Outsourcing company Total Back Office Solutions (TBOS) has launched a unique short-term funding product for recruiters who work with contractors.
Fund My Contractor is aimed at recruitment agencies – many of them start-ups – who require funding to place contractors but don’t wish to sign up to a long term finance arrangement.
It is aimed at recruiters working with contractors in many sectors including IT, healthcare, energy, engineering and telecoms.
This group includes:
- permanent recruiters who handle the occasional contractor
- recruiters who don’t want to sign up for a long-term arrangement with a bank or factoring company
- recruiters with a poor credit rating who are unable to secure a factoring arrangement
“In contract recruitment it is vital to have adequate funding in place in order to pay your contractors on time prior to receiving funds from your client,” says Stewart Roberts, operations manager at TBOS, which provides the recruitment industry with payroll management, timesheet processing, credit control and management accounting services.
“Fund My Contactor has been launched with this in mind. There is no long-term commitment, just a seven-day notice period, so you can access the service as you need it and you only pay for the weeks your contractors actually work.
“Better still, we administer all the contracts, invoicing, contractor payment and credit control process, leaving the recruiter to get on with what he or she does best – sell. Their contractors will be paid on time and we will pass on their profit on receipt of the client’s payment, minus our fixed fee.”
Stewart Roberts says the new service will also act as a start-up incubator within the industry.
“Typically when a consultant has four or five contractors on their books, they can start to think about setting up their own invoice finance arrangement and in this way, Fund My Contractor can help them to realise that ambition by establishing a track record in the contracting market before they get to that size.”
For further details please visit www.fundmycontractor.co.uk or call 0845 881 1112