Staffing agencies play a vital role in connecting businesses with the talent they need, but managing cash flow can be challenging. Invoices often have long payment terms, while agencies still need to pay employees on time. Staffing factoring, also called invoice factoring for staffing companies, provides a solution by turning outstanding invoices into immediate cash.

What Is Staffing Factoring?

Staffing factoring is a form of accounts receivable financing where a factoring company purchases your unpaid invoices at a small fee, giving your staffing agency immediate access to working capital. This allows you to pay payroll, cover operational expenses, and continue growing your business without waiting for clients to pay.

How It Works:

• Your staffing agency completes a placement or contract.
• You submit the invoice to the factoring company.
• The factoring company advances a percentage of the invoice (usually 70–95%).
• Once the client pays, you receive the remaining balance minus the factoring fee.

Key Benefits of Staffing Factoring

1. Improve Cash Flow

One of the biggest challenges staffing agencies face is balancing payroll with client payments. Factoring provides instant cash, ensuring your team is paid on time without straining your resources.

2. Scale Your Business

With predictable cash flow, staffing agencies can take on larger clients, hire more recruiters, or expand into new markets. Staffing agency financing removes the cash constraints that can limit growth.

3. Simplify Financial Management

Factoring companies often handle collections and invoice management, reducing administrative work for your team and letting you focus on client relationships and placements.

4. Access Flexible Funding

Unlike traditional loans, invoice factoring for staffing companies doesn’t require long-term debt commitments or perfect credit. Funding is based on your invoices, making it easier for staffing agencies of all sizes to qualify.

Why Staffing Agencies Choose Factoring

Staffing agencies thrive on speed and reliability, and cash flow disruptions can have a big impact. Staffing factoring ensures your agency has the working capital it needs to operate smoothly and take advantage of new opportunities.

How Single Point Can Help

Single Point Capital provides tailored staffing factoring solutions designed to keep your agency running smoothly. We advance funds on your invoices quickly, handle collections, and provide flexible financing options that grow with your business. With Single Point, your staffing agency can focus on placing talent and serving clients while we manage the cash flow.