points4pay
Octet in association with tygr.finance
Octet Points4Pay: An innovative payment solution for the health and dental industries
The health and dental industries face significant challenges with payroll tax compliance, particularly when it comes to managing service fees from contracted practitioners. Traditional methods often require practices to establish separate bank accounts in the name of each contracted doctor, leading to cumbersome administrative tasks and increased costs.
To address these issues, Octet has developed Points4Pay. This innovative payment solution not only streamlines the collection of service fees but also accelerates cash cycles and rewards practitioners with frequent flyer points.
The healthcare compliance challenge
Payroll tax compliance has become a focal point for general practices. As a result, many practices are restructuring how they receive patient fees and service fees from their contracted doctors. The current structure often involves:
Additional tasks for admin staff to manually set up direct debit cycles for each doctor, resulting in higher administrative costs.
Requiring doctors to open new, separate bank accounts, often with the same bank, which can be inconvenient.
Raising questions about whether the financial relationship is “arm’s length” and how it may be viewed in the future.
These challenges highlight the need for a more efficient and compliant solution.
Introducing Points4Pay
Octet’s Points4Pay is a unique product tailored to the needs of the health and dental industries. It offers a seamless way to manage service fees within a practice, providing additional working capital for doctors and enabling them to earn uncapped frequent flyer points based on their service fee spend.
Key benefits for practitioners
Access to pre-approved finance: Practitioners receive up to $50k in pre-approved finance, providing them with a pre-approved line of credit* and agreed number of credit days. This helps manage cash flow more effectively.
Earn frequent flyer points: Service fee spending allows practitioners to earn frequent flyer points, which can be redeemed for flights and other rewards. This benefit not only adds value but also encourages loyalty to your practice.
Key benefits for practices
Reduce Days Sales Outstanding (DSO): By accelerating service fee payments to your practice, Points4Pay helps reduce your DSO, improving cash flow and financial stability.
Boost sales and increase retention: Offering a frequent flyer loyalty program to eligible practitioners can enhance retention rates and attract new talent.
Save costs and reduce admin work: The easy-to-upload pay cycle reduces administrative burdens and associated costs.
Strengthen relationships with Practitioners: Octet manages the service fee payments, paying the practice directly and collecting from practitioners, thus simplifying the payment process.
How Points4Pay works
The process is designed to be straightforward and efficient:
Pre-approval: Octet provides each practitioner with a pre-approved line of credit* linked to their service fee account.
Service fee summary: Every cycle, practices provide Octet with a summary of service fee amounts due.
Payment processing: Within 24 hours of uploading the summary, Octet pays the service fees to the practice.
Credit days: Practitioners receive an agreed number of credit days, after which Octet will direct debit their nominated account.
Frequent flyer points: Following the successful direct debit, practitioners receive their frequent flyer points.
Ideal for the entire industry
Points4Pay is suitable for:
Medical Practices
Dental Practices
Veterinary Clinics
Pharmacies
Specialist Practices
* Up to $50,000 in pre-approved finance is available for Practitioners who meet specific credit criteria. Larger facilities are available upon request, subject to a full credit assessment.
