Private equity firms, like any business, are constantly looking for ways to save money and more efficient ways of investing money. Paying higher than necessary telecom invoices accomplishes nothing toward these goals. Telecom invoices are not always easy to understand, but by learning how to discover what the charges are you may find areas where your company is spending too much and could save money in the future.
Monthly Recurring Charges (MRC’s)
The MRC’s are going to determine the base rate on your standard telecom bill. These are what you spend every month for the services you need, or think you need and have ordered whether you use it or not.
There may not be much you can do to change this part of the invoice, however, it never hurts to look into it and see what you’re paying for and determine how much you need each service. Since this portion of the bill often bundles several services together, it may take some investigation to determine what you’re paying for exactly. It may be that when you first set up the service some features that you don’t really need were included, but now you’re being charged extra for them. You might even find you’re paying for services you thought your company would need although none of the employees actually use them.
Telecom Overage Charges
Overage charges are what you spend in addition to the base rate that covers the basic services provided by the telecom provider. This can include minute or data usage and text messaging services. Additionally, there may be non-recurring charges, one time fees to cover set-up and installation fees, service charges, or other out of the ordinary expenses.
If these charges seem to be adding up each month, check with your service provider about options to increase your usage under a standard rate that may save money in the long run. In many cases paying a higher rate for premium services can reduce your overall telecom invoice each month.
Third Party Billing
Third party billing is when another agency uses the telecom provider as a billing agent to charge for separate services. These fees tend to be hidden and charge for services you weren’t aware of, often because you aren’t even using them. These bills can be explained and sometimes negated by a simple call to your provider to discuss the matter.
The only way to reduce these fees is to go over your telecom invoice each month and check for any discrepancies between the total bill, the individual portions of the telecom invoice, and your expectations as to what the service should be costing you. Some parts of the invoice are difficult to understand, but you should call your provider and check on any fees or charges that don’t seem to make sense. It may turn out that you can reduce the overall monthly bill by eliminating the particular services you rarely or never use. It may be that you discover a different service plan that not only costs less but better serves your company’s needs. You’ll never know unless you do the research and determine you are in fact using the best plan for your company.
[author_bio username=”Ken” name=”yes”]