Clinical Research Billing Services:
We offer research sites, physicians and medical practices a specialized billing service dedicated solely to clinical research. Medical billing is common but, because clinical research is run by individual contracts with sponsors, clinical research billing is considerably different. We work for the site to ensure that the site is fully paid.
If the site is not running a clinical trial management system, we recommend starting with a financial audit of closing studies. We can continue on that basis or implement/run a system for you. The system has many advantages for clinical operations – we will make sure that it is financially operational.
We invoice, manage receivables, follow-up with sponsors/CROs on payments, report accounts receivable, negotiate budgets and provide reports to manage the business. Our service is to support sites with financial management on the revenue side.
Our fees are a percentage of gross receipts. We get paid when the site gets paid.
Protocol Visit Payment Reconciliation
Sponsors and CROs claim that protocol visits are paid automatically, but when we run an analysis, we find that visits are often missed by the CRO payment process, checks may be authorized but not paid, retainage is not calculated properly, etc. We are an advocate for our customers, who are facing a complicated process. Knowing which visits have been paid and what to include as Accounts Receivable requires great detail. Managing the system to know which visits have been completed and then reconciling payments to ensure that each visit has been paid is our base service. Increasingly, CROs and sponsors require invoices or management of visits to be paid in their own system or only pay by procedure rather than per visit. This is a time-consuming task for sites that should be focused on research and recruiting.
Invoicing for Extra Procedures
Clinical Trial Agreements include extra procedures that are reimbursed subject to invoice. That invoice must include very specific data and, in some cases, supporting documentation. Most sites do not track all extra procedures and thus leave this money uncollected. Sponsors and CROs are aware of this and pay visits automatically but not extras. Our proposal to the site is to help them to collect these funds, thus it is “found” money for them. Our experience has shown that these extras can become a significant percentage of revenue.
We help sites to negotiate study budgets to ensure that overhead is adequately charged, per patient budget amounts cover costs, and all potential extras are included in the agreement. Our participation in budget negotiations and our ability to collect extras increases site budgets by significantly more than the cost of our fees. We seek to boost your budgets because we get paid based on a percentage of what you get paid.
Our services are oriented toward negotiating more lucrative budgets and ensuring that all contractual items are invoiced in a manner that will significantly increase revenue to the site and thus increase the bottom line. The net income falls straight to the bottom line for the research centers
Additional benefits to sites of using a CTMS:
Accounts Receivable for Clinical Trial Sites
Sites need to know how much work has been done in visits and extras, how much has been paid and how much is pending payment (A/R). An aging of Accounts Receivable shows what has not been paid and thus who needs to be called to collect. Without active A/R management, the sites miss a lot of cash. A solid Accounts Receivable report is useful to present to the bank to support financing or to present to potential acquirors to justify a higher valuation;
Potential for Financing
With accrual accounting financial statements and aged accounts receivable on the balance sheet, a research site can request financing from the bank. In our experience, banks have been willing to lend against receivables for a profitable business, and
If you are seeking to sell your site, the valuation will be higher and financial due diligence much easier with a fully functional CTMS. The financial reports form an important part of the valuation process. We can help with Business Plan preparation and financial valuation.
Analytical Reports for Site Management
We prepare reports for management that help to indicate the health of the business. Clinical research is especially challenging to manage because studies begin and end, screening is more profitable than maintenance, trials can be terminated – the site can be understaffed or overstaffed. Analyzing information from the CTMS gives insight to the direction of the business – without it, many sites lack information important for operational insight.
Accrual Basis Reports
Financial statements on accrual basis rather than cash basis. Most sites run cash basis because they don’t know the difference and do not understand the benefits of presenting financial statements on an accrual basis. We can provide revenue reports on both accrual and cash basis. An accountant can use these reports to convert the financial statements from cash basis to accrual basis;
At your invitation, we will come to your site to audit study payments prior to close-out. We will review all payments, visits, extra procedures, and contractual commitments. Unpaid items will be invoiced, with full supporting documentation. We will then follow-up with the sponsor/CRO to ensure the site is paid.