In an asset-financing arrangement, a company uses its accounts receivables as collateral in a financing agreement; the company receives an amount that is equal to a reduced value of the receivables. The age of the receivables has a substantial effect on the amount a company will receive. The older the receivables, the less the company can expect. During these situations, many providers turn to medical factoring. Factoring is not a loan that requires you to pay interest on your accounts receivables in exchange for quick payments.
Skip the interest and long-term agreements
PROVE will purchase your medical receivables turning your aging medical accounts receivables into capital and/or cash flow. There are no long term loan agreements, no interest, and you can obtain cash to assist you in payroll, expanding your business, marketing, paying down debt, or however you see fit to use the money. We realize that a successful healthcare business depends not only on quality medical care but also on effective bill management. The long delay between the time a healthcare provider administers medical services and the time they are reimbursed, coupled with bureaucratic and cumbersome third-party billing structures, results in diminishing cash flow for many healthcare facilities.
We offer a complete medical accounts receivable purchase program that allows providers to have better access to previously unavailable funds. We purchase the net collectible third-party receivables; thereby, providing you with cash within days, not months or years after creating an invoice.
A seeming, yet necessary, contradiction
Selling medical accounts receivable has been a significant method of obtaining working medical capital in the healthcare industry for well over a century. The reality of selling medical account receivables is that it has the paradoxical distinction of being the financial backbone of many successful businesses. Why is it a paradox? Because selling medical account receivables is not taught in any university; it is seldom mentioned in any business plan and is generally misunderstood or unknown to the majority of financial executives. Yet, selling account receivables is a financial process that frees up billions of dollars every year, enabling enterprises of every size to grow, prosper, and survive financial difficulties.