Thanks in part to a big dollar nudge from the federal government, AdvancedMD is hiring on the belief it’s poised for rapid growth. The Draper-based company said Tuesday its first quarter revenues grew 29 percent from the same period last year, reaching $8 million. The first quarter results represent 26 consecutive quarters of growth, said the company that sells Web-based software to manage medical practices.
AdvancedMD was founded in Utah in 2000 as a Web-based software company for medical practices.The company was one of the first to offer Web-based programs to doctors’ offices. An advantage of Web-based programs is that they do not have big upfront costs for computers or software and can be kept up to date easily.
The company’s 200 employees are spread among two offices in Draper and Park City. But it will soon consolidate into a new building. AdvancedMD also expects its growth to spark a hiring spree.
The rapid expansion — a 45 percent compound growth increase over three years — was due to small medical practices looking to cut costs and manage their businesses. The new systems are used to replace older software blamed for causing one-third of all claims to be rejected by insurance companies on technicalities, greatly adding to office costs to resubmit them. The Salt Lake Tribune
