Reducing Your Financial Risk

Operating a trucking company is an expensive enterprise, whether you are a single truck owner-operator or the owner of a fleet of trucks. Vehicle maintenance and repairs, insurance, gas, and employee wages are just some of the many costs that trucking businesses have to cover on a regular basis.

When you take a job to carry freight, you expect to be paid promptly so that you have the funds to operate your business. Unfortunately, sometimes brokers or shippers take many weeks to pay their bills or, in extreme cases, may never pay their bills at all. If you are concerned about the significant financial risk that comes with taking trucking jobs, consider factoring your freight bills to get the cash you need fast.

The Benefits of Freight Factoring

Sometimes brokers and shippers fail to pay their freight bills, leaving truckers without the money that they need to continue their business. They may be delaying payment because they do not have the funds to pay, or they may be going out of business altogether. Freight factoring is an ideal way to minimize your risk of not getting paid for a job that you complete. You can sell your invoices to a freight factoring company at minimal cost and be paid instantly.

Non-Recourse Factoring

If you want the highest payment possible for your freight bills, non-recourse factoring may be the best option for you. With non-recourse factoring, the factor company assumes the financial risk for your invoice. This means that once you sell your unpaid invoice, the factoring business is responsible for recovering payment and you cannot be held responsible if they do not. Factoring is an ideal option for trucking businesses that want payment immediately without the hassle of waiting to be paid by shippers and brokers themselves.

Contact Us

For more information on how freight factoring can help to minimize your financial risk as a trucker, contact the freight factoring experts of TBS Factoring Service, LLC, at 800-207-7661.