Recruitment firm simplifies cash flow management with help of Siemens Financial Services
Yorkshire-based recruitment and training provider Maze 8 Group has become the latest company to benefit from Siemens Financial Services’ (SFS) invoice finance offering. Following dissatisfaction with the quality of service and flexibility of its previous invoice finance providers, Maze 8 became an SFS customer in March 2016.
Established in 2007, Maze 8 offers recruitment, career coaching and training services to schools, local authorities and councils throughout the UK. Less than two years ago, the business expanded, creating a new division. Maze 8 Power delivers specialist recruitment and electrical design services to the high voltage transmission and distribution, marine, renewable energy, oil and gas industries.
Maze 8 had used invoice finance for several years to help build up its financial reserves and support expansion. By using invoice finance, up to 90% of the approved invoice total can be immediately advanced by the finance provider, with the remaining 10% paid once their customer settles the balance. This provides the company with working capital as it can access funds without having to wait for bills to be paid.
Martyn Connell, managing director, Maze 8 Group said:
“We were using a couple of invoice finance providers for different parts of the business, but encountered several problems with them. In particular, one provider felt we had a high concentration of risk because a large proportion of our invoices went to our biggest client. This meant we were offered increasingly restrictive terms. Additionally, we found it took a lot of time to reconcile our company accounts with the other provider’s systems.”
Through its power business, Maze 8 already had experience of working with Siemens Energy Management. Martyn was therefore familiar with the Siemens group and when the company’s financial adviser suggested SFS as an invoice finance provider, he was keen to learn more.
SFS met with the Maze 8 Group regularly to fully understand the company and its requirements. Through several meetings, strong relationships were built and a tailored and flexible system was established, incorporating quick drawdown and low costs.
“For us there are three key areas in which SFS excels compared to its competitors: the service from the team, the advanced system and an attractive fee structure.
“We receive an exceptionally good service from SFS. We deal with a small team, all of whom are responsive and knowledgeable.”
Drawdown of funds now only takes a matter of hours and the online system gives Maze 8 real-time access to funding and payments, and allows the company to retain responsibility for credit control. There is now one simple, monthly reconciliation process which has saved staff time. Maze 8 also benefits from a more cost-effective deal, compared to those offered by its previous providers, including a higher pre-payment level on its invoices to Siemens Energy Management.
“Our experience with SFS’s invoice finance team has been excellent right from the start. I can speak to the team whenever I’ve got a query; but I rarely need to!”inoiv