American Business Systems American Billing Scam of the Century Keller, Texas

After reading my report go to http://dihasstories.wordpress.com/2007/11/16/american-billing-systems/

Although I have not purchased a license from ABS direcltly I am working as a salesperson for one of their licensees. I took the position hoping to one day to purchase a license and run my own business in the near future. I liked what I saw on the website and it looks like they have been in business since 1994 with 1500 licensees. I guess they have only sold one hundred a year since their inception.

 I have reviewed the Training Material that was provided to the licensee and watched the DVDs of the training as well. I have attended the ongoing webinars as well. I am not sure, but it seems like its alway the same individuals who are doing these webinars. I would expect with 1500 licensees the success stories would come from more than 12 individuals. I marketed the various services to Physicians and General Businesses. I thought Medical would be a better fit as I have had 10 years of experience in this field. It looks like this is not really a business opportunity but a bundle of vendors being sold as a business opportunity, with some templates and spreadsheets that have been created to assist the licensee.

The Patient Payment Plan revolves around a Client Server Software Program that isn't all that intuitive to use. There are many other companies offering the same solutions via the Internet. The same functionality can be found in the Intuit Quick Books application as well. Read the link above and note Kens remark. It sounds like the same software where an earlier scam was perpetrated.  

The billing system they provide is hosted by www.medrium.com. It is a watered down version of the software that Medrium uses for their clients. You can view their software here. http://www.medrium.com/downloads/Medrium_Sales_Aide.pdf Also this vendor does billing for practices so they are in direct competition with the licensees. Why would a provider incur your overhead when it appears you can go directly with the vendor?

 The patient Well-Care utilizes Send Out Cards. You can purchase their package for 400.00. If you attend any Chamber of Commerce meeting you will probaly run into 4 or 5 vendors who offer that service to businesses as well.

 The Profit Recovery Services is handled by a vendor called Money Quest. They do seem to be offering new services to the licensees. I applauded that I would have something else to offer physicians as well. I showed the RAC Audit to a Hospital Administrator friend of mine and while watching the presentation said she knew the person who provides the service and works for a competing firm. I did further research.

The person who is promoting these products works or is profiled at another company which looks to me like a competitor. She uses the same photo from www.ats.com > Corporate Overview>Management Team as she does in the Amercan Business Systems webinars. I do not see where iTotalSolutions or ABS has any vendor relationship with this company (www.ats.com) Maybe the licensee do all the leg work and ats goes after the business? Why would I have them help me?

 Look the premise is good. Retiring Baby Boomers yada yada yada. The reality is that most organizations have in place a system purchased from the larger vendors and are not looking to outsource to some home based billing organization. Just go to some of the venues like BNI, MGMA and Chamber meetings these people are everywhere and have the same story of inability of obtaining clients. My recommendation is to go out and figure out how to start a business, find your own vendors it will cost substantially less than the 20,000 that was spent by this licensee.