Payroll funding
See what Friday is really costing before you change the facility.
Weekly payroll creates a predictable operating cash gap: workers are paid this Friday, clients pay on their own terms weeks later. If the facility bridging that gap was signed years ago and its full cost has never been stated as one number, Friday is running on yesterday's terms.
Kingsway is a commercial introducer, not a lender or financial adviser. Any funding is subject to provider assessment, approval and contractual terms.
The problem
Every weekly book has the gap. Not every ledger shows its price.
Wages leave on Friday and client cash lands weeks later, so something bridges the difference every single week. That part is normal. What deserves attention is what the bridge costs: spread across service fees, discount charges, minimums and timing, it rarely appears anywhere as one annual number. And a facility priced for the book you had three years ago may quietly be limiting the book you are winning now.
Cost you cannot see
The total cost can be split across service fees, discount charges, minimums and disbursements. Until they are added up, the true annual funding cost does not appear anywhere as one number.
Headroom you have not tested
A facility that fitted the book two years ago may now cap growth. The constraint shows up as declined bookings, not as a line on a statement.
Concentration you inherit
When one client is a large share of the ledger, their payment behaviour quietly sets your cash rhythm and your facility's appetite.
How it works
Map the position before touching the facility
Map the cash week
Wage bill, pay frequency, client payment terms and the funding route currently bridging them. Your figures, written down once.
Estimate the exposure
The operating cash the gap ties up, and the current facility cost where your figures support it. Estimates are always marked as estimates.
Ask the two hard questions
Headroom: does the facility fit the book you have now and the one you are winning? Concentration: which client's payment behaviour actually controls your Friday?
Take a position
Stay, Fix or Explore. Including whether a focused provider comparison deserves consideration at all, and what evidence would justify it.
The working view
What a mapped funding position looks like
The panel below is illustrative, to show the shape of the output. The live version is built from your own figures in the Friday Test.
What you receive
A position, not a pitch
- Your cash gap mapped. The weekly cycle, the overlap and the operating exposure estimated from your own figures.
- The cost in one place. Current facility cost stated where your figures are available, and the missing figures named where they are not.
- The headroom and concentration questions answered honestly. Including when the answer is that the current arrangement fits and should stay.
- A Stay, Fix or Explore position. And if Explore, what a focused provider comparison would test before anyone is introduced to anyone.
What you will need to hand: twelve months of facility statements and your rough client payment terms. That is the whole shopping list, and estimates are marked as estimates wherever a figure is missing.
Review again when
A funding position is a snapshot. Test it again when any of these changes:
- The facility approaches renewal. The strongest moment to test the market is before the renewal signs, not after.
- Client concentration shifts. A new large client, or losing one, changes the ledger the facility was priced against.
- Payment terms move. An end client stretching from 30 to 60 days changes the exposure even when nothing else has.
- The weekly payroll steps up or down. Growth and contraction both change what the right facility looks like.
What this is not
This review does not promise funding, approval, savings, rates or availability, and it cannot promise that payroll will never depend on client payment timing. Kingsway is a commercial introducer, not a lender or financial adviser. Any facility is subject to the provider's own assessment, approval and contractual terms, and your own advisers confirm anything you rely on.
And if your figures show the current facility fits the book, that is the answer you will get. A Stay costs you nothing but the hour it took to check.
Start with the number, not the switch
The Friday Test builds the funding picture from your own figures in a few minutes. Nothing is sent anywhere without your say so.