Cash Flow and Funding

Staffing agencies run payroll every week, whether or not the client has paid yet. These engines answer the questions that come from that gap: how long it takes to collect, how much cash you need to keep making payroll, what a specific new contract will require before it pays for itself, and whether factoring or a line of credit is the cheaper way to fund the gap.

Start with Staffing DSO if you don't already know your collection timing, then Payroll Float to turn that into a cash number.

• Staffing DSO

  Period-average DSO or invoice-level weighted actual collection days.

• Payroll Float / Working Capital

  Cash-timeline simulation, not a rough estimate, finds the real pre-receipt trough.

• New Contract Cash Requirement

  Full period-by-period cash timeline for a specific contract, ramp and startup cost included.

• DSO Improvement Cash Release

  Cash released (or tied up) from a DSO change, a working-capital effect, not profit.

• Factoring Cost

  Flat and incremental fee schedules, net cash received, a simple annualized comparison figure.

• Factoring vs Line of Credit

  Equal funding amount and duration comparison, full cost breakdown on both sides.

• Graduate From Factoring

  Expected annual savings, break-even volume, and payback period for switching funding sources.

• Client Payment-Term Cost

  Carrying cost of a client's payment terms and the rate surcharge needed to recover it.

• Payroll Reserve / Runway

  Payroll cycles covered by your available cash reserve.

• Seasonal / Surge Cash Requirement

  Same cash-timeline simulation as New Contract Cash Requirement, framed for a seasonal ramp.