Payroll Factoring for Staffing Agency is a solution

As staffing agency you are continually  faced with a cash flow gap. Customers pay, on average, invoices every 30 to 45 days.  Average staffing agency payroll is disbursed every week or every 15 days. Not only do you have worry about making payroll, but now you may have to turn down business opportunities because you do not have the financial resources to hire the additional staff.

The Banks do not understand that one of your largest operating expense is your payroll which in turn fuels your biggest asset your employee,and for that reason your Bank loan could be denied.

This is where we can help

In the world of business, profits are the ultimate measure of success. Investors look to the financial statements to find the story of how the company performed. Projected financials are also important. If you don’t know how to create financial statements you need to find someone that really and truly knows how to.  Like an accountant. The importance of an accountant goes beyond just preparing your taxes. If your only utilizing your accountant for tax purposes, then you not tapping in to the real values. Your cash flow budget is one of the most important financial statements you have. Done correctly, it provides your business with the necessary checks, balances, and financial controls to guide performance, win bankers’ hearts, and keep spending and investment impulses in check. Developing a budget is simple, and when created with solid sales and expense forecasts in mind, you can ensure that your budget will stand up to the daily demands of your business. Here are some steps you can take to create a cash flow budget you can rely on: From “Financial Troubleshooting,” Inc. Magazine, August 2000, by Michael Pellecchia Set business guidelines and goals.

• Review current economic and business conditions; consider how they will affect your business.
• Forecast sales for the budget period.
• Forecast expenses for the budget period.
• Prepare a profit-and-loss projection.
• Run a reality check on the numbers. Compare them to your goals, trade figures, and historical figures.
• Project monthly cash inflows for the budget period.
• Project monthly cash disbursements (outflows) for the budget period.
• Project operating data. Move controllable items around to achieve the best positive cash flow possible.
• Prepare your cash flow budget: the “finished”cash flow projection. Look for periods of negative cash flow, as well as unusually positive periods.
• Compare budgeted with actual performance monthly.
• Review performance and recast forecasts (both P&L and cash flow) annually or as needed.

How many business owners can honestly say they know how to do this?

And confident that they are doing it right?

Get an Accountant!

In my previous Blog I asked business owners to write down 5 things, that they would like to do for themselves, not for the business (ex. learn to play the guitar). I’m sure there were a couple of responses made

• why?
• thats nice but when would I have  time ?
• HELLO ! I’m running a business…..

Here’s my response, first let’s tackle the phrase ”  Free Time ”

Free time is defined as  time spent away from business, work, and domestic chores. It also excludes time spent on necessary activities such as sleeping and, where it is compulsory, education.

So let’s rephrase my original question ” List five things that you would like to do if you had free time. ”                  Still your answer would be I’m running a business.

Most people can give  many reasons why a business fails, but one of the most important reason is always over looked. The business failed due to the owners deteriorating health and in some cases death, due to STRESS.

• Forty-three percent of all adults suffer adverse health effects from stress.
• Seventy-five percent to 90% of all doctor’s office visits are for stress-related ailments and complaints.
• Stress can play a part in problems such as headaches, high blood pressure, heart problems, diabetes, skin conditions, asthma, arthritis, depression, and anxiety.
• The Occupational Safety and Health Administration (OSHA) declared stress a hazard of the workplace. Stress costs American industry more than $300 billion annually.
• The lifetime prevalence of an emotional disorder is more than 50%, often due to chronic, untreated stress reactions.

The best way to relieve stress is in your Free Time !!

So List 5 Things that you would like to do in your Free Time

The Secret to Free Time

The secret  is not to do less work, but to organize work so that a greater volume can be handled in less time. No active person wishes to cut down his or her  productive efforts. A great many , however, are so tied to their business tasks by detail and routine that they have little time or energy left for constructive thought.

Frequently they do not get enough recreation and physical exercise to keep them in prime condition. As a result, they are frittering away the best years of their life in handling small details that never bring them anywhere.

To a greater or lesser extent, this is true of all of us. How to escape from the time-wasting energy-absorbing routine and details is a vital question. Stay Tuned……

So where is the next million-dollar idea hiding, just waiting to be discovered? The answer: within you. Truly. In fact, you might believe you’ve got a million-dollar idea in your head already. But a great idea alone doesn’t guarantee success: you also need to be able to recognize when a concept has the potential to become something tangible and hit it big. It all comes down to opportunity recognition (there’s that word again).

How do you recognize an opportunity? What exactly does one look like? It has to do with analyzing both the product and the market and seeing if they intersect. What you’re looking for is a product that fulfills (or creates) a need at just the right time, in just the right place. Opportunities are built using a combination of your ideas and entrepreneurial creativity mixed with market need and good situational timing.

Think about your idea as you read the rest of this chapter—or, if you don’t have an idea yet (which is perfectly fine), let it inform your idea generation process—and ask yourself these questions:

• Is my idea realistic? Is it technically and financially feasible?
• Is there a strong need for my potential product?
• Is this a need I passionately want to address?
• Does pursuing this opportunity meet my goals as an entrepreneur?

The truth

There’s an old metaphor about meeting customer needs:.Come up with a product that scratches a customer’s itch, and maybe they’ll buy it. Come up with a product that relieves a customer’s pain, and you’ve got a winner. “Pain,” of course, is a relative term and could describe just about anything-a toothache, a slow computer, a boring job-but the idea behind the metaphor is that it’s the entrepreneur’s responsibility to find out what the customer needs most, then fulfill that need. It goes without saying that if your product isn’t grounded in reality and serves no need at all-doesn’t even scratch an itch-it has no chance. No one buys useless products.

Getting Your Product to market

How will you get your products to market? Few manufacturers sell their products directly to the consumer. As a manufacturer, you usually have little contact with the final user—you are more likely to on-sell to a middle person who distributes or retails to the end user. So marketing your business is very different from normal retail operations. This means you need to spend time developing and nurturing your distribution channels. For example, will you distribute through:

• agents or distributors
• wholesalers
• online sales on your website
• your own factory shop
• opening a branch office (perhaps overseas)?

Consider how much control each method will give you, and also how effective the distribution channel will be. For example, you usually have more control over the activities of an agent, and less over a distributor (who may also sell other products and prefer to focus on the higher margin products). Consult your business advisors about the best options for your business.