Staffing Factoring for Healthcare
In the United States today, healthcare is arguably one of the fastest growing industries. With the baby boomers, the largest section of our population, reaching retirement age the need for expanding healthcare services has never been more pronounced. See Trucking Factoring Brokers.
Right in the middle of all this are the healthcare staffing agencies who hire out staff to clinics, hospitals, doctor’s offices, and many other medical facilities. However, while business is booming the ability for these staffing agencies to expand is inhibited by the customer invoice system. Fortunately, there are healthcare staffing factoring companies around to help them in their time of need.
We asked the owner of a local healthcare staffing agency, Janet Reeling, to talk to us about how factoring companies helped expand her business and provide a much needed boost at a critical time for her company.
“Hello Janet and welcome. I was hoping you would tell us a little about how healthcare staffing factoring companies helped your business, but I suppose we should begin by how you got started in this business?”
Janet Reeling (JR), “Thanks for having me. I actually have been a part of several start-up businesses in my recent career and was looking for a field that would show a lot of promise. It was immediately clear to me that there was a huge need for medical staffing in the healthcare industry, so I decided this was where I wanted to be. I had experience in starting up businesses before, so I drew up a business plan, took out a loan, rented the offices and hired a staff to get started.”
“So, you did what most people do in starting up a business. How were you able to achieve this?”
JR: “This business was actually quite easy to get started. I already had some contacts in the industry so was able to get business in pretty quick. This was really helpful because as you might know our clients use invoices for payments and it can take up to 90 days before we actually get the cash in hand. Around four months in we were facing a real crossroads as new opportunities opened up for our business, but we didn’t have the cash on hand to take advantage.”
“Can you explain this to me. What do you mean when you say you were going really well, but that you couldn’t expand your business?”
JR: “That’s exactly right. The issue we had was that the invoices were taking so long to convert to cash. I was desperately wanting to expand my business to take advantage of the new opportunities, but I was still waiting for invoices to be paid. So I turned to my accountant and asked what my options were, and that’s when I learned about healthcare staffing factoring services.”
“Tell us a bit more about factoring companies.”
JR: “It’s very simple really. The factoring company purchases your invoices and gives you cash in hand, so you don’t have to wait three months to get paid. For healthcare staffing factoring companies, they will then collect the money from the business when the invoice is read to be fully paid. It worked out so well for me because the instant cash meant I was able to employ new personnel and expand my offices to accommodate them.”
“I understand that factoring companies are there for many different kinds of businesses, including medical staffing. How difficult was it to get the factoring under way?”
JR: Once we found the right company for us, it was very easy. I completed their paperwork and they had a quick look at some of our invoices to see what businesses I was working with. In no time at all they had agreed to cash in some of the invoices and I was immediately given the cash I desperately needed.”
“Can you explain to us why using a factoring company is a good idea?”
JR: “Absolutely! The cash I was paid enabled me to hire new staff and rent more space, and since then I’ve been cashing invoices as needed if an unexpected bill pops up or I need to purchase a new piece of equipment. This has come in really handy recently when I decided to move to a new location and needed some cash on hand to make the transition. The factoring services are really quite good with reasonable rates and fast service.”
“What’s the differences in using factoring companies over getting a new loan?”
JR: “It is frankly much better than getting a loan because with factoring there is nothing to pay back. Factoring pays us our own money back and deducts a small fee for their service, so there’s no loan. If I had taken out a loan I would have to pay the loan back plus interest as well. Factoring for us has really been a godsend when it comes to making decisions about how to expand my business. Now it doesn’t matter that the invoices take 3 months to get paid because I have access to immediate cash with my invoices.”
“So it sounds like you’re very happy with the way factoring has worked for you?”
JR: “Yes, that’s true. I don’t know how I would have been able to expand the business at such a critical time without using factoring. Factoring helped me at a time when I most needed help, and because of that my medical staffing business is continuing to grow. If any business out there has to rely on invoices being paid, and they need access to cash, then I really recommend using a factoring service.”
There is little doubt that Janet Reeling has been quite happy about the services she received working with a factoring company. Perhaps factoring is right for you and your needs, be sure to search for the type of factoring business that works in your field so that you can get the right services in helping your company to succeed. Also see Trucking Factoring Brokers.