In lab management, managing & maintaining better business relationships starts with providing a great experience and handling transactions smoothly. However, if you have a system that automates your payment process, it becomes super easy to handle B2B lab payment management without tracking dates manually.
What Is B2B Lab Payment Management?
B2B lab payment management is how a lab bills, tracks, and collects money from the organizations that send it work, as opposed to patients who pay at the counter. These clients are billed at agreed rates and usually pay later, so the lab extends credit every day. Four client types make up most B2B dues:
- Hospitals and clinics: Outsource part or all of their testing at contracted rates.
- Collection centers: Send samples daily and settle against a franchise rate list.
- Corporate clients: Pay for employee health checks on a monthly invoice.
- Referring laboratories: Forward specialized tests they do not run in-house.
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Why B2B Payment Automation is Necessary?
B2B payment automation puts control on transactions & dues in your medical lab. With control over credit days, you ensure that there is no chance of unfulfilled debts or untraced leakages in your finances. It also enables smooth & hassle-free transactions between you and your stakeholders.
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Benefits of B2B payment collection automation for medical labs
With an automated B2B lab payment collection system for your diagnostic labs, you avail benefits such as –
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- Effective payment communication between businesses
- Helps keep track of credits
- Improves business transactional flows m-o-m
- Reduces chances of debts
- Elevates business experience with B2Bs
B2B Lab Payment Collection: Prepaid, Credit Limit or Credit Days?
Every B2B client sits on one of three payment models. Choosing the model per client, instead of one rule for all, is what keeps B2B lab payment collection under control.
|
Model |
How it works |
Suits |
Main risk |
|
Prepaid balance |
Client loads an advance, and each bill draws it down |
New or small collection centers |
Work stops when the balance runs out |
|
Credit limit |
Client can bill up to a fixed outstanding amount |
Steady clients with uneven monthly volume |
Limit is set once and never revisited |
|
Credit days |
Each invoice falls due a set number of days later |
Hospitals and corporates on invoice cycles |
Old invoices age unnoticed behind new ones |
How CrelioHealth Helps You With Payment Automation?
CrelioHealth’s new automated B2B payment collection feature allows you to automate the process by setting credit limits and credit days. B2B lab payment collection also helps you set automated payment reminders through different mediums.
With payment reminder software alerts, you ensure that there are no gaps in debt collection among organizations. If all the credit days are over, the user cannot log in unless the dues are cleared.
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Payment Reminder Software
You can notify organizations, referrals, and other B2Bs with payment reminders from B2B lab billing software using the following.
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- Payment reminder messages in CC login
- Automated reminder emails
- Paywall that will show when the user logs in
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When to Use Each Reminder Channel
|
Channel |
Best moment |
What it does well |
|
Message in the client login |
Before the due date |
Reaches the person registering samples each day |
|
Automated reminder email |
On and after the due date |
Reaches the accounts contact with the amount due |
|
Paywall at login |
When credit days or limit are used up |
Stops new dues from stacking on old ones |
A reminder schedule most labs can start with:
- Seven days before due: a login message showing the amount and the due date.
- On the due date: an email to the accounts contact with the outstanding amount.
- Three days overdue: a second email, copied to the client’s owner or manager.
- At the limit: the paywall, so access returns only once dues are cleared.
B2B Lab Business Management: Reading Dues by Age
Total outstanding tells you how much is owed. Aging tells you how much of it you are likely to collect. Sort every client’s dues into four buckets and act differently on each.
|
Age of dues |
What it signals |
Action |
|
0 to 30 days |
Normal credit cycle |
Routine reminders only |
|
31 to 60 days |
Client is stretching terms |
Call the accounts contact and confirm a date |
|
61 to 90 days |
A dispute or cash trouble |
Pause credit increases and resolve disputed bills |
|
Over 90 days |
High risk of bad debt |
Owner-level call and a move to prepaid |
Days sales outstanding (DSO) puts one number on it: DSO = outstanding B2B dues ÷ B2B billing for the period × days in the period. Illustrative example: a lab with ₹18 lakh outstanding and ₹24 lakh of B2B billing in a 30-day month has a DSO of 22.5 days. If its standard credit term is 15 days, clients are paying a week late on average.
Tips To Improve Automated Payment Collection System For B2B Lab Business
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Online Payment Management System
You can also have an online payment management system for your organization that allows for automated settlements and credit additions, saving time and effort in manual reconciliation.
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Linking your own payment gateway
Have your own medical lab payment gateway account?
Link to receive online payments directly into your payment gateway account
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Don’t have a payment gateway account?
Don’t worry; you can just configure your bank details, and we will take care of the rest. The online payments made by your clients will be transferred to your bank account in 2-3 working days.
Frequently Asked Questions About B2B Lab Payments
How does B2B payment automation work for labs?
The lab sets a credit limit or credit days for each client. The system tracks dues against that rule, sends reminders before and after the due date, and restricts login once the limit is crossed until payment is made.
What is B2B lab payment management in simple terms?
It is how a lab bills, tracks, and collects from hospitals, clinics, collection centers, and corporates that pay on credit. It covers rate lists, credit limits, invoices, reminders, online payments, and reconciling each payment against the client ledger.
Should a new collection center get prepaid or credit?
Start a new collection center on a prepaid balance. After three to six months of steady volume and on-time top-ups, move it to a credit limit sized to about two weeks of its average billing, and review that limit quarterly.
How is days sales outstanding calculated for B2B labs?
To calculate B2B lab DSO, divide outstanding B2B dues by total B2B billing for a given period, then multiply by the number of days within that timeframe. Compare the result with your standard credit term.
When should a lab stop credit for a client?
Stop new credit when dues cross the agreed limit, or any invoice passes 60 days without a confirmed payment date. Keep accepting samples on prepaid terms if the relationship matters, so the old balance does not grow while it is resolved.
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