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Feature|Articles|July 7, 2025
Practice tip of the week: Protecting revenue when costs rise
Author(s)Physicians Practice Staff
Fact checked by: Keith A. Reynolds
Your weekly dose of wisdom from the Physicians Practice experts.
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With all the useful information available on Physicians Practice, it is easy to become overwhelmed.
With this in mind, the tip of the week is a chance to reflect on some of the wisdom found all across the site. This April 2025 article on protecting revenue when costs begin to rise gives this tip:
2. Negotiate or re-negotiate supplier contracts
Why it helps
- Inflation and tariffs can inflate the costs in existing vendor contracts.
Proactive negotiation can result in better pricing or more flexible terms. - Open communication with suppliers can help you to understand cost drivers and explore potential concessions or alternative supply options.
Action steps
- Schedule annual or semi-annual reviews of key supply/vendor contracts.
- Request transparent cost breakdowns to understand price hikes.
- Pursue multi-year agreements to lock in prices, or consider shorter-term contracts if you anticipate rapid price fluctuations.
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