Invoice Finance for Recruitment Agencies
Recruitment agencies face a unique cash flow challenge: you pay contractors weekly but invoice clients on 30-60 day terms. Invoice finance bridges this gap by advancing funds against your placement invoices so you can meet payroll without dipping into reserves.
Specialist recruitment finance providers go further than standard factoring. They offer integrated back-office support including payroll processing, timesheet management, and credit checking of new clients. This lets you focus on winning placements rather than chasing payments.
Key Benefits
- Fund weekly contractor payroll from day one
- Facility grows as you place more contractors
- Integrated payroll and timesheet management available
- Credit check new clients before accepting assignments
Frequently Asked Questions
Can a new recruitment agency get invoice finance?
Yes. Specialist recruitment finance providers will work with start-up agencies from day one. They assess the quality of your client contracts and end-client creditworthiness rather than requiring trading history.
Does it cover both temporary and permanent placements?
Temporary placement invoices (weekly/monthly billing) are the bread and butter of recruitment finance. Permanent placement fees can also be funded, though some lenders apply different advance rates.
What back-office services are included?
Many recruitment finance providers offer payroll processing, pension auto-enrolment, holiday pay calculations, timesheet portals, and real-time reporting dashboards as part of the service.
How quickly can I be set up?
Specialist recruitment lenders can set up a facility in 5-10 working days. Once live, individual invoices are typically funded within 24 hours of submission.
Invoice Finance calculator
Move the sliders for an instant estimate. Free to use, no sign-up.
Cash advanced now
£42,500
Fee
£750
Net received
£49,250
Held back
£7,500
Illustrative estimate only, not a quote or financial advice. A broker will confirm exact terms based on your circumstances and lender appetite.
Related Funding Options
Invoice Finance UK
Release cash tied up in unpaid invoices. Invoice factoring and discounting for UK businesses. Advance up to 90% of invoice value within 24 hours.
Unsecured Business Loans for Recruitment Agencies
Working capital for UK recruitment agencies. Fund contractor payroll, office expansion, and marketing. No property security required.
Revolving Credit for Recruitment Agencies
Flexible credit facility for UK recruitment agencies. Draw and repay as needed to manage payroll and working capital fluctuations.
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Get matched with lendersCoreFi is a trading name of JG Core Ltd (Company #16218779, England & Wales). CoreFi acts as a commercial finance broker and does not provide regulated financial advice. All products described are unregulated business-to-business finance. Information on this page is for general guidance only and does not constitute a formal offer of finance. Terms, rates, and availability are subject to lender criteria and may change without notice.