Freight factoring for an immediate cash flow will allow you to continue running your trucking business, pay your bills and grow along the way.
We recently received a call from a friend telling us that this had been her best year in business. Not only did she add three more trucks to the two she was already running. She was also able to hire some help at the office. She told me the story about how scary it had been for them. They decided that her husband would go out on his own. After being a driver for a large trucking company for many years. Until they found out about invoice factoring. Their biggest worry was having enough money on hand not to just keep their truck moving but to pay their bills at home on time.
She knew she had to do something to make sure their business would not only stay afloat but make a profit too. After talking with friends in the trucking business and doing her own research. She knew she had to factor her invoices. Freight factoring , was the only way any of her friends in the trucking industry were able to keep their businesses growing.
As a trucking company you usually have to wait 30-60 days to receive payment from your customers on the freight you deliver. Meanwhile, you are forced to pay money upfront for fuel, insurance, truck maintenance, and other expenses in order to operate and haul freight. Because of this, you may run short on available cash for your operating expenses. While waiting on payment for work you’ve already done.
Invoice factoring eliminates this problem.
Invoice factoring is a financing option you may have overlooked when you started your trucking business. But, by financing your freight bills, you get immediate cash for your invoices. And an improved cash flow for your business. In fact, freight factoring is the most popular form of financing for trucking companies today. While profit is the life-blood of a business, cash-flow is the heart that keeps everything running.
In an invoice factoring transaction, you move the load just as you normally would. But instead of sending your invoices and supporting load documentation to your customer, you send it to your factoring company.
Once your invoices are received you will be paid up to 98% of the total invoice amount the same day. Payments from the factoring company, are sent directly to your bank account, fuel card account, or by Comcheck/Tcheck. Your factoring company will then send all of your invoices to your customers. Then, you manage and collect on your invoices, while they remain unpaid.
The burden of waiting the normal 30-60 days for customers to pay you will be taken on by your invoice factoring company. This will allow you more time to pay attention to growing your business. Without the worries that come along with running a business. This is exactly what my friend was able to do and the main reason for her call was to thank me. She said that with the help of my factoring company, and all of the benefits we were able to offer her business, she was growing.
Helping trucking companies
At Summar, helping trucking companies become profitable and growing their business, is our expertise. We will provide the funds you need for everyday operating expenses. And it’s a proven way to reduce, or even eliminate the need to incur additional debt to stay in business. Over the years, Summar has emerged as one of Florida’s leading transportation invoice factoring experts, because it’s the industry we focus on. That allows us to offer you a high cash advance on your invoices. As well as other industry benefits (such as 50% fuel advances and after-hours services until 9pm). In addition, you will receive personalized, effective service, and applying is fast and easy.
Call Summar today and we can have you started in as little as 24 hours!