Accelerate your payroll with confidence: faster funding for staffing companies.
Are your clients on terms of 30, 60 or even 90 days, leaving you without the needed income to close new business, start the next project or pay your staff?
We purchase your outstanding invoices, pay you right away and collect from your clients when the bills are due.
Submit your invoice
You submit your invoices to the factoring company along with any backup you may have to substantiate the invoice. Once the factoring company is able to verify that the invoice is good, they typically advance 80 to 95 percent of the amount of the factored invoices the same or next day.
Accrued Reserve
The accounts receivable factoring company holds the remaining 10-percent or $10,000 as security until the payment of the invoice or invoices have been received.
Payment Collection
The factoring company collects payment over the next 30 to 90 day period depending on your customer’s payment terms.
Final Payment to You
Once the payment has been received, the factor pays you (the seller of the invoices), the remaining ten percent, less the factoring fee, which typically runs one-percent to three-percent of the total invoice value.
The percentage of the invoice value that the factoring company will advance to your business. Generally our payroll funding clients are advanced between 90%-95% upfront.
This can depend on customer creditworthiness, concentration and other risk factors.
This is the fee charged by the factoring company. It is deducted from the invoice when the payment is received.
Example:
If the invoice value is $100, advance is 90%, and the factoring fee is 1.5%, your business will receive $90 today and $8.5 when the bill is collected.
The key benefit of payroll funding is that a business owner will always have access to 90%-95% of billed hours before payroll is run.
This way, you can continue to grow your temporary staff without being held back by cash flow restrictions.
Leave your contact info and our representative will reach out to you or simply call us at (877) 648-3709
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