How do staffing agencies fund weekly payroll while clients pay in 30–90 days?
Invoice factoring is the standard instrument: the agency factors each billing cycle's invoices and receives an advance within 24 hours, so Friday's invoices fund Monday's payroll. Approval is based on the clients' credit, not the agency's.
Start an applicationEvery placement a staffing agency wins increases payroll immediately and collections one to three months later, so growth consumes cash precisely when business is best. Banks underwrite the agency's balance sheet — which is mostly receivables — while factoring underwrites the receivables themselves.
A factoring facility scales automatically with billings: place more people, factor more invoices. Setup takes 5 to 10 business days; after that, invoices fund within 24 hours of submission, and the reserve is released when the client pays, less the factoring fee.
Voxen structures staffing facilities from $50,000 to $10,000,000 across temp, healthcare, IT, industrial, and executive-search billings, often paired with a line of credit for expenses that aren't tied to an invoice.
What each product is for
| Merchant Cash Advance (MCA) | Fast working capital, cash-flow-driven approval |
|---|---|
| Business Line of Credit | Fluctuating cash needs, payroll smoothing |
| Invoice Factoring | B2B businesses with slow-paying clients |
| Equipment Financing | Trucks, machinery, kitchen, construction, tech |
| Bridge Loan | Short-term gap until a known future event |
| Term Loan | Growth, expansion, refinancing |
| Inventory Financing | Buying stock before it sells |
| Purchase Order Financing | Fulfilling a confirmed order you cannot fund |
| Acquisition Financing | Buying a business or partner buyout |