It's not uncommon for a growing business to get held back by cash flow gaps. Credit terms on invoices of 30, 60 and even 90 days can severely impact a business, restricting their ability to manage orders, hire new staff and generally expand their operations.
The recruitment industry is no exception. Recruiters who manage a contractor have the inherent problem of having to meet their own payroll before the client organisation pays them. Many recruitment companies, as well as outsourced payroll firms turn to payroll funding to deal with this unwelcome cash flow gap.