Are you always busy and never have that extra time to sit down to your computer or even run in somewhere?
Freight factoring is when a trucking company sells the invoice for a load they’ve hauled in order to get cash immediately, instead of waiting however many days it’ll take for a broker to pay. Since this will speed up things for the hauler, the factoring company will take a percentage of the invoice as a fee, but factoring is one of the most common ways that trucking companies improve their cash flow. This happens often in new companies that are trying to replenish startup cost.
Cash flow is the main objective with Freight factoring. Because of cash flow this keeps a trucking company in business. Freight factoring is about always having ready funds for fuel, payroll, repairs, and more. Factoring is an easy way to manage cash flow for your trucking company.
Freight Factoring can have multiple benefits on a business such as no long term contracts, no sign up fees, no minimum volume requirements and more!
Each Freight company should ask themselves is freight factoring going to produce a good outcome for their company as a whole. Here are a few questions that could help an owner decide if truck factoring would be a good fit for them.….
- Do my customers take a long time to pay me?
- Is the lack of cash flow negatively
For many it may not seem like a big deal but the driver shortage affects the entire economy. More than 68% of freight and goods are moved on American highways. The shortage has increased driver pay due to higher demand, and that cost is passed on to the consumer through higher prices.
There are plenty of trucking jobs available and many Americans looking for employment as well as better pay so why do we have a truck driver shortage?
Below are a few factors that play into the reason we have a shortage currently with Truck drivers.
- Age- Hiring younger workers has proved to be difficult for
After a 2018 that saw record-setting levels of freight-hauling demand and driver pay as