How does invoice finance work for a recruitment or staffing agency?
Staffing agencies raise invoices for temporary placements on weekly or fortnightly billing cycles, creating a high volume of smaller invoices that suit a factoring or discounting facility well. The lender advances a percentage of the invoice value, typically 85 to 90 percent, as soon as each invoice is raised. Many providers offer a payroll funding option within the same facility so that the agency can meet its weekly wage obligations before client payments arrive.
What this means for your business
Staffing agencies raise invoices for temporary placements on weekly or fortnightly billing cycles, creating a high volume of smaller invoices that suit a factoring or discounting facility well. The lender advances a percentage of the invoice value, typically 85 to 90 percent, as soon as each invoice is raised. Many providers offer a payroll funding option within the same facility so that the agency can meet its weekly wage obligations before client payments arrive.
Director, Market Invoice
Oliver leads Market Invoice's editorial and comparison research. With a background in UK commercial finance, he oversees provider analysis, rate verification, and industry reporting across all verticals.
Last reviewed: 28 May 2026