Many businesses across the healthcare, veterinary, and med spa industries, among others, need medical-grade oxygen in compressed gas form to operate.  When it comes to essential expenses, it’s easy to take the number on your invoice at face value. You pay what you need to pay to keep things running. 

But how do you know you’re paying a fair price for your medical-grade oxygen? In this article, we take a look at some of the variables that might be impacting your invoices. 

A lot factors into your compressed gas bill. 

What a business or practice might be paying for compressed medical-grade oxygen is dependent on a number of different conditions. Some of those include: 

• Your location 
• Whether you have a set contract 
• Whether your deliveries are scheduled 
• Whether your delivery schedule is optimized to your usage needs 
• Whether you own or rent your tanks 
• Additional fees and service charges levied by your provider 

Without all these variables being considered, there’s a chance you might not be paying fair or best-in-class rates for your compressed oxygen. 

Location is everything.  

Depending on the location of your operation, the cost of medical-grade oxygen may vary. There are several reasons for this, including regional market rivalries, local laws, and delivery distances. Many of these things will ultimately be out of your control. 

Your contract determines your prices. 

A contract may protect you or it may harm you. If you’re locked in at great prices, contracts can keep your rates consistent and fair. If not? They can saddle you with inflated rates and cancellation fees if you choose to look elsewhere. Understanding your contract, if you have one, is paramount. 

Proper delivery scheduling saves you money. 

As one industry expert explains, “for some businesses, the cost of running out of oxygen is perhaps higher than any other cost. If you’re using delivered oxygen to support the life of animals (e.g. in a vet facility), or aquatic life (in a fish farm), running out unexpectedly could result in a significant financial loss.” 

Ensuring your delivery schedule matches your usage is critical. Running out of gas, as previously mentioned, is not an option. If it does happen, calling for an expedited delivery will cost you far more than a scheduled one. 

Owning vs. renting. 

There are different considerations for price with owning versus renting oxygen cylinders. On the one hand, renting comes with regular fees. On the other hand, purchasing comes with an upfront investment, as well as replacements or repair over time. Likewise, some providers will deny refill service if they deem your tanks unsafe, so maintenance is very important.  

Are you being charged additional fees? 

Some providers of medical-grade oxygen may charge additional fees as part of your invoice. Whether or not these are standard or fair depends on each scenario. Understanding these fees is important to your budget and ensuring you’re not overspending.  

In conclusion… 

Your operation depends on compressed medical-grade oxygen. But are you confident that your bills are set up in your best interest? With all the factors that comprise your invoice every pay cycle, it’s easy to lose track of what is optimal.