Established in 2016, Smart WFM is a rapidly growing global human capital management consultancy. It helps Australian and international companies with digital transformation projects. Smart WFM is headquartered in Sydney and has more than 40 team members spread across most Australian capital cities and globally.

Constraining growth

CEO and Founder Jarrod McGrath wanted to retain full ownership of his business but needed further finance to grow as Smart WFM quickly outgrew its traditional business loan.

Jarrod knew he needed working capital to bridge the 90 to 120 day gap between hiring a new staff member and receiving a cash return on the new hire, so he sourced invoice financing to help smooth out his cash flow.

However, with his existing invoice finance provider, the interest rate was high at around 30%, meaning he would avoid drawing down on his facility unless he absolutely had to, affecting his ability to grow his business.

“I would do everything not to draw down, knowing just how much interest I needed to pay. But I had to take it at the time, because if I wanted to retain ownership of the business, I really didn’t have the choice.”

The arrangement also impacted Jarrod’s client relationships as they were required to pay a third party and the finance company chased outstanding debts.

Regaining control

Jarrod heard about CommBank’s new digital invoice financing solution Stream Working Capital through his business banker. As an early adopter of new solutions, he was keen to try it out. He realised that Stream Working Capital was invoice financing made quick, easy and affordable.1

Stream Working Capital is a fully digital cash flow solution that allows customers with a Stream Working Capital Transaction Account2 to unlock cash flow from unpaid invoices that are more than $15,000 in value. It is flexible, fast, and simple, putting businesses in control of how and when they use the facility.

“CommBank can offer this service to us now with a very modern user platform, in a very modern way, at a very competitive interest rate.”

“It’s all driven from a digital front end, so it’s everything that I could want. And it’s so easy to use. I made a drawdown the other night on my mobile phone and the funds were in my bank account the next morning. It is very, very simple.”

Jarrod can now bring on new staff members with confidence, allowing his business to grow.

“Access to the facility has been key to scaling quickly. I’m able to pay salaries from the day I onboard someone, which means I can keep growing and stay in control of my business. Being able to employ a capable staff member with confidence is gold to me, because it means business growth.” 

"Smart WFM’s compound annual revenue growth rate over the last three years has been substantial. We’ve seen over 220 per cent growth in headcount over the past three years. Stream helps us maintain a substantial growth rate and keep building our team.”

Being a digital business, Jarrod also appreciates Stream’s fully digitised platform which integrates with Smart WFM’s eligible cloud-based accounting system. Equally important is that the funds go directly into Smart WFM’s CommBank Business Transaction Account2 and Jarrod chooses when to pay back the funds. That means there is no difference to the way he conducts the business day-to-day.

“With other invoice finance providers, all the funds went to a bank account they controlled. Now I am in complete control.”

Cash flow made easy

For Jarrod, Stream is how modern banking should work.

“Working capital is an amazing way to release funds without giving away ownership of the business,” says Jarrod.

“It’s CommBank’s digital leadership that has allowed us to accelerate our growth globally. It’s a wonderful outcome for us.”

Learn more about Stream Working Capital and how to apply. 

Things you should know

This information is current as at 20 June 2022 and is prepared without taking into account your individual and/or business needs and objectives.

1 Credit provided by the Commonwealth Bank of Australia. This product is only available to approved business customers and for business purposes only. Applications for finance are subject to the Bank’s eligibility and suitability criteria and normal credit approval processes. The minimum value of nominated invoices is $15,000 per month. A minimum facility limit of $50,000 or more applies to Stream Working Capital. We will require your consent to access your accounting software to assess your application and manage your account going forward. Full terms and conditions, interest rate, establishment fee and line fee are included in the Loan Offer, you should consider these before making any decisions about these products. Bank fees and charges may apply. 

2 To use Stream Working Capital you'll need to open or switch to a Stream Working Capital Transaction Account if your application is approved. Fees and charges for this account are in addition to those associated with any existing business transaction product. For the Stream Working Capital Transaction Account view our CommBank Business Savings and Transaction Accounts Terms and Conditions, Financial Services Guide (PDF), the Electronic Banking Terms and Conditions (PDF) and the Target Market Determination, you should consider these before making any decisions about these products. Bank fees and charges may apply. View our current interest rates.

Commonwealth Bank of Australia ABN 48 123 123 124 and Australian credit licence 234945.