When your staffing business runs in to cash flow problems and credit cards and family loans don’t cut it anymore, you have a few options to consider.
In staffing, often you end up choosing between traditional financing like a bank loan or other options like payroll funding for staffing agencies. While a bank line of credit may have attractive interest rates, here are some questions to consider before making a decision.
Does your bank know the industry?
Your bank and your portfolio manager might understand the nuances of your staffing firm’s revenue cycle – but then again, it’s just as likely that you are one business out of hundreds of others to them. At Advance Partners, we get staffing. We know that your cash flow needs can vary dramatically month to month, so we offer flexible services specifically tailored to the ebbs and flows of this unique industry.
What are the true costs of bank borrowing?
Comparing rates is not apples to apples without taking into account additional scrutiny, limited liquid capital and harsh credit limits or unexpected fees. Your true costs could be substantial if you don’t have the cash flow and credit limits needed to take on new business quickly and easily. A bank loan also has strict limits and restrictions, and doesn’t grow with you. What happens if a business opportunity opens up, but you don’t have the capital necessary to pursue it?
Your partner in growth.
At Advance Partners, our mission is to help staffing firms like you grow without limits. Consider us as an alternative option to bank financing.