Introduction Revenue Cycle Management (RCM) is a critical process in the financial management of a medical practice. RCM is a general term for the comprehensive handling of financial transactions from patient intake to final payment, ensuring that medical practices receive timely and accurate compensation for services rendered. Today’s healthcare landscape is rife with regulatory complexities, constantly changing payer policies, and patient collection difficulties.

Having an efficient RCM system is essential to the success and sustainability of any health care organization, especially independent practices. Many independent providers face significant challenges in managing their revenue cycles. With limited administrative resources, more competition with retail and urgent care clinics, and an everincreasing focus on patient care, independent practices often struggle with various pain points that can severely affect their cash flow and overall financial health.

“I think the No. 1 mistake that I’ve seen is practices not actually having a cash flow management system at all,” says Akash Madiah, chief financial officer of the Medical Group Management Association. “And when I say system, it’s the process around it and understanding what the future cash flow needs are going to be for the practice.” The most common obstacles include coding errors, claim denials, delays in payment, payer credentialing, and inefficiencies in billing processes. These challenges can result in lost revenue, creating financial strain for independent practices. Often