Learn 9 actionable tactics your dental practice should implement to decrease accounts receivable and boost practice profitability.
Carrying an accounts receivable balance is a common practice for dentists, but it can easily get out of control. If your practice is looking to increase collection rate, accelerate cash flow, and actually improve the patient payment experience, this article is for you.
Before we dive into the specific tips, let's review what we here at Pearly like to call the Three Pillars for Collections Excellence - systems, staff, and training.
The foundation for practice collections success starts with your systems. You need to leverage modern tools, automation, and have a documented billing policy. Next, you need the right people on your staff (I'll assume you have rockstars!) and, importantly, ensure team members are properly trained on your collections process.
Below are 9 actionable tips to improve your dental practice's systems and training in order to collect more patient payments, faster:
According to the Federal Reserve, the number of checks written per household fell nearly 175% over the past 15 years while payment via cards, direct deposit and other services more than tripled. Consumers now expect convenient payment options that does not involve a trip to the post office.
Is your dental practice one of the few remaining businesses that accepts checks as the primary form of payment? If so, you need to change your systems. In addition to inconveniencing your patients, accepting checks require labor costs to print, mail, and deposit check payments.
Accepting credit cards in your office and via online bill pay has been a "must have" for the past decade for any dental office. However, new payment technologies such as Pay-By-Text and digital wallets are now becoming the norm.
By allowing patients to complete payment on their mobile device with a variety of payment methods including credit card, debit card, ACH, Apple Pay, Google Pay, and more, you reduce friction between patients and making a payment to your practice.
If your patients cannot pay their bill in a matter of seconds, from any device, it's time to take action.
As an office manager or dentist, it's your job to engage your patients on their preferred channels. Your practice is likely already doing this for marketing and appointment reminders.
Billing, however, is an often overlooked area when it comes to connecting with patients on the channels they prefer - text message and email.