Staffing companies face a unique dilemma: you need to pay your workforce weekly, yet you often must wait up to 90 days for your customers to pay you. That results in a cash flow crunch. When traditional bank financing is not an option, our Payroll Funding option can help because we rely on the creditworthiness of your customers, not the financial strength of your company. We finance your payroll so you can hire more employees and continue to take on more business.
For clients looking to outsource administrative responsibility, we also offer services including invoicing, credit and receivables management, and payroll and related tax processing. Our full-service option includes access to industry-leading software designed specifically for staffing companies to save time and hassle. It features robust talent management tools and simplified payroll processing including employee and client access. General staffing agencies as well as those serving a particular industry such as the healthcare, information technology or manufacturing segments can benefit from payroll funding.
Similar to Accounts Receivable Funding, Millennium purchases your invoices and immediately advances funds to you, giving you upfront cash to pay your employees and take on more business. It offers more flexibility and availability than traditional bank financing.
Q. What is payroll funding?
A. Millennium purchases your unpaid accounts receivable and advances you a percentage of your invoice so you can have more flexible cash flow to meet payroll – essentially converting unpaid invoices into immediate cash. It’s a popular financing tool which offers more flexibility and availability than traditional bank financing. Millennium also offers full payroll administrative services and talent management software for companies seeking to outsource.
Q. Who benefits from payroll funding?
A. General staffing agencies as well as staffing agencies serving a particular industry such as the healthcare, information technology or manufacturing segments can benefit from payroll funding.
Q. How is it different than a bank loan?
A. Payroll funding is more flexible, and approval is based on the creditworthiness of your customers, not your financial performance. In addition, bank loans can take months to be approved and are often for a fixed amount which may limit your growth.
Q. Do you work with start-ups?
A. Yes, in fact this is a great funding solution for start-ups who don’t have the credit history a bank requires.
Q. What about paperwork?
A. Millennium Funding offers an optional solution for clients looking to outsource administrative responsibility such as full payroll services including invoicing, credit and receivables management, and payroll and related tax processing. It also includes robust talent management software featuring tools to build talent pipeline, cross-platform resume search capabilities, online job applications and more.
Q. Will my clients know I’m working with Millennium?
A. No. We work as an invisible partner, and if we need to call your customers we do so under your name.