Benefits of Freight Factoring

Discover the Benefits of Factoring Freight Bills

Transportation factoring benefits extend far beyond same day funding. From fuel advances and discounts to free credit checks and load board access, factoring freight saves trucking companies time and money.

Factoring Freight Helps Trucking Companies of all Sizes

No matter your trucking company’s size or credit score, freight factoring can support your operations in a number of ways.

Flexible options help you access the working capital you need quickly while controlling your costs, without the challenges involved in obtaining a traditional bank loan. Factoring freight is not a loan, so you can turn your freight bills into immediate cash without creating new debt on your balance sheet!

Freight factoring companies provide top-rate services to trucking companies nationwide, and you can qualify even if you are just starting up or you have a history of financial difficulty. Factors make their funding decisions based on your customers’ credit rating, so as long as you are working with established and reliable shippers you can be approved for freight factoring.  The quote is free, and the application process is quick – start factoring freight in as little as 3 to 5 business days!

Advantages of Freight Factoring

Quick Funding – Cash within 24 Hours

Freight factoring companies will verify your freight bills for completed deliveries and advance you up to 95% of their value within 24 hours. Many factors even accept scanned or faxed copies of your freight bills, saving you mailing costs and putting cash in your account faster.

Rapid Approval

Streamlined underwriting processes make it possible to begin factoring freight as soon as 3 to 5 working days after you submit the initial application. Freight factors only require a short list of supporting documents to complete their due diligence, and once your account is set up you can begin factoring immediately.

Fuel Benefits

Factoring fuel advances & fuel cards offer additional help to trucking companies that have trouble getting a load from its origin to its destination. Fuel cards offer discounts at thousands of refueling stations in the US and Canada, as well as extra rebates from the truck stop companies, and feature an online dashboard where you can monitor spending and add funds to the account as needed. Fuel advances, meanwhile, are a cash advance on the freight bill that you receive when you pick up the load. The factoring company will release a smaller percentage of the freight bill to you so you can cover fuel costs on the road. Special fees may apply for fuel advance transactions.

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No Setup Fees or Hidden Costs

It’s free to get started with a freight factoring program, and all factoring fees are presented up-front in the factoring agreement. You can factor freight bills with the confidence of knowing exactly what you will pay for each transaction, and without worry of any surprises down the line.

No Long Term Contracts

Factoring freight is a fantastic financial option that, depending on your company’s needs, may also be a temporary one. Our freight factoring companies do not trap you in a long-term contract that you do not need; instead, most contracts renew on a semi-annual or annual basis so you can regularly evaluate the benefits of factoring freight for your trucking company.

Non-Recourse Freight Factoring Programs Available

Non-recourse freight factoring is an option for companies that carry loads for slower paying customers or those that are unable to assume the credit risk of nonpayment. With non-recourse freight factoring, you receive the total discounted freight bill amount up-front and pay a one-time factoring fee. A slightly higher factoring fee reflects the factoring company’s assumption of all risk associated with the freight bill.

No Minimum Volume

You have total control over which freight bills you factor and how often you submit freight bills for funding. You can factor at a volume and frequency that keeps your cash flow at workable levels. There is also no maximum threshold to avoid, so if your company is in greater need of working capital during a given month you can factor more to meet that need.

Free Credit Checks & Load Board Access

Freight factoring companies will provide free credit checks, load board access, and other administrative services to your trucking company free of charge. Avoid the overhead of running credit and pursuing collections and focus your attention on carrying the loads that pay the bills.

Fuel Discounts for Truckers

Free fuel card program!

Fuel cards fuel your business with discounts at the pump! Fuel is one of the biggest expenses for any trucking company, but with free fuel cards there is no need to worry about rising diesel prices! Freight factoring companies offer fuel cards for truckers to help monitor and control spending, and save you more money at the same time

Begin factoring freight today!

With industry-low rates and a laundry list of benefits, factoring freight is the best alternative financing option available. Getting started is fast, simple, and risk-free. Don’t let poor cash flow prevent you from keeping your trucks in full operation.

Ready to get started?