Factoring Companies for Staffing Agencies
Consistency From Start to Finish...
When Joe Fisher spun off Galileo Staffing Services from a sister company, the access to easy credit they were used to also disappeared. "We have substantially high volume customers with slow payment terms; being a staffing company, supporting weekly payroll was paramount. Staffing factoring companies are abundant, but we quickly became comfortable with Gateway Commercial Finance."
Since Gateway's inception, prospects have always dealt with a decision maker, no salesmen, sales managers, or credit committees to blur the communication between business owners. "After our initial conversation, we knew we had the right partner to support our needs. They did everything they said they would when they said they would do it. I appreciate that in a business partner!"
...Talk is Cheap
Pick the Best Staffing Factoring Company
Whether launched from scratch or spun off from another firm, businesses in the staffing industry often face significant hurdles when it comes to managing working capital. Staffing firms operate in an industry with extended payment terms on a regular basis. Your staffing agency invoices may not get paid for weeks or months, but you still need money to cover payroll costs, vendors, and other financial obligations.
With invoice factoring services, you get cash fast, almost as soon as you issue a new invoice. That can help you keep the business running, and it can eliminate the painful wait for invoices to get paid.
Get Reliable Working Capital With Invoice Factoring for Staffing Companies
Invoice factoring can be an effective payroll funding solution to overcome those long pay cycles. With factoring, a partner company - called a factor - provides your temporary staffing company with upfront cash as an advance on your outstanding invoices. Those advance rates are often as high as 90 percent.
Your customers then pay the outstanding balance directly to the factor. Don't worry, though. Experienced invoice factoring companies will have the factoring process to protect your privacy. Your customers won't know they're submitting payment to a third party. Once the factor receives payment on a client invoice, they keep a small factoring fee for their services and then forward the balance to you.
Not all Staffing Factoring Companies Are Alike
As Joe mentions, it's essential to have the right factoring program for your staffing business. There are many factors out there, but not all have the wide range of resources, experience, and infrastructure needed to provide you with the customer service, funding, and discretion you need.
One thing to look for in a factoring company for your staffing agency is how easy it is to talk to a decision maker. At Gateway, our customers always speak directly to decision-makers. You won't talk to a salesperson or sales manager. There's no credit committee that blurs the decision-making process.
Instead, you speak directly to the payroll factoring expert who will decide whether your customer invoices will be approved and factored. That access is important because it gives you the transparency and insight you need to make cash flow decisions.
At Gateway, we're also transparent about our process and fees. You'll always know our collection process and how we protect your privacy, so your clients don't know that a third party is involved. You'll have clear guidance on when you will receive your funding, how we process payments, and what your net pay will be.
Cash Flow is Essential To The Staffing Industry
Staffing can be a lucrative industry, but only if you have the proper inflow of working capital to pay your temporary employees on time. You want to work with a payroll funding company that partners in your cash flow success. They provide the information you need to make sound planning decisions and have processes in place to protect your relationship with your clients.
Factoring may be the right funding solution for your growing business. However, take the time to do your due diligence. Ask good questions and ensure you're talking to a funding decision maker, not a sales rep. With the right partner, this service can help you overcome even the toughest cash flow challenges and keep your business running smoothly.
Get The Best Funding Partner for Your Staffing Agency Invoices
Our programs for the staffing industry are created to guarantee reliable working capital for temporary employment agencies.
- Factor your staffing invoices and get same-day funding
- Get flexible terms and competitive factoring rates
- We offer factoring lines of credit up to 10 million dollars and negotiable staffing factoring agreements
- Get an almost instant cash flow boost to pay your temporary workers
Pay your permanent staff and temporary employees on time and never run out of money again. Request a factoring quote or contact us today at 1-855-424-2955. Our managing director will get in touch with your right away.