Maximizing Capital Retention: Why Senior Living Should Only Pay Single-Digit Fees for Telecom Savings
The Financial Imperative: Finding Cash for Core Care
The Senior Living industry operates on thin margins. Every operational dollar is fiercely contested, needed for everything from rising staff compensation to essential technology upgrades. In this environment, cost optimization isn't a luxury—it’s a direct source of capital that fuels your mission.
The challenge is simple: where is the safest place to find money that doesn't risk patient care or staff morale?
The answer lies in Telecommunications Expense Management (TEM). Fixed, recurring bills for internet, VOIP, and data are often bloated by outdated rates, billing errors, and unfavorable contract terms. Industry data shows this category consistently offers a high savings potential, often around 20% to 30%.
But securing these savings requires specialized expertise and, critically, a transparent partnership model.
Understanding the Consulting Fee Landscape
When executives decide to hire external help to capture these savings, they are usually presented with two common models, both of which erode the client’s financial return:
1. The Global Transformation Firm (High Cost, Wrong Scope)
The largest consulting firms focus on massive, company-wide restructuring or system integration. Their fees are typically high, fixed, or tied to complex service agreements that demand a huge financial commitment. This model is often too slow and too expensive for the targeted goal of cutting fixed monthly expenses. They create a significant scope mismatch for a task that requires specialized, detail-oriented work.
2. The Generalist Contingency Specialist (High-Rate Trap)
This model is popular because it’s risk-free: you only pay if they find savings. However, generalist firms often audit many areas (waste, utilities, insurance, telecom) and need to charge a high rate to subsidize that broad scope.
The industry standard for these specialists often ranges between 40% and 50% of the total savings achieved.
Why is this a trap? Because it forces you to give away nearly half of the money that was rightfully yours, money that should be going back into your staffing or resident technology programs.
The Insights Telecom Consulting Difference: Specialized Focus, Maximum Retention
Insights Telecom Consulting was founded on the principle that the client should retain the vast majority of the savings found. We believe a fee structure should reward expertise while prioritizing the client's financial health.
Our model is built on two core advantages:
Specialized Focus: We focus exclusively on telecommunications. This deep domain expertise means we know exactly what carriers are charging right now, how to interpret the fine print of every contract, and where to find hidden errors like incorrect fees, taxes, and duplicate services. This allows us to achieve significant savings (we average a 20% cost reduction for our clients ).
The Single-Digit Fee Structure: We don't charge a high percentage of savings over the life of the contract. Instead, our fee is calculated as a one-time charge equal to three times (3x) the verified monthly savings once the new, lower rates are in place.
For a typical 36-month contract term, this transparent, low-multiple fee averages out to approximately 8% of the total savings we capture for you.
The Economics of Net Retention: How We Help You Keep Your Cash
The difference between paying a typical 45% fee and paying an 8% fee is the difference between a minor budget correction and a significant financial windfall for your organization.
Let’s look at the financial impact of $100,000 in total savings captured over a 36-month term—money your organization was needlessly overspending.
Comparison
By choosing a model that prioritizes your retention, you immediately get $36,667 more capital to work with.
That $36,667 is not a hypothetical profit. It’s money you can use immediately for mission-critical purposes:
Staffing: Fund a raise, bonus pool, or enhanced benefit to attract and retain high-quality clinical staff.
Resident Care: Fund essential safety technology or connectivity upgrades.
Asset Protection: Stabilize the operational budget, directly boosting the property’s financial performance and value.
We handle the painstaking work that nobody on your staff has the time, patience, or expertise to do—the hours on hold, the line-by-line contract dissection, and the detailed auditing of every tax and fee. But we ensure that the financial reward for that work stays where it belongs: supporting your residents and staff.
Ready to stop giving away your savings? Contact us today for a transparent, no-disruption review and see how much capital you can immediately put back into your mission.