Most recruitment firms have to pay their candidates prior to being paid by their clients – this usually leaves them in need of funding, and even more vulnerable to non-payment risks.
A large percentage of recruitment companies will engage with a funder to put in place a finance line that enables them to draw down early on their invoices.
Many of these providers will insist upon, or offer ‘BDP’ (Bad debt protection) at an additional cost to give extra comfort.
However, many of these policies are more expensive, too rigid and not fit for purpose.
The need to cover RPO’s or Master Vendor agreements and pay when paid terms makes things more complex.
Add to this time sheet billing, with work done prior to billing needing to be insured and the need for a recruitment specific policy has never been greater.
If you currently have a ‘Bad debt protection policy’ via a funder or a credit insurance policy and would like a free second opinion then get in touch.
We also work with specialist recruitment funders who are aware of the intricacies of the industry, and we support their knowledge and know how with bespoke policies for their clients.
If you require funding, then get in touch and we would be happy to point you in the right direction.