Say goodbye to cashflow pressures by invoice factoring for recruitment agencies
Maintaining constant cashflow can be a complex issue for contract recruitment agencies, especially when you need to pay contractors in 7 days whilst potentially waiting weeks for client payments.
Invoice financing, including invoice discounting and recruitment company invoice factoring, are solutions that provide a simple and effective cashflow solution, by releasing a percentage of fees due to you almost immediately after billing.
With recruitment factoring, you ‘sell’ your invoices to us for a competitive percentage of their face value and we then undertake all ledger management and debt chasing, so you don’t have to. Factoring invoices for recruitment agencies is preferred by invoice finance providers for new start ups and international invoicing and is common place in the industry.
Invoice discounting provides a second option. Here you can draw down a percentage of your fees straightaway, but you retain responsibility for your invoicing, sales ledger and credit control.
Whether you’re a start-up or established recruitment agency, TBOS can help you structure the right invoice finance solution or renegotiate your existing facility to secure a better deal. Invoice factoring for recruitment companies means that agencies can grow without having to use their own funds and the facilities are tailored to grow as the business grows.
But reducing cashflow pressure isn’t just about the facility. Outsource your back office to us, including credit control, payroll and timesheet processing, and let us run your finances at peak efficiency and manage the day-to-day process of your recruitment invoice factoring arrangement.
This includes reconciling your accounts and dealing with your clients, contractors and invoice funding provider to solve any issues, achieve prompt payments and maximise cashflow.
If you would rather be dealing with clients and making more placements than with paperwork, staff costs and back office issues, TBOS is the way ahead.
Contact us to learn how to set up your own invoice finance arrangement.