MedHQ provides accounting services tailored to the specific needs of healthcare providers. We oversee every aspect of our clients’ accounting processes to improve performance, save time, and avoid costly mistakes.
A recent discovery on behalf of one of our clients showed the value of MedHQ’s approach. During a routine monthly assessment, MedHQ team member Dave Becker noticed a sizable increase in an ambulatory surgery center’s monthly rent. According to the lease, the base rent was set to increase 2% per year, yet the rent for December and January jumped by about $3,000 instead of the expected $500 (2%).
“It wasn’t clear on whether the increase was to be calculated by increasing the rate per square foot or the total dollar amount,” said Becker. “But either way, it should have produced the same number. When we looked more closely at the numbers, we found that the landlord decided to round up the 2% increase when applying it to the rentable square foot – a few pennies per square foot. But while that seems like a small amount, if the landlord had continued doing this for the remainder of the lease term, the center would have overpaid by $38,000.”
Becker uncovered this error while completing a month-end evaluation, standard for all of MedHQ’s accounting clients. As part of this process, accountants examine every account and every transaction that occurs within it, to align revenue with expenses and identify inconsistencies.
“This type of small accounting error can easily fall through the cracks,” said MedHQ CEO Tom Jacobs. “We pay attention to the fine details so our customers don’t have to. We make sure our customers pay only what is necessary, and we hold vendors accountable for any discrepancies.”
Learn more about MedHQ’s accounting services and how they benefit our clients in our recent white paper. In one instance, MedHQ caught a contract mistake that saved a client close to $300,000; in another, our team discovered that a client was being double-charged for an equipment lease – leading to approximately $40,000 in savings.
Download the white paper, A Guide to Improving Business Performance Through ASC Accounting Expertise.