Invoice Finance for Recruitment Agencies
Recruitment Invoice Finance is a funding solution for recruitment agencies. At Invoice Funding we are well versed in aiding recruitment businesses with a recruitment invoice finance facilities that will certainly meet the distinct necessities of your business. Invoice Factoring or Invoice Discounting can be in place for the recruitment agency within 48 hours with funds available for draw down within five working days. Recruitment Invoice Finance is the perfect fit for any agency that needs funding to expand their recruitment business.
What we offer to the recruitment business?
If you run a recruitment agency or supply temps, you will be familiar with ‘negative cash flow’. Staff are paid weekly or monthly but when you’re regularly having to wait for clients to pay it, it can leave you vulnerable to a shortfall leaving your, business constantly hungry for cash. The more you grow your business, the greater the problem. But using invoice finance for recruitment is ideal when it comes to bridging the gap between expenditure and income, alleviating the pressure on your cash flow.
Recruitment companies generally need to pay service providers weekly however will normally only get paid monthly. To smooth capital and guarantee that earnings can be paid in a prompt fashion most recruitment businesses will make use of some kind of invoice finance. However, there are several options available:
Recruitment Funding Services
Along with finance at 100% prepayment a complete back office solution gives extra services as the name advises. This can be superb for brand-new beginning or small business that has no or limited back office infrastructure. It allows this function to be outsourced to ensure that you can concentrate on what you do best – expanding your recruitment company.
Recruitment Invoice Factoring
Invoice Factoring is available to both temporary and long-term recruitment businesses. It offers up to 90% prepayment against the gross worth of the outstanding invoices.
As providing finance it additionally provides outsourced credit control making sure that the invoices are gathered in a timely fashion. Invoice factoring can be both private or disclosed. Invoice Factoring is easily available to agencies of all sizes and this consists of new beginning recruitment companies.
Client Handles Own Collections is readily offered for both recruitment businesses. It is basically a kind of factoring facility however instead of the factoring business doing the credit report control you manage your own credit control. Invoice factoring offers recruitment agencies a low cost funding solution to help with cash flow.
Recruitment Invoice Discounting
This merely provides up to 90% prepayment against the gross value of your outstanding invoices. There are no added solutions but credit protection can be included if requested. There is no credit rating control service so you are accountable for chasing your own invoices. Invoice discounting can be the most cost effective kind of invoice finance as it stands for the lowest workload for the lender.
A huge well developed recruitment business with a robust back office might choose for invoice discounting to fund it’s temps book since it could be confidential and merely supplies the finance they need to pay salaries.
Recruitment Invoice Finance
There is no one size fits all finance solution which is good news as it suggests that you could structure a facility to meet the specific necessities for your company. This can always be changed as the distinct characteristics, size and capabilities of your recruitment agency.
However, I have actually likewise seen big recruitment businesses planning to lessen their fixed costs. They therefore select a fully outsourced back office solution that gives payroll, invoicing, credit control and the management of PAYE and NIC.
As a new beginning employment agency business you may determine that at the very least you desire to outsource the credit control. Invoice factoring might be your option or a completely outsourced back office solution could be ideal to allow you concentrate on sales.
Get a Quotation for your Recruitment Agency
Invoice Funding are a leading Invoice Factoring broker in the UK. We have sourced funding for more than 200 recruitment agencies since we started trading in 2010. We deal with all the invoice funders in the UK and can ensure you get the best quotation for your recruitment agency.
We will work with you to understand your business and its needs to put you in contact with a factoring company that will not only be the right fit for you but can offer you the best deal on the market.
If you would like a quotation for Invoice Factoring for a recruitment company please view our website and complete the online enquiry form.