Expedite Cash Flow and Grow Faster Factoring Staffing and Temp Employment Invoices
Staffing and temp agency factoring services lead to faster growth. More so than in many other industries, firms such as temporary employment and staffing agencies must lay out a considerable amount of money long before associated revenues are realized.
For instance, long before customer payments come in, an agency may have already spent a significant amount of money on advertising and marketing activities necessary for attracting job listings and candidates, on pre-employment screenings, to fund payroll on successful placements, and in meeting agency overhead and operating expenses.
Employment agencies may find cash flow depleted to the point that growth stalls while they wait for clients to remit payment on open invoices.
Low or inadequate cash flow can slow agency growth with the result being an agency which might then be unable to take on new business, cannot pursue larger, potentially more profitable client accounts, and lacks the capital needed to quickly take advantage of emerging opportunities. This problem can be further exacerbated when strategic marketing decisions are made to extend longer payment terms to staffing and temporary employment clients as a competitive advantage.
Temp agency and staffing factoring companies offer a financial tool that can immediately speed up agency cash flow, by funding client invoices as soon as they are generated. Instead of waiting weeks – or even months – for clients to pay, employment agencies that factor receivables can receive same day funding on client invoices while still extending favorable terms to their clients.