Case Study - Recruitment consultant: IT contractors
Founded in 1994 by three directors, the Company is now a successful provider of quality IT consultants and contractors in the UK. Having spent many years in the IT and financial services industries, the directors decided to form a company which would provide a specialist and intelligent service to support the consulting market, working with many 'blue chip' companies across the UK and worldwide.
Positive Cash Flow
The Finance Director was fully aware that the company needed a positive cash flow if the Company was to succeed in the manner the directors desired. One of the solutions to the company's financial requirements was to factor its invoices. Over three years ago the directors decided to choose to factor and, following a thorough audit which convinced the Provider this was a company with a future (it had a substantial forward order book), it was offered them a facility providing immediate payment of 85% of the value of each sales invoice raised.
Financed Fast Growth
Through this facility, the Recruitment Company is flourishing with an exciting future. Since signing with the Provider, the company has achieved steady growth and profitability. The turnover was in excess of £5million. 75 consultants work on site and this is expected to grow by 20% during the next 12 months.
Partnership Approach
A key feature in the Factoring approach is to build a partnership with clients and work closely with them to help build their businesses.