The NDIS is highly regulated, and providers must meet strict compliance requirements. These obligations are designed to protect participants and ensure they receive the care and services they are entitled to.

However, for NDIS businesses, failing to align your business processes to these regulations can lead to undesired consequences, including loss of revenue, sanctions, or even the revocation of your NDIS registration.

When working with NDIS businesses, we see the following as key areas in which it is critical to have thorough, compliant and well-documented processes.

Scheduling & Servicing

The nature of service agreements with participants is such that businesses are required to comply with the program provided to participants in order to access funding. It is crucial to business success that there are processes in place to accurately and efficiently schedule staff to meet these key servicing requirements, while maintaining a profitable business.

Record Keeping and Reporting

Providers must maintain accurate records of all services delivered, including participant details, service provision dates and costs. These records are critical for audits and must be readily available for inspection by the NDIS Commission. Poor record-keeping can lead to compliance issues and challenges in proving the services provided.

Having streamlined operational processes is essential to meeting these obligations. A lack of structure in your day-to-day operations can result in noncompliance, which can harm your reputation and your business. But beyond compliance, managing cash flow efficiently is just as vital.

The area we most often see process issues for NDIS businesses is invoicing. Cashflow is the lifeblood of any business, and this is especially true in the NDIS sector, where services are often billed after they are delivered. If invoicing processes are not properly established, it can lead to delays in payments, which can severely impact cash flow.

Here are some common issues that arise when invoicing processes are not optimised:

• Inaccurate Invoices: If the details on an invoice such as service dates, participant information, or NDIS service codes are incorrect, the claim may be rejected by the NDIS portal. This leads to delays in payment and increases the administrative burden of resubmitting claims. For small businesses, waiting an extra few weeks for payment can mean the difference between meeting payroll and struggling to pay bills.
• Lack of Monitoring: Without proper systems in place to track submitted invoices, businesses can lose track of what has been paid and what is outstanding. This disorganisation can lead to missed payments, further compounding cashflow issues.

Setting Up the Right Systems from the Start

To avoid the above issues, NDIS businesses must establish clear operational and financial systems from day one. This means having software or tools in place to automate invoicing, track payments, and ensure compliance with NDIS regulations. It’s also wise to work with accountants or financial advisors who understand the specifics of NDIS invoicing, especially when navigating the NDIS price guide and service codes.

By having robust processes in place for compliance and financial management, you can ensure that your NDIS business operates smoothly, delivers the best possible care to participants, and that it maintains a healthy cash flow. Starting with the right systems will save you time, reduce stress, and help you avoid costly mistakes in the future.

At Lambourne Partners Consulting, we have extensive experience in assessing and reconfiguring business and financial processes for NDIS businesses. We have worked closely with a number of local NDIS providers, and our network of referral partners to turn around a number of businesses experiencing cashflow issues as a result of insufficient processes.

If you have concerns regarding your NDIS business or you’re looking to streamline your compliance processes, reach out to Ben Wilson below or on 02 4969 6600 for a confidential discussion.