Factoring for Medical Staffing Agencies

By PRN Funding

Factoring is a method of business funding that helps solve your cash flow dilemmas. When your customers are paying too slowly or your business is growing so rapidly that it’s hard to keep up, factoring invoices provides the cash to get your company back onto its feet. The invoice factoring process uses the unpaid invoices that are sitting on your books and exchanges them for a cash advance.

What is Medical Staffing Factoring?

When medical providers and clients pay on extended terms that can last up to 60 days or beyond, covering payroll can be close to impossible at times. Without the right amount of cash at the right time, your business is stuck in one spot. Medical staffing factoring benefits you because it cuts the time it takes to get your cash down to as little as 24 hours. Plus, there are no long term requirements, no minimum or maximum invoice amounts and affordable rates.

Invoice Factoring Benefits Medical Staffing Agencies

Medical staffing agencies choose invoice factoring for multiple reasons:

Covering payroll Keep up with rapid growth Purchase materials and supplies Create a consistent cash flow Pay expenses Get more clientele Avoid accumulating debt

Reasons Medical Staffing Agencies Factor

Since no two medical staffing firms are alike, it’s important to have services that fit your needs. That’s why recourse and non-recourse factoring options exist. Recourse factoring is a less expensive option in which your company remains liable for paying the invoice off if your customer fails to pay. In non-recourse factoring, the factor takes on all the risk if your customer fails to pay, freeing you of any liability, but comes with a higher fee.

Recourse vs. Non Recourse Factoring for Medical Staffing Agencies

The factoring process for medical staffing agencies is easy to follow.

1. Continue servicing your customers2. Forward your invoices to the factor3. Approval will be based on your customer’s credit4. Your company gets a cash advance upon approval5. The factor company holds a portion of the invoice amount in

reserve6. Your customer pays the factor company7. Once paid, the reserve is released back to you, minus a small

factoring fee

The Medical Staffing Process

What distinguishes PRN Funding from other financing institutions is our medical industry expertise. Thanks to decades of healthcare experience, we can offer customized funding solutions to grow and sustain your healthcare business. Learn more about the benefits of invoice factoring for medical staffing by calling 216-504-1000 or visiting www.prnfunding.com.

About PRN Funding