🇦🇺Australia

Churn from Payment Plan Disputes

1 verified sources

Definition

Families must be notified 14 days before fee changes affecting payment plans; failures lead to dissatisfaction and enrolments not maintained.

Key Findings

  • Financial Impact: 10-20% annual client churn; AUD 5,000-20,000 lost revenue per withdrawn family position
  • Frequency: Per policy change or dispute
  • Root Cause: Manual communication and tracking of notices/payment plans

Why This Matters

The Pitch: Child Day Care Services in Australia 🇦🇺 lose 10-20% clients annually to payment friction. Automation of notifications and plans reduces churn.

Affected Stakeholders

Nominated Supervisor, Families

Deep Analysis (Premium)

Financial Impact

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Current Workarounds

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Methodology & Sources

Data collected via OSINT from regulatory filings, industry audits, and verified case studies.

Evidence Sources:

Related Business Risks

Delayed Gap Fee Collections

20-40 hours/month admin time; 5-10% uncollected fees per family leading to AUD 500-2,000 annual loss per non-paying family

Unbilled Subsidy Gap Fees

2-5% revenue leakage per family; AUD 1,000-5,000 annual per service from waived/missed gap fees

Licensing Late Fees

AUD 1,500+ per centre (15% penalty on typical AUD 10,000 annual fee after 30 days late)

Delayed Operations Start

AUD 100,000+ lost revenue per centre (assuming 50 places x AUD 120/day x 120 delayed days)

CCS Approval Denial

AUD 50,000+ annual per centre (20-30% revenue from CCS subsidies)

Nicht abgerechnete erstattungsfähige Mahlzeiten durch Zählfehler

Quantified (LOGIC): 5–10 % der erstattungsfähigen Mahlzeiten werden nicht abgerechnet, typischerweise AUD 5.000–20.000 pro Jahr pro Einrichtung an entgangenen Erstattungen.

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