Optometry Practice Revenue

Generating a profit is the most important indicator that an Optometry practice has a lot of chance to sustain growth. Revenue must exceed expenses to make a profit. The first thing that an Optometry practice should develop while putting its financial strategy is a Financial Policy that explains in detail the different payment methods that the practice offers to the patient. It makes a good idea to share the Policy with patients online before they schedule an appointment, however, what’s best is to make staff, employees, and associates read, approve, and memorize it before presenting it to the patient.

A Practice Financial Policy typically includes details about:

Insurances that the practice accepts and plans that cover eye care services with different benefits. Terms for payment of deductibles, coinsurance, copayments. The policy should include refunds and adjustments after the service has been provided. Non-covered services are paid in advance;

Services Payment modalities, cash, checks, Visa, Mastercard, or other cards. Financial programs offered for patients to finance procedures that are not covered by their plans;

Collections should detail past due date before the unpaid amount would be turned over to a collection agency. The poor collection will reduce cash flow. Delayed payments also reduce cash flow and the value of money collected due to the time value of money.

Cancellation Policy in case the patient canceled his appointment or did not show. Returned checks fees are to be paid by the patient;

The practice staff, employees, and associates should adhere to the policy and be able to articulate its content to the patient. Very few practices operate full cash or all cash services. However, many provide discount policies or cardmember privileges. Some practices adopt barter programs. Barter programs are remarkably beneficial for newly established Optometry practices where there are plenty of establishing, furniture, displays, and other purchased items that can be battered and would bring people to know about the practice.