Early in 2021, the business media was rife with reports of an impending “fiscal cliff” due to the end of Covid stimulus packages associated with the...
Cash flow funding, invoice finance and, specifically for recruiters, payroll funding, have grown in popularity considerably in recent years, but some age-old myths still exist today.
Many businesses, such as those in labour hire, have a natural trade cycle where suppliers (in this case, payroll) need to be paid before the customers pay. This negative cash flow cycle requires some type of funding to facilitate normal operations and the funding needs increase with growth.
There are perspectives on both sides of the fence. Finance, when thought of simply as “debt”, can have a negative stigma because the general, conservative approach is that debt is dangerous, risky and should be avoided.