When your nurse staffing agency bills clients, you know that medical providers (i.e. hospitals, nursing homes, medical clinics, etc.) can take months to compensate you for your staff’s time. When you use nurse staffing accounts receivable factoring to secure funding for your company, you can:
- Rest assured that you can pay bills and employees on time.
- Have the confidence to make the necessary moves toward expansion.
What Is Nurse Staffing Accounts Receivable Factoring?
In nurse staffing accounts receivable factoring, outstanding invoices are converted into cash through a ‘factor’ for a discount. This means that instead of waiting for your clients to pay you for your staffing services, you will be able to use the money your workers have already earned right away.
Most factors offer nurse staffing non-recourse factoring: this allows a factor to be held responsible for unpaid invoices if the staffing agency goes out of business or declares bankruptcy during the time in which the owner’s invoice was factored. Non-recourse factoring does not cover:
- Very late payments where there is no bankruptcy.
- Disputes over invoices.
- General collections issues.
With accounts receivable factoring, you won’t hesitate to accept large staffing requests due to lack of funding.
Click here to read more about nurse staffing accounts receivables factoring.