{"id":1996,"date":"2023-01-18T10:52:06","date_gmt":"2023-01-18T10:52:06","guid":{"rendered":"https:\/\/www.medicalbillingstar.com\/blog\/?p=1996"},"modified":"2023-01-19T14:23:01","modified_gmt":"2023-01-19T14:23:01","slug":"why-do-independent-practices-fail-when-outsourcing-rcm-and-billing-to-ehr-companies","status":"publish","type":"post","link":"https:\/\/www.medicalbillingstar.com\/blog\/why-do-independent-practices-fail-when-outsourcing-rcm-and-billing-to-ehr-companies\/","title":{"rendered":"Why do independent practices fail when outsourcing RCM and billing to EHR companies?<\/strong>"},"content":{"rendered":"

Outsourcing RCM and medical billing to EHR companies is a bad choice for independent practice.<\/strong><\/h2>\n

\"Outsourcing
\nIndependent practices are reliable sources when it comes to getting care immediately. PCP providers, ER rooms, and general medical practitioners, it is also common that other specialty providers like OBGYN, Podiatry, and mental health practitioners all have independent practices<\/a>. But these independent practices have the responsibility of managing the complete practice<\/a> with the collections they make. It is reasonable that they seek outsourcing options to cut costs and focus on core functions like patient care, improving patient access, and purchasing medical equipment to provide better patient engagement.<\/span><\/p>\n

Why do independent practices choose EHR companies to outsource?<\/b><\/h3>\n

It is a well-known factor that there are plenty of RCM and billing services<\/a> outsourcing companies. But why do independent practices choose EHR companies to outsource? The reason is simple. EHR companies mostly make their revenue from subscription fees. The reason why they have also included billing and RCM services packages from 2% collections as their fee is that they get reimbursed for a service that they don’t have core expertise on and get paid for it too.<\/span><\/p>\n

Typically EHR companies target independent practices for this same reason, they get more revenue from these independent practices than they get subscription fees from selling their EHR software to hospitals and health systems. independent are already caught up with their daily clinical and patient care operations they hardly have time to concentrate on the billing and revenue cycle processes.<\/span><\/p>\n

\"
\nWe have encountered many of our independent practice clients who have similar problem scenarios. They first buy EHR and when the EHR company salesperson states that they provide billing and RCM services at 2% of collections per month, these independent practice managers and doctors seem this to be a good deal and go for it. 6 months down the line they return back to a proper RCM and billing services company like BillingParadise and request to undertake their entire revenue cycle operations because of the following drawbacks when outsourcing RCM services to an EHR company:<\/span><\/p>\n