Newport-based invoice finance firm Simply Factoring Brokers is celebrating the successful expansion of Cwmbran-based Rosato Recruitment after supporting the business through invoice finance.
Due to the funding from the invoice financing facility, Rosato Recruitment has now been able to expand into the temporary recruitment market; allowing the firm to vastly increase its turnover.
Invoice finance is a facility which is used to unlock cash from unpaid invoices. A company sells their invoices to a factoring company for a small fee, normally averaging between 1-2%, and they will receive 80-90% of their invoices on the day they raise it to pay for any upfront costs such as materials, labour or equipment.
Simply Factoring Brokers advised Rosato Recruitment on the best facilities to suit their needs, and helped them choose the deal that works best for them.
Business development manager at Simply Factoring is Phil Smith: “We support companies across the UK, however it’s always a bit special when you get to assist a local company. Growing up in Llanyravon, Cwmbran, it has been a great pleasure to work with Rosato Recruitment and assist in its future growth plans that will also provide opportunities within my local community.”
Director of Rosato recruitment is Natalie Rosato: “We were looking for ways to utilise our turnover in order to grow the business as our cash-flow was very restricted. This was due to a number of factors out of our control and was frustrating, as it limited our capacity for growth at a time when the company was more than ready to start expanding.”
Previously, the company solely focussed on permanent positions, but is now able to expand into the lucrative temporary market, where recruitment agencies hire staff and place them in temporary positions.
Natalie continued: “Invoice factoring has allowed us to unlock our turnover, meaning we can expand into the temporary market; creating a whole new division of the business, increasing the opportunities for employment, both within our business, and for people looking for temporary and permanent roles. It has been a pleasure working with Simply Factoring; Phil in particular has gone above and beyond for us, showing the power a personal approach can have in business.”
Simply Factoring recently opened an office in Manchester as part of its ambitious national expansion plans. The financial brokerage employs 10 staff across two sites in Newport and Eastbourne.