Factoring is a widely used form of financial transaction where a staffing agency sells its accounts receivable to a third party called a factor at a discount. It is not uncommon for a business to factor receivable assets to meet present and immediate cash needs.
Factoring is commonly referred to as accounts receivable factoring, invoice factoring, and sometimes accounts receivable financing.
Cash flow is one of the biggest problems facing many industries—including staffing agencies—and we are able to assist our clients through these times.
Many factoring companies are backed by investment banks. The investment banks then dictate to factoring companies how much money may be advanced to the staffing agency for each medical facility.
When dealing directly with a bank that makes its own decisions, staffing agencies are not left waiting for a factoring company’s own bank to determine how much they will loan out.
At one point factoring used to indicate a sign of financial instability. Now it is a common, commercially acceptable transaction in all types of businesses around the globe.
Cash flow problems have prevented staffing agencies from targeting and signing up bigger clients. With financial support those situations do not exist anymore.
Staffing agencies can target larger accounts that were previously out of financial reach.
For more information please click here Funding Companies For Staffing Agencies or call 858-206-9219.
Company Name: Funding Companies For Staffing Agencies
Contact Person: Keith Hunt
Email: Send Email
Country: United States