Accounts receivable finance is a popular type of staffing agency payroll financing in which firms sell their accounts receivable invoices for a fee to obtain immediate cash.
This option allows staffing firms to manage their agency’s cash flow in an industry in which employees and vendors are often paid weekly, while customers can take 30, 45 or even 60 days to pay.
However, while this type of payroll financing provides improved cash flow, it also helps improve your company’s bottom line.
More working capital means more money to pay down debt or make investments in your business, such as new equipment, facilities or employees. You can also invest that money in increased marketing, bringing awareness to your company and increasing customers.
Full-service factors take away the hassle of back-end administrative burdens such as paying employees, filing and paying payroll taxes, and invoicing and collecting from customers, allowing you to spend less time on mundane tasks and more time building and growing your business.
For information on how accounts receivable payroll financing can improve your bottom line, contact us here via form or call us at (866) 683-6729. You may also initiate the process of applying for credit for our payroll financing & factoring services by following this link.