Factoring Medical Receivables

In many situations, factoring is more appropriate than bank financing, because factoring:

• Is based on the accounts receivable. A practice's ability to access its cash.
• The factor typically takes over collections for the sold billings!
• Provides continuing cash flow without the requirement of periodic re-payment payoffs.
  New billings continuously create new power to obtain cash.
• Gives a practice increased access to cash as receivables increase.
• Offers a dependable, continuing source of cash without the necessity of making more applications.
• Keeps your practice YOURS. The factor only owns future payments, not your office or personal assets!
• Saves the practice owner precious time. The doctor has more time to do what he does best - provide medical care.

What are the benefits of Factoring?

• Factoring allows cash to come in when you submit claims to insurance companies.
• Factoring controls cash flow, eliminating erratic payment delays.
• Factoring relies on the strength of your practice's commercial payers.
• Factoring is accessible even to moderately sized practices.
• Factoring gets fast results.
• Factoring is NOT a loan.
• Factoring is flexible - you decide which insurance claims to sell, and when.

FACTORING:

• Stimulates cash flow by turning your receivables into cash.
• Relies on the strength of a practice's patients.
• Is not a loan and improves your bankability.
• Gets quick results.
• Lets practices fully utilize their paper assets.
• Is flexible, with many types of agreements.

With your cash flow resolved, your practice has the working capital to: