Full-service versus money-only payroll factoring

Most factoring companies offer two payroll factoring options: money only and full service. Money-only factoring is strict payroll funding without any additional services. With full-service factoring, the factor provides administrative support, including filing payroll taxes, sending invoices, paying temporary employees and making collections. Both options have their merits, and your choice depends on your staffing […]

Why is payroll factoring an effective form of financing for small businesses?

Payroll factoring is a perfect form of staffing agency finance for small businesses because the process is quick and easy. In payroll factoring, you sell your accounts receivables invoices for a fee to obtain immediate cash. Your clients then pay the factor. This type of staffing agency finance allows you to manage your agency’s cash […]

Limitations of Bank Payroll Funding

When you’re starting a staffing agency, a bank is often the first place that comes to mind when you’re looking for payroll funding. However, just because banks are the traditional means of finance doesn’t mean they are the right option for your business. There are several downsides to bank payroll funding.   It takes time. […]

What to Look for in a Factor

Deciding to pursue temp factoring is the first step, but what should staffing firms, including those who are starting a staffing agency, look for in a factor? Bruce Friedman, Business Services & Outsourcing Partner at BDO, recommends asking peers within the staffing industry for referrals. “Ask around and see if you know somebody who has used the […]

Why is payroll factoring better than a small business credit card?

When your staffing firm has a cash flow issue, it may seem like an easy fix to reach for the plastic. However, there are downsides to using small business credit cards. Credit cards require a great deal of personal management to stay abreast of changing terms, interest rates and even perks. Your business credit card […]

6 questions to ask your payroll factor

Not all payroll factors are the same. Some operate only within specific industries, and the rate advance can vary. When reviewing payroll factoring prospects, ask these six questions to gain valuable information to make an educated decision. 1. How can I be assured my company will receive funds? Your staffing firm needs steady cash flow, […]

Payroll outsourcing: your invisible partner

Staffing firms are busy doing what they do best — interviewing candidates, selling staffing services to potential clients and marketing their firm to those potential clients — all while keeping one step ahead of the competition. Full-service payroll funding for staffing companies serves the role of an administrative branch of the staffing firm.   Virtually […]

5 hidden benefits of outsourcing payroll

While the main benefit of payroll outsourcing services — continuous cash flow to help you pay your employees and other related parties — is obvious, there are many hidden benefits you may not realize. Full-service payroll funding companies:   Fund and process all of your payroll. This is one of the main advantages of outsourcing […]

The value of outsourcing payroll services

A TemPay client in Indiana was doing approximately $10,000 per week in sales prior to using the payroll funding company’s services. It had self funded the firm by maxing out credit cards to continue to maintain a limited client base. The client found itself unable to grow due to a lack of capital, as it […]

What payment options are available for my clients?

At TemPay, we make the customer payment process both simple and safe. There are many convenient payment options available for your staffing customers to pay their invoices.   Automated Clearing House/electronic funds transfer payments is a direct deposit method of remitting payment directly to TemPay’s bank account. It is inexpensive, with the cost varying from […]