Typical funding range
$25,000 – $500,000 — that's the band most staffing agencies in Texas fall into. Deals smaller than $10K are uncommon (the math rarely works for the funder). Deals over $250K typically require stronger profiles or collateral.
What funders look for
- Most funders require 12+ months operating
- Monthly revenue floor: $25,000 (billable hours preferred)
- Credit scores 600+ get A-paper terms
- Payroll-funding specialists (Advance Partners, FrankCrum, FactorPlus) are usually the right tool — they fund 100% of weekly payroll against AR and include back-office services
What to bring to the application
The faster you can ship these to a funder, the faster you close. Most underwriting decisions for staffing agencies in Texas happen in 2–4 hours once docs are complete.
- Last 3-6 months of business bank statements
- Voided business check
- Driver's license for the majority owner
- Industry-specific documentation (licensing, certifications) if applicable
The math
A typical staffing agencies deal in Texas lands at a factor rate between 1.25 and 1.42. On a $50,000 advance at 1.32, you'd repay $66,000 over 9–12 months — about $260–$305/day in ACH. Our factor rate calculator lets you plug in your own numbers.
Frequently asked questions
- Should a Texas staffing agency use MCA or payroll funding?
- Payroll funding almost always wins. Staffing is structurally payroll-heavy and AR-heavy — your commercial clients pay net-30 to net-90, but you owe weekly W-2 payroll. Payroll funding specialists fund 100% of weekly payroll against your AR, often include back-office. MCA at 1.30+ factor is dramatically more expensive and doesn't solve the structural problem.
- How is staffing payroll funding different from factoring?
- Both fund against AR, but payroll funding is staffing-specific. Standard factoring funds 80-90% of an invoice at 1-3%. Payroll funding specialists fund 100% of the weekly payroll burden specifically (same-day cash advance against committed billable hours) and bundle back-office. Pricing similar (3-7% of revenue), but operational integration is deeper.
- Can a Texas staffing startup with 6 months in business get MCA?
- Limited. Accord and smaller specialty MCA shops will fund newer staffing firms at higher factor rates (1.40-1.50). Payroll funding specialists usually want $100K+/mo billable hours and established commercial clients.