10-01-2008
Recruitment Agencies - Wave Goodbye to Admin
For a small recruitment business, particularly a company with fewer than nine employees, resources are precious.
Administration and chasing slow paying customers can stifle a start-up firm and prevent it from fulfilling its potential. But with the right products, you can overcome the mountain of paperwork and focus on the issues that matter.
1. Let someone else chase payments for you
With invoice finance, you need only focus on generating the business and providing the service they require. Your provider will:
- check your client's credit histories for you
- pursue them for payment
- provide you with up to 90 per cent of the invoice value as soon as the next day
There are two types of invoice finance – factoring and invoice discounting. Either can help take the administration involved with invoices off your hands.
Factoring is the ideal solution for a small company keen to get the most from its employees:
- you will make savings by not having to employ a designated sales ledger
- you will receive invoice payments immediately, aiding cash flow
- your lending levels will be based on the credit levels of your clients
2. Use plastic, not paper
With a business credit card, you can take immediate, flexible financial control of your small company, saving time and money in the process.
By adding supplemental cards to your account for your employees:
- you can minimise the use of cheques, which will simplify budgeting
- you will remove the need for traveller's cheques on overseas trips
- you can impose spending limits for your employees
- you can have types of expenditure itemised for you, for VAT purposes