Freight Factoring is a process by which the trucker can be paid immediately after delivering the load he has just transported. Independent truck drivers or smaller companies hire a factoring company to handle the collections on invoices. The factoring Company pays a portion or full amount of the freight bills minus their fees up front. Sometimes the factoring company holds the remainder in an escrow account, which cannot be touched until the company gets the receivables. This gives the trucker the needed cash for expenses he has incurred or will incur on the way home or to haul another load. The factoring company is then responsible for collecting on the bill. It might incur hiring legal help to collect on this debt or the customer may not pay for months at a time. By having a factoring company to handle all this, the independent trucker is free to get back on the road with further assignments.
Factor Loads factoring company is not a bank. They know it is important to keep truckers on the road. It is important to have a factoring company who understands how your business works otherwise they could not handle the finances of your business properly. Factor Loads is a master in the field because it is set up by the industry experts. They decided to fill the need of fellow truck drivers and owner operators like themselves.
The account management program offered by Factor loads can be found on their website and viewed at any time to keep the record of the account anytime you require.
The company offers non-recourse factoring programs that are mostly focused on owner-operators and small trucking companies. With non-recourse factoring, you will be paid on the same day the freight is factor through Factor Loads. You need not fear of the losses if the customer pay or does not pay as the bad debts will not be reverted to you.
Benefits of working with Factor Loads as compared with traditional freight factoring companies is that Factor load provides customized factoring service which is based on customer by customer and load by load. This will enable you to transact your reliable customers yourself and others you can get factored. You can access the database of your customers which are pre-approved. The factoring company will make the process very convenient for you with no freight bills requirement, no hidden fees and no monthly minimum bills to be factored. It is ideal for owner-operators and small carriers who are unable produce same volumes every month. Larger companies can use the services in the time of deficit.
The company offers new incentives as the fuel and maintenance discounts for your carriers. The spot factoring feature of the Factor Loads will help you to concentrate on the key areas of your business. This will give you the liberty of which invoice is to be factored at what time to maintain the efficient cash flow to your business. By factoring with Factor Loads you also get a complimentary loadboard account to ensure owner operator job flows.
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