Truck Factoring

Unlock Financial Stability with Truck Factoring Solutions

We offer a comprehensive solution to help trucking businesses overcome cash flow challenges. We understand that managing finances in the transportation industry can be demanding, with long payment cycles and unpredictable cash flow patterns. That’s why we provide truck factoring services to support your business growth and ensure smooth operations.

Benefits of Truck Factoring

1.

Improved Cash Flow:

Truck factoring provides you with immediate cash flow, eliminating the need to wait for extended payment terms. This enables you to cover operational expenses promptly, meet payroll obligations, and seize growth opportunities.

2.

Flexibility and Scalability

As your business expands, so does your funding potential through truck factoring. The available working capital grows along with your invoice volume, allowing you to manage increased operational demands effectively.

3.

Risk Mitigation

Our factoring services include credit checks on your customers, reducing the risk of non-payment and late payments. This provides you with peace of mind and financial stability, knowing that you have a reliable cash flow source.

4.

Focus on Growth

With improved cash flow and the burden of collections lifted from your shoulders, you can redirect your attention and resources towards growing your trucking business. Explore new routes, invest in equipment, hire and retain qualified drivers, and take your business to the next level.

What Are the Steps of the Factoring Process?

The trucking company or owner-operator starts factoring with a factoring company.
The trucking company notifies their customers about the factoring arrangement. Most customers are accustomed to the factoring arrangement as it is quite common in the industry.
Driver transports the load for the customer, makes the delivery and receives a signed invoice.
The driver then sends a copy of the invoice to the factoring company.
The factoring company must verify the invoice to ensure the load has been delivered according to the terms of the contract.
The factoring company advances the driver a percentage of the invoice’s value within a few days of receiving the invoice.
The driver can receive up to 98% of the original value of the invoice.
The factoring company takes over the billing process and collects from the customer.

Why Do Companies Use Factoring?

Many companies use factoring because, in the trucking business, you need your cash flow to operate today, not three months from now. The small percentage of load value you give up in exchange for faster payment is just a small price compared to all other business-related costs to cover.