Everything You Need to Know About Freight Factoring

Freight factoring can be a great resource for a small trucking business. Instead of having to wait for your customers to pay their invoices, you could opt for factoring company freight and get the money up quickly. That way, you will have the money to find new loads and keep operations running smoothly.

Cash flow is what keeps a freight business well, in business! The capital that you can get from working with transportation factoring companies can be used for fuel and repairs. It can also be used for payroll. Think of all the ways factoring company freight can help you!

What is the advantage of a trucking factoring service versus taking out a loan?

There are many answers to this question. Here are some of the best benefits of factoring company freight instead of taking out a loan:

You don’t have to worry about debt

One of the top benefits of working with a factoring company is not having to deal with debt. Whereas taking out a loan can help you business, you will get struck with having to repay those funds. By working with a factoring company, you sell your account receivables to the company that provides invoice factoring services and your customers will pay them instead of you. That means no having to pay money back.

It’s less stress on you

Another great benefit is that you don’t have to deal with the added stress of trying to recover this money from your customers yourself. You can simply get paid upfront and have this company get your customers to pay back their amounts. That means you will have more time to focus on other areas of your freight business. That can be finding new loads or making new business connections.

You get the money up front

Need to have money for fuel, repairs, and other aspects of your business? You get the money you need up front. Don’t wait to have your customers pay you! Simply sell your ARs to a freight factoring company and get a lump sum up front minus a small fee.

If you’re looking into freight factoring services, give us a call today! We would love to learn more about your business and how we can help support you.