Funding Accounting Reports

It is important to see (not just the legal fine print but) all of the financial/numbers reports that you will be receiving on a weekly or monthly basis, or at the end of each accounting period. Some funding/factoring companies have reports (profit reports, reserve reports, A/R reports, loan reports, payroll reports, funding reports) that are so confusing and complex that it takes the staffing agency owner months or years to understand what’s really taking place.

The confusion may allow the funding company to play a weekly shell game with the staffing agency’s money until it is understood by the staffing owner or until the contract term is over. A one-time look or one-week period sample of the reports will not always uncover problems. It will be most revealing to see the reports with your actual or hypothetical numbers plugged in for a period of six to eight weeks, or further if your company receivables are out longer.

Don’t wait to see the numbers/accounting reports until after you’ve signed a long-term funding agreement.