billing and coding. If you want it done right (and want to skip those costly mistakes we already mentioned), then you need in-house experts. For that, you can expect to pay a hefty sum.
Financial training doesn’t come cheap. Along with the training itself, you may incur travel expenses along with losing the productivity your employee could be bringing to the business.
Even if you hire someone with the right qualifications, you’re paying extra for the training they’ve received elsewhere.
Training also takes time away from your core business. We already explored the dangers of that, but staff training is another of those insidious drains that can soon spiral out of control.
5. Retain Your Cash
Hiring a full-time member of staff places a burden on your company beyond their salary. To find someone with expertise, you’ll need to pay more. Then there are employee benefits to consider, plus the extra time devoted to the human resources element.
That’s leaving aside the time and money you’ll need to pour into recruiting to begin with. Even attracting and interviewing suitable candidates can be a costly endeavor.
Off-site billing companies don’t place this administrative and financial strain on your company. They can leave your resources free to employ only the staff you need to carry out your core business.
6. Brace Yourself
When dental practices handle their own billing, it’s often in an ad-hoc way. Managers hand the task to the employee most comfortable or qualified to deal with it, and it becomes their “baby”.
But what happens when that member of staff takes a vacation or leaves the company? Your business could struggle to find someone capable of picking up the burden. Even if they do, a lack of handover could damage your continuity of service.
Dental billing companies exist outside of your company structure. They’re unaffected by employee turnover or vacation time, ensuring consistent handling of your billing.
7. A Bite Out of Uncertainty
Businesses don’t do well with financial uncertainty. In a worst-case scenario, it can even lead to failed staff payments and the collapse of the business.
To combat this, the financial side of a company needs to run like clockwork. Every claim should be a matter of utmost priority, handled in as short a turnaround time as possible.
That’s even more vital in dentistry, where insurance companies may be slow to respond.
Trying to handle your billing in-house can lead to the opposite of efficiency. Your staff may have to work around their other duties as they bill clients, resulting in patchy financial processing. Over time, that can add up to unpleasant surprises.
A billing company understands that finances are the blood vessels of a business and the compensation they receive keeps them focused on providing their services to your business. In turn, that secures your cash flow.
A Bright Future with a Dental Billing Company
It’s clear that a dental billing company can offer some major advantages to a dental practice. By transferring the burden of billing to an expert third party, you can reduce the risk of overwhelming your business with minutiae. That leaves you clear to focus on a bright future.
Purchased new dental practice in NY? Looking for a free, in-person consultation? Contact us today for a free, no hassle, dental insurance billing analysis.