Full Stack Resources
ABOUT FULL STACK RESOURCESFull Stack Resources, a fast-growing tech recruitment and software development service based in Canada, has improved cashflow and funded its growth with a flexible service from Accelerated Payments.
THEIR CHALLENGEToronto’s busy tech scene has a high demand for skilled programmers and other technology personnel. Full Stack Resources spotted and filled a gap in the market when it hit upon an original idea: offering a recruitment service to match skilled developers with vacancies, as well as a software development service that completes contract work for companies. But Full Stack pays its developers directly, and with a growing number of people on its expanding payroll, it needed ready access to funds to keep cashflow healthy.
“We pay our people every two weeks, but our clients pay on a 30 days-plus basis, so invoice financing has always been a way we access funds to close that gap,” said Managing Partner Chris De Sousa. “We had worked with an invoice financing company, but we really needed more visibility and detail than they were providing, and that’s when we met Accelerated Payments. We immediately saw they had the solution we were looking for.”
- All Full Stack invoices to its clients are put through the Accelerated Payments invoice financing system
- Up to 80% of the value of each outgoing invoice is immediately available as working capital to Full Stack. Accelerated Payments provides the final balance payments when clients settle the invoices
- Full details of every invoice allow Full Stack to see a breakdown of all payments, including interest Chris De Sousa says that the Accelerated Payments system hasn’t just released working capital for its business, it’s also helped introduce and enforce a more standardized process for its accounts function. Plus, it’s provided key data about Full Stack’s operations that help the company become a more data-driven business. “The reports from the Accelerated Payments system have made us more data-oriented as a company,” he says. “Every business says that they try to do that, but they don't always have the information that allows them to. The detail and the clarity of the Accelerated Payments reports have really helped us become much more data-focused and helped us optimize our accounts receivable process.” He adds that he’d encourage business owners who haven’t explored invoice financing to look at its benefits.
“If you have clients who are delinquent in payment or pay unpredictably, that can really cut into your margin. Some companies are nervous about invoice financing because of the rates, or because of the fact that companies offering this service are managed like banks. But Accelerated Payments is more a solution company that partners with us to help us grow.”