As of this writing, on a weekly average, there are more than three million employees that work on a contract or temporary basis for staffing agencies. That is why it is crucial for every staffing agency to have access to cash flow that is steady. Many of these agencies deal with troubles like waiting for their customers to make payments. Even a seven-day wait can be a major issue for these agencies. The moment these agencies must make weekly payrolls, most of them often fall short in terms of cash.
In this cut-throat world of staffing agencies, to survive, you need to have a working capital that helps meet all of your business obligations like payroll deadlines. If your working capital is insufficient, you end up missing out a lot when it comes to opportunities for business growth. Going to companies offering payroll funding assistance may be the best step that you can take if your staffing agency always falls short on cash. A professional payroll funding service ensures that you meet your payroll so that you can focus on expanding your agency.
It is vital that you take the time to understand how payroll funding functions before you choose to get help from companies that offer them. Payroll is something that every staffing agency owner must make sure to meet. That is why you have many options when it comes to payroll funding. Whatever your payroll needs, you will find professional companies that will offer you a customize program for payroll funding. See page on how payroll funding works and for more info.
When you get payroll funding services, you will send your invoices directly to the payroll funding company and not your customers while waiting for payment. In return, the payroll funding company will give you the advance for your invoice total on the same day. Within 24 hours, they will be depositing the fund directly into your bank account. When your customer makes an invoice payment, you will then get the remaining amount minus the transaction fee.
By choosing your payroll funding service provider right, you can expect to pay lower rates, which even goes lower when your staffing business expands.
Besides steady cash flow, there are more benefits to obtaining payroll funding. For starters, you gain confidence in meeting your weekly payroll requirements. You get to save more time too when you choose to get payroll funding services. For some of these companies, they can offer streamlining of processes for your staffing agency in terms of collection and invoicing. So, if you want to save more time, be sure to go to a payroll funding company that provides you an array of back-office support services. Some examples of these services include collections, accounts-receivable management, risk assessment, credit analysis, and treasury services.
Lastly, seeking payroll funding services enables your staffing agency to grow. Now, accepting new contracts is possible with their assistance.