If your dental practice is like many others, chances are you have quite a bit of outstanding money owed to you. It’s a simple fact, many patients are finding it very difficult to pay the dentist on time when they have so many other bills to pay. Although these are some of the toughest financial times we have seen, you are still running a business, which means you have your own expenses that must be paid in order to keep the business going.
To complicate things a little more, now that we are getting into the holiday season, you do not want to see your patients spending the money that they owe you on holiday gifts. That would definitely be a very dangerous situation!
Most accountants and practice management experts would tell you that as a debt ages, it becomes virtually worthless. If that is the case, wouldn’t it make sense to collect 90% of all of the money that is owed to you right now, as opposed to taking a chance at never seeing it again and having to write it off?
Here is an idea for you. Compose a letter to your patients that have overdue money on the books letting them know you would like to extend them a courtesy due to the tough economic times that we are all experiencing. Go on to tell them that they may deduct 10% from their entire bill if they pay everything in full before November 30.
Let’s face it, your patients do not want to owe you money. And if given an incentive such as this, many of them will want to settle up (before they hit the malls!). This could mean a lot of money coming into your practice this month!
One lesson we would like you to take with you for the future is that starting now, you should no longer act as a bank! Please let the professionals, such as CareCredit take care of your patient financing. Do not do it yourself or you may get into a situation that is very tough to get out of! No more in office “payment plans!”
One more thing… if you have any patients that have become nearly impossible to collect from, you may want to consider a form that has been working particularly well in this economy. Click HERE for more info on this.