Most chiropractors operate in small solo practices, making debt collection a time-consuming headache.
We have to say it: Debt collection for chiropractors can be a pain in the neck.
Chiropractors focus on fixing ailments related to the spine, musculoskeletal, and nervous system of the body. They serve as an important alternative to surgery or drugs for the treatment of back and joint pain, headaches, and other painful physical conditions.
The American Chiropractic Association (ACA) says that there are 77,000 of these professional clinicians in the United States, treating more than 27 million people. However, the vast majority of these practices are small, solo offices. As such, these skilled providers can struggle to manage accounts receivables. Many do not have the resources to staff a full-time debt collection professional.
How can chiropractors improve their bottom line with debt recovery solutions? What are some of the challenges they face if they don’t partner with a debt collection firm?
Facts about Chiropractic
The ACA states that the majority of chiropractors are designated as “physician-level” in the U.S. You’ll find these professionals tied to large organizations like the Veterans Administration (VA) and hospitals and even the National Football League and other professional sports teams, but most are in private practice. Chiropractors receive extensive training from nationally accredited, four-year doctoral graduate programs requiring, at a minimum, 4,200 hours of classroom and on-site clinical training. These clinicians emerge with the Doctor of Chiropractic licensure, which the ACA says is “equivalent in classroom hours to allopathic (MD) and osteopathic (DO) medical schools.”
While these professionals receive extensive training, they also typically emerge from school with massive debt from their education, just like many medical professionals in the healthcare field. The difference is that many chiropractors will enter the field with the challenges of opening and maintaining a small business; many other medical specialties join established health systems.
A survey this year by Chiropractic Economics showed that these professionals struggle with debt collection in their practice. Solo practices in 2018 saw an average billing of $480,000 and collections of $366,000. In 2017, the average billable was $427,500 with collections of $294,800. The solo practice reimbursement rate, according to the study was around 77%, meaning that chiropractors are leaving an average of 23% on the table as past due A/R. The highest collections occurred outside of the solo practice, in a multidisciplinary clinic. This makes sense because these practices typically employ a larger staff. With a larger staff, the likelihood that the labor-intensive process of debt collection will occur and be more successful. But that leaves out the more than 50% of solo practices that just don’t have as much time to pursue past due A/R.
Fortunately for them, there’s Rocket Receivables.
Debt Recovery Solutions for Chiropractors
Rocket Receivables is an affordable solution for debt collection for the small, independent chiropractic office. Our online portal allows you to reap the benefits of a systematized approach for debt collection. Each debt recovery solution is designed for the small business that simply doesn’t have the time to pursue collections. Our service is guaranteed to double the money you invest in the solution. Click here to buy now.