Higher EBITDA improves cash flow today and the value of the business tomorrow. For independent medical groups, the biggest gains usually come from capturing revenue already earned and from a few operating decisions, not from cutting quality.
1. Capture the revenue you have already earned
- Compare payer payments to contracted rates and appeal underpayments.
- Work denials by reason, and fix the causes upstream.
- Verify eligibility and prior authorizations before the visit.
See our revenue leakage checklist for ten common sources of lost revenue.
2. Renegotiate payer contracts
Many practices have not revisited contracts in years. Know your volume, quality data and market position before renegotiating, and prioritize the payers with the largest share of revenue.
3. Match staffing to demand
Track visits, procedures and calls by hour and day. Align front-desk and clinical staffing to real demand, and use technology such as automated phone agents for scheduling and insurance questions.
4. Manage supplies and drug purchasing
Group purchasing organizations, standardized supply lists and regular price reviews can lower costs, especially for practices that administer drugs.
5. Add services your patients already need
Services such as in-office infusion, imaging or ancillary testing keep care in the practice and add revenue, when patient volume supports them.
6. Measure what matters
A short monthly dashboard covering visits, collections per visit, days in accounts receivable, denial rate and labor cost as a share of revenue makes problems visible early.
KVLR Capital’s MSO helps independent practices put these improvements in place. Learn about MSO Value.