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• 02 Dec

  Sole Debtor RPO Funding For Healthcare Recruiter

  

  Healthcare recruitment is a sector in which we have been able to help many businesses with their cash flow. A facility that we recently completed was to provide funding against a sole RPO debtor, a healthcare recruiter. They were seeking finance against their sales invoices to help finance further growth.

  Recently, we have enjoyed some success in helping people who need invoice finance against neutral vendors (umbrella recruiting organisations).

  Healthcare Recruiter For Temporary Staff

  In this example, our client was a small but expanding healthcare recruitment company that only had one customer, and didn't anticipate that changing in the near future. Often invoice finance companies dealing with recruiters will accept single debtor situations on a temporary basis. However, very few will accept a client where that situation is likely to persist.

  Types Of Customer For Staff Placements

  This recruitment company provides staff on both a temporary and a permanent basis to end customers such as:

  • Medical organisations
  • NHS trusts & community trusts
  • GP surgeries
  • Nursing homes & residential homes

  However, that labour was being provided via an intermediary organisation, called a neutral vendor. They take care of all the staffing requirements for large organisations that don't want to deal with numerous small staff agencies. This leads to the "prime debtor" issue that can be a problem when seeking invoice financing against your sales invoices.

  Types Of Staff Being Placed

  The types of staff being provided include:

  • Allied health professionals
  • Healthcare assistants (HCAs)
  • Registered nurses (RNs)
  • Registered midwives (RMs)

  Sole Customer Invoice Finance

  In this case, our client had a sole debtor. This reliance upon a single debtor may be a problem for many invoice financing companies, especially when the situation is not likely to change in the near future. However, we have funders on our panel that can help in those situations, providing invoice finance against sole debtors.

  By Glenn Blackman