The recruitment industry is constantly expanding and is competitive. Recruitment finance is related to working capital finance. It functions to fulfill the needs of businesses in the recruitment industry. Recruitment agencies offer both temporary and permanent placements. Some recruitment agencies offer both the services to candidates.
This process advances cash and supports processing, payroll and credit control demands. Hence, recruitment finance relieves the stress of cash flow and the tedious payroll process.This concession allows your business to run smoothly and lets you relax and concentrate on your business.
Recruitment finance is offered in two ways,
- Temporary Finance
- Permanent Finance
Temporary Recruitment
Temporary recruitment finance supports a multitude of recruitment companies to harness their cash flow. Usually a business can get 90% of the value of their invoices within 24 hours.
Permanent Recruitment
Permanent recruitment finance can facilitate permanent placement invoices. Usually, only the invoices that cannot be disputed gain funds. The agency would first review the contract between the business and their debtor and generate cash flow accordingly.
What are The Benefits of Recruitment Finance?
Recruitment finance is an ideal solution for any business that needs a hand with back office administration and working capital. Here are its main benefits.
- Release of cash within 24 hours of the first payroll.
- Less cost compared to an overdraft facility.
- Allows you to provide credit terms to your customers. This attracts more customers to your business.
- Allows you to pay bills and salaries with ease.
- Enhances the growth of the business by removing the stress on administration and cash flow.
