Ozarks Capital Funding

A well-run temporary staffing company can be very profitable, but can also be cash-poor and thus unable to its bills on time, much less grow.  One of the biggest challenges of this industry is that the employees MUST be paid every week and the cash flow must be available to pay them.  Unfortunately, most clients don’t pay weekly.  Some slow-paying customers wait up to 60 days to pay their bills.  That leaves a major void in working capital that must be dealt with.  Obtaining bank financing can be difficult, especially during the credit crunch we’re now experiencing.

Invoice factoring is an ideal financial resource for the temporary staffing industry for several reasons:

• Accounts receivable factoring is easy to set up.  Funding can occur as little as a week after the application is received
• Funding is limited only by the pool of receivables that are available
• Most temporary staffing companies qualify, provided they do business with companies that are established and have good credit
• Factoring invoices provides stable and consistent cash flow, which allows companies to grow
• Fees are deducted from the reserve (the invoice amount less the advance)
• Personal guarantees are usually not required.

If you own a temporary staffing company and cash flow is an issue, we’d love to provide you a quote.  Just click here to download an application.