Nancy Anderson Cash Flow Consultant

Medical Receivables Factoring! If your medical business is waiting 60-120 days for payment from Medicare, Medicaid, HMOs, or insurance companies, medical factoring (selling your medical business receivables) can be the solution to your healthcare financing needs.

1st Trust Factoring represents several medical factoring companies and will find the optimum funds provider for the size and needs of your medical business.

The current financial structure of the healthcare service industry has placed hospitals, private practitioners, medical supply companies, and other healthcare providers in a difficult financial position. Third party billing systems with long time-to-collection waiting periods result in inconsistent cash flows and limited growth capital for the medical industry.

Medical factoring (selling your business receivables) is NOT a loan. It is a much simpler, shorter, and financially beneficial process.

Medical Factoring Benefits:

• Evaluation of financial strength is for your medical third party payors , not your own healthcare company.
• Medical receivables factoring provides working capital without adding debt to your balance sheet or giving up equity in your medical company.
• There is no predetermined maximum limit of funds which can be factored.
• No collateral is required other than the accounts receivables themselves.
• There are decreased reimbursement intervals between the time medical service is provided and payment is received.
• Medical businesses can take advantage of early payment discounts and volume discounts.
• Invoice factoring is quick to set up - usually around 10 days to set up an account for initial funding and subsequent fundings happen approximately within 1-7 days of submitting the invoices.
• Medical business factoring is very accessible.
• Medical receivables factoring can improve your balance sheet overall.
• Medical factoring gives healthcare businesses access to a virtually "unlimited" amount of cash.

Who Qualifies?

• Hospitals
• Healthcare practices
• Medical Testing centers
• MRI centers
• Outpatient Facilities
• Doctors
• Physical Therapists
• Dialysis Facilities
• Durable Equipment Suppliers
• Rehab Centers
• Medical Labs
• Nursing Homes
• Medical Staffing Companies
• Other medical service providers

What Is the Process Once Approved?

1. Send your claims to the third party company and to the invoice factoring company
2. Factoring company advances from 70-90% of your expected net collections within 1-7 days
3. 10-30% is not advanced and is used as a reserve to handle charge backs
4. When the medical claims are paid, the reserves are returned to the medical business
5. Time of factoring fee collection varies per medical factoring company
   

Call us today at
800-897-1339

Start your factoring company account now at
Preliminary Factoring Application