| If you own a trucking company, you know that it | | | | slow paying freight bills. So, if you have quite a few |
| can be a very profitable business. However, you also | | | | invoices that are paying slowly, factoring can help |
| know that trucking companies are very cash hungry. | | | | you. |
| You need money to pay for the equipment, to pay | | | | The factoring arrangement is very simple. The |
| your drivers and for fuel. The challenge comes from | | | | factoring company advances a large portion of the |
| the fact that freight bills can take up to 60 days to | | | | money owed for your freight bills the moment you |
| get paid. Unless you have a lot of cash in the bank, | | | | invoice your customer. They wait to get paid while |
| this can be a problem. | | | | you get immediate use of the money. |
| Speaking of banks, going to your banker for a | | | | As opposed to bank financing, freight bill factoring is |
| business loan or line of credit will not help much either. | | | | easy to qualify for and available to small and large |
| Bankers will only lend money to companies that have | | | | trucking companies alike. Most factoring companies |
| a lot of assets, have been in business for three | | | | have two main requirements. The first one is that |
| years and can provide audited financial statements. | | | | you work with reliable clients and freight brokers. The |
| Of course, if you had lots of assets you wouldn't | | | | second one is that your firm has at least two trucks. |
| need a banker. | | | | It's easier than a bank, isn't it? |
| So, what are your options? | | | | If you own a trucking company that is growing, be |
| Freight bill factoring, also known as freight factoring, | | | | sure to consider freight factoring. |
| can provide you with immediate financing for your | | | | |