Medical practices are known to generate revenue through offering healthcare services to patients. However, healthcare dynamics are shifting at a rapid rate with new practices emerging in the market and patients and insurance companies demanding value-based care. Competition is high and insurance companies are setting high standards on what they reimburse, resulting in low revenue for medical practices. In addition, the rise in preventive medicine and patients preferring home-based care has seen hospital admissions go down significantly. Thus, if your medical practice is to make profits, you need to think outside the box on how to generate ongoing revenue. Here are 5 tips for you.
- Open new locations
Extending your services to new locations gives you the opportunity to cast your net wider and reach new patients. However, you have to do your due diligence by conducting surveys beforehand. For a practice to succeed in a new location, having the right demographic is paramount. For this reason, you must ensure that your areas of choice have people who can benefit from your services and are willing to come for them.
- Offer new services
One of the easiest ways to generate income in your medical practice is to add new services to what you currently offer. For instance, you can start offering surgical services and ancillary services such as ambulance services and more if you didn’t have them before. However, it is important to make sure that all the medical devices that you will be using are safe. You can do this by partnering with experts in this area. Hire the services of a 510k expert to help you with FDA submissions, technical documents and more cost-effectively and faster.
- Leverage telemedicine
Telemedicine is an emerging trend that is offering hospitals a new way of generating income by providing opportunities to reach more patients. With telemedicine, it becomes easier to offer services to people from a wider geographic location. You are also able to tap into the elderly generation who find it hard to get to a hospital. In addition, telemedicine is an effective option to continue providing quality healthcare to patients during a pandemic such as the COVID-19 pandemic as shown in this research article. The technology has ensured that people receive diagnosis and treatment for various diseases while safely social distancing at home.
- Invest in early-stage devices and technologies
Making investments is a great idea for generating income for your medical practice. Moreover, investing in related fields such as funding startups in the early stages of developing drugs, medical technology, and devices allows you to participate in bettering the healthcare system. Such investments are licensed, allowing you to sell them to other hospitals, which can generate income for you in the millions. In addition, your practice can benefit more in providing quality services if, for instance, you started using a technology that you funded.
- Do clinical trials
Clinical trials require injecting money, time, and resources, which most medical practices fail to raise. For this reason, companies are willing to pay a lot of money for clinical studies to entice more physicians and hospitals to participate. You can take advantage of this funding to take part in clinical trials and make a profit out of it. If you hire the right staff and a good clinical research coordinator, you can even conduct several clinical trials consecutively to increase your profits more. However, it is important to consider which areas are right for your practice if you are focused on succeeding.
Days are gone when medical practices’ revenue depended on the volume and prices of services rendered. As the value-based healthcare model continues to take shape, hospitals have a difficult task justifying the need for unnecessary services and the increased cost of these services. If you are to generate revenue for your practice, shifting from the traditional ways of making money and embracing new ways such as listed above is the way to go.