Case Study Funding Against A Neutral Vendor For A Recruitment Business
FundInvoice were recently able to assist an established recruitment business, with an annual turnover of £1.8 million. The company were already using a factoring facility, which was provided by one of the large bank-backed factoring companies.
Funding Against Invoices To A Neutral Vendor
The prospect company was experiencing funding restrictions because the bank was unable to provide adequate funding against their prime debtor, a neutral vendor company - also known as an RPO.
This is a funding issue that we come across before and we were able to introduce the prospect to a factoring company (backed by a well-known bank) that we're able to offer a significant improvement in the concentration limit against the RPO. This flexible approach released further funds for working capital, proving that not all factoring companies are the same.
Further Resources
Blog Post - Recruitment Factoring Companies
Article - Funding Against RPOs
