So, is it boom time for the staffing industry? Yes, says Steven P. Berchem, CEO of the American Staffing Association. Barchem, author of a respected annual economic analysis of the staffing industry, has plenty of insight into the growth.
“U.S. staffing firms created more new jobs than any other industry,” Berchem says. He notes that the U.S. Bureau of Labor Statistics reports that the temporary-help industry added nearly 500,000 workers between June 2009 and June 2011. It represented more than 90 percent of the nonfarm job growth in that period.
While temporary staffing companies are thriving to help offset joblessness, their ability to access growth capital is still a challenge. Many temporary staffing companies are either coming off a down cycle or are just starting out. Bank lending may be out of reach for these companies. For this reason a factoring company is the best solution for building a strong payroll. With factoring you can get paid on time sheets as soon as you submit them to your customer. Additionally your ability to grow is uninhibited with no limit to amount you can finance and access. A factoring company like Creative Capital Associates can also help determine the creditworthiness of a potential customer as well as help to make sure their payments are made timely.
Receivable finance companies and the temporary staffing industry have a long history of working together. The two business models fit well together because the staffing company is leveraging the factoring company’s ability to borrow. So most staffing companies align themselves with a factoring company as a partner before they even get started.