Permanent Placement Funding


Cash is absolutely key when setting up or growing a recruitment business. Over the last 5-10 years, we have seen more and more recruitment businesses utilise invoice finance products to release money from their outstanding permanent placement invoices.

We have a number of different suppliers that offer this facility and although the up front percentage of funding can be different between lenders, some offer up to 100% of the permanent invoice value as soon as the candidate has started. Sometimes if agreed in your terms, lenders pay on acceptance or a retained or staged invoice.

Depending on the lender, the process may be slightly different however below shows a guideline of how it could work


How does it work?


The basic process is outlined in the diagram below: - 



In Summary: 

1 – You place a candidate into a new role.

2 – Invoice gets raised on day one of the candidate starting.

3 – You get up to 100% finance from the provider.

4 – The money gets paid to the provider when due.


Permanent finance can also, if required have the option of bad debt protection; some lenders even include it in the cost.

Click here to get your Permanent Funding quotes. 



Background on recruitment factoring business CRF

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With almost a decade of experience in providing factoring, invoice discounting and payroll back office funding solutions solely in to the recruitment market, we are more than just a quote generator and are always available to give impartial advice throughout.

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“Compare Recruitment Factoring hold a wealth of knowledge & experience within the recruitment finance sector, they are excellent to deal with, extremely honest and helpful. I would not hesitate to recommend compare recruitment factoring to anyone with recruitment finance requirements.”
Stuart - Existing Commercial and Industrial Recruitment Business