How to reduce NEMT business costs
If you have your own NEMT business, congratulations! Non-emergency medical transportation is an exciting, growing industry that will afford you a lot of opportunities to grow and expand your business. But let’s face it: running a business is expensive. If you’re someone who doesn’t like to sit down and carefully budget, now’s the time to start. Even the most detail-oriented people can’t plan for everything, so it’s important to have your finances in order. If you’re looking for some tips on cutting business costs, we’ve got you covered. Read on to learn about some big ways to immediately reduce costs at your NEMT business.
Invest in reliable NEMT software
We know what you’re thinking—you’re trying to save money, not spend it. But investing in non-emergency medical transportation routing software actually saves you a ton of money in the long run. It automates your entire trip planning process, from scheduling and routing to dispatching and billing, to save you loads of time. Every part of the process is seamlessly handled within the software, so you don’t waste any time second guessing your work. The system automatically checks for multiload opportunities, provides a driver checklist to find any vehicle issues as soon as possible, and searches for billing errors to reduce the chance of rejected and denied claims. Software is definitely an investment, but it’s one that ultimately pays off in every aspect of your business.
Get serious about your marketing efforts
There are a number of different ways you can make marketing a priority at your business. If you aren’t looking to spend thousands of dollars each month on paid advertising, there are some alternate methods you should look at while trying to reduce costs. These are free ways to market that can yield effective results.
Network with facilities in your area
If you’re looking to build relationships with those in your community and land more trip opportunities in the process, head to hospitals, nursing homes, and other facilities in your local area to discuss a partnership. A majority of your clients will already be in these spaces, so it only makes sense to develop a relationship and coordinate trips in a productive manner.
Refine your social media presence
Social media is an excellent opportunity to share your business with the world. While a lousy social media presence won’t do your business much good, a strategic one can easily set you up for success. Focus on providing helpful, unique content to your Facebook, Twitter, and Instagram pages, and watch your following grow.
Offer a referral program
Your current customers can be super valuable when it comes to finding new ones. To incentivize them, offer a referral program. Each referral that turns out to be a successful new customer gives the referring company money off their next payment. It’s a win for your business, a win for the current customer, and a win for the new customer. If you aren’t already doing this, implement it at your business as soon as possible.
Paper, ink, and postage may seem like a small cost, but the price can quickly add up if you aren’t frugal. The fact is, we’re currently living in a digital-forward world, which means it’s time to ditch your paper assets and switch to an electronic data storing method. Not only does it save you money and make your company more sustainable, it also gives your employees easier access to data whether they’re on-site or working remotely.
Develop a detailed budget
Every business needs a detailed budget to turn to. No matter how good you are with money, you can’t make smart decisions without referring to solid data beforehand. Your budget should be thorough and current. It should be organized and accessible for anyone who needs to view it, and it should be updated daily or weekly to account for changes at your business.
Prioritize better time management company wide
If you can’t figure out why you aren’t meeting your goals, it’s a good idea to take a look at the productivity around your business. Are your employees making the most out of their hours? Are the most efficient processes being used? If you want to accurately track this data, consider having your employees use a time-tracking platform to track their hours. This will give you a good idea of how people are spending their time, how long it takes to complete a specific project, and more. This data can show you what changes need to be made and how you can work towards a more productive future.
Consider a remote or hybrid work model
If you don’t need your team housed in one location each day, you should seriously consider offering hybrid or remote work options. If you work in an expensive city, it might be best to think about ditching your rent for good. If you can’t think of a handful of good reasons to continue paying for a physical space, it’s probably not worth it. If you need the location for storage and collaborative purposes, think about having your team work remotely for half of the week to cut down on electricity and office supply usage such as toilet paper, soap, etc.
Purchase used vehicles
Better yet, use your own vehicles, if possible, for trips. If you’re planning on exclusively doing ambulatory trips, it’s completely feasible to use vehicles you and your drivers already own. If you want to have separate vehicles in your fleet, look at used vehicle options for a discount price. Even the most profitable NEMT businesses shouldn’t be seeking out high-end, brand-new vehicles. It ultimately just isn’t a smart financial decision.
Hire part-time drivers
If you want to reduce employee costs, focus on hiring part-time drivers instead of full-time workers. Part-time drivers will work fewer hours, and you’ll only have to pay them for the hours they work. The good news for NEMT providers is that many potential drivers are retired folks looking for a part-time gig, so finding part-time drivers shouldn’t be difficult.
Commit to finding the best NEMT software
NEMT scheduling software is one of the best investments you can make at your business. If you’re on the lookout for reliable NEMT software, Medicaid billing software, or homecare billing software, get in touch with the team at iSi to explore your options today!