Few industries have seen as much change in recent years as healthcare. From regulartory adjustments to billing and technology, the U.S. healthcare market is moving quickly. As our population of citizens over the age of 65 continues to increase, so does the rise in healthcare needs. Now a $3.2 trillion dollar industry, healthcare is expected to grow at an annual rate of about 6 percent from 2017-2020.
Many financial institutions (FIs) are uncomfortable with the unique aspects of the healthcare industry, including reimbursement rates and longer payment cycles. These issues can cause real problems with accessing the working capital healthcare providers need. This is a particularly critical issue in light of the increasing demand for healthcare services.
In December of 2016, HealthcareFinance.com stated that cash flow and reimbursement were the biggest challenges facing healthcare providers during 2017. According to this source, "Almost 70% cited cash flow and reimbursement as their top concerns, with similar numbesr saying waiting for payment is painful."
The good news? ProfitStars not only provides sound financing options for healthcare, but understands the nuances of the industry, its regulations, and its logistics. With state-of-the-art reimbursement rate analysis, we are able to effectively manage the risk of advancing against medical receivables.
Now healthcare providers can bridge the gap between the services they provide today and the reimbursements that won't come for weeks or months. Healthcare Lending from ProfitStars enables providers to get cash for billed-but-unpaid insurance claims and positions your insitution to offer healthcare providers:
- Improved cash flow.
- Financing options.
- Time-saving payment discounts.
- Superior tracking and reporting of receivables.
ProfitStars' Healthcare financing program is ideal for:
Clinic and Groups
Home Healthcare/IV Infusion
Medical Equipment Suppliers
Ambulance and Medical Transport
Orthotics and Prosthetics
What It Does
- Provides financing to the healthcare market, leveraging insurance and patient receivables.
- Studies historical payer trends unique to the provider as well as continuously tracks claim performance and reimbursement rates.
- Allows physicians, hospitals, clinics, surgical centers, and more to gain greater cash flow.
- Reduces protected health information reaching the FI through the interface, making it easier to comply with HIPAA
- Built on ProfitStars' Commercial Lending Management System, which allows FIs to track the funding relationship through an electronic borrowing base and supporting reports.
- Increases fee income by opening new market opportunities.
- Generates core deposits.
What It Does For Me
- Enables FIs to work more effectively and profitably within the healthcare market and tap into the latest high-growth opportunities.
- Helps identify new relationships and develop new business, and provides FIs with a competitive advantage.
- Assists FIs in marketing and selling the program to existing and prospective customers with the help of a dedicated ProfitStars Business Development Manager knowledgeable about the healthcare market, in addition to a suite of Marketing Services.
- Provides pricing support to the FI to determine an appropriate target yield based on program costs.
- Offers the FI the potential to cross-sell other meaningful products like cash management, investment, and lockbox services after establishing the initial lending relationship.