nFusion Capital provides $3m factoring facility to staffing firm

nFusion Capital, a provider of financing solutions to small and middle-market businesses, has provided a $3 million factoring facility to a nationwide staffing and recruiting firm headquartered in California, US, with an accordion feature allowing the line to expand to $5 million as the business grows.

The new facility will support the company’s payroll and operating requirements as it continues to scale across multiple sectors. The staffing firm specialises in connecting qualified talent with employers nationwide, serving industries including healthcare, logistics, warehouse labour, administrative support, finance, IT, engineering and manufacturing. Its core business focuses on temporary staffing, with a particular emphasis on supporting third-party logistics warehouse operations, alongside selective direct placements for manufacturers.

Despite strong and consistent revenue growth, the company’s previous factoring arrangement was terminated due to outstanding payroll tax liabilities, creating urgent pressure to secure a new funding partner in order to maintain operations and meet payroll commitments. The business subsequently engaged a professional tax resolution firm to manage the liability through a structured payment plan with the IRS and was referred to nFusion Capital by its incumbent factor.

nFusion moved quickly to structure a replacement facility, delivering a $3 million factoring line with an expandable accordion feature up to $5 million. The new arrangement provides increased availability and more competitive pricing than the company’s previous facility, ensuring continuity of funding during a critical period.

“Given the labour-intensive nature of its contracts, this facility enabled the company to maintain uninterrupted operations, meet payroll obligations and avoid workforce reductions. Thanks to the collaborative efforts of all parties involved, we were able to close within ten business days.”

With the new facility now in place, the staffing company has the working capital required to meet ongoing payroll and associated tax obligations, while remaining well positioned to pursue its strategic growth plans. The scalable accordion feature provides additional flexibility and liquidity to support increasing contract volumes and improved operational efficiency over time.