Freight Factoring is Solving Common Trucking Challenges

Published on: 24 December 2018 Last Updated on: 24 February 2020
trucking associations

According to the American Trucking Associations (ATA), U.S. freight volume has risen 4.2% in 2008, fuelled in no small part by a manufacturing industry rebound as well as a healthy economy.

ATA Chief Economist Bob Costello says that the growth rate is expected to ease to 2.3% per year from 2019 through 2024. This growth rate, however, will offer very little relief to shippers who still struggle with a driver shortage.

According to Fortune, this lack of qualified drivers many trucking companies competing for the same small pool of workers, with some companies complaining that only 1% to 2% of applicants meet the necessary requirements.

This shortage is creating a noticeable ripple effect, as companies vying for workers who meet the necessary qualifications are offering much higher pay and signing bonuses. According to the ATA, the median pay for drivers in this category is $59,000, while experienced drivers working for private fleets see as much as $86,000 a year.

Trucking companies are paying more than ever to secure capable drivers, and when you combine these expenses with rising fuel and maintenance costs it’s no wonder that so many owners experience frequent cash flow issues. It’s obvious why the trucking industry is considered to be a challenging one.

The good news for owners is freight factoring has become an increasingly popular and mainstream financial solution to accessing immediate funding.

Freight factoring is an arrangement between a factoring company and a trucking company, in which both parties benefit. A trucking company sells its unpaid invoices at a discounted rate to a factoring company in exchange for a cash advance, allowing them to meet their expenses.

The factoring company charges a nominal fee while holding a percentage of the invoice amount in reserve. The factoring company, as part of its service, collects on the invoice from the original customer, and when they do, the percentage held in reserve is remitted. Click here to learn more about the ins and outs of invoice factoring and how it can help your trucking company thrive in challenging times.

This straightforward arrangement solves an ever-present cash flow issue that many trucking companies face. By factoring invoices, owners have access to cash they need to pay their drivers and meet other costs, while no longer sinking valuable time into making collections and tracking down payments.

Without freight factoring, trucking companies are at the mercy of slow-paying customers and will wait 30 to 60 or even 90 days to receive much-needed payment for deliveries they’ve already made.

Freight factoring from a reliable company such as Accutrac Capital provides a much-needed cash flow surge to:

  • Start-up operations
  • High-growth companies with insufficient working capital
  • Companies in transition
  • Companies experiencing a tough year or experiencing a change of ownership

In a world where overhead costs — such as rising driver wages — can outpace cash on hand, factoring restores the value of overdue invoices and frees trucking company owners to concentrate on growth and customer service, rather than worrying about chasing down payments. If you run a small trucking company or a nationwide fleet, freight factoring could be the cash flow solution you’ve been looking for.

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Auto Lockout

7 Auto Lockout Solutions That Can Save Your Day

Many times, people forget their car keys inside and get locked out of their own car. As all the cars now come with a central locking system, it is almost impossible for owners to open their cars when they leave the key inside them. However, there are many things you can do if you get locked out of your car. The best way to open your car is to call an automotive locksmith, but this is not the only way. Let us explore all the ways to unlock your car in case you get locked out. Understanding Auto Lockout: A Brief Overview An auto lockout can happen at any moment. However, it is not a good situation to experience, especially during an emergency. It is a situation when you forget your key inside your car and lock yourself outside. One of the most obvious solutions to this is to get professional assistance. However, there are certain tips you can follow to save time. Moreover, you can also transform this frustrating situation into a manageable one. 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Perfect ways to Earn from your Wonderful Car

Perfect ways to Earn from your Wonderful Car

Is it the cost of owning a car that drives you insane? Looks like you always pay for gas, insurance, repairs or tax? Wouldn't it be great if the car had been able to pay for itself? There are a lot of things you can do every day while using your car to earn extra money. It is time your car was turned into an asset, not a liability. Here are five ways to make comparatively little risk out of money in your car. With insurance and other measures to keep your car and you safe, each of the companies mentioned here protects you. Open a used car dealership Well perhaps opening a used car dealership is the most obvious way to make money from cars, used cars are always on excess supply and this can be a profitable working line. But it can also be one of the more challenging businesses to run, especially when you start out first. But, if you have a car, or two, you just don't want to. You could sell them forever. In fact, if you can find great deals on cars and fix them up a little bit, you could build a business from flipping them out for profit. Rent your car If you don't actually want to drive your vehicle around to make money, use an app to rent it to others. They pay a small fee and then when they're done they drop the vehicle back off. You can put your car to work while doing something else. Register with a company and customers will rent your car, pick it up from your designated location (including home or office) and return it to you. Open a garage Those with an interest in what's under the hood could have their own garage installed. If you are a mechanic so you can do the work yourself, of course, it's beneficial. But if you're not, you might always look at hiring staff and taking care of the operation's tech side. This is another field that is always in competition, as cars are complicated machines and often have problems. Medical Transportation Service Seniors and people with medical problems preventing them from driving often could use access to a car to and from medical appointments. Excel in this area especially if you have a ramp or a vehicle that is easily accessible. Drive an Uber If you are looking for a part-time job or you don’t have a good corporate job, don’t worry. We’ve got the solution for you. You can drive Uber with your car and can earn money. You just have to be very careful while driving and try to avoid any kind of drug that can cause you trouble. The accident can affect both you and the customer.  If it happens in Nevada, you need to get an attorney and immediately register a Nevada car accident report to avoid further problems. These are just a couple of ways you could make money out of your passion for everything related to auto. Making money out of your passion can be incredibly rewarding and every day make sure you take pride in your work. Moreover, this can also be a profitable industry in which to work, as vehicles are always on demand and play such an essential role in everyday life. More Related Post: 7 Ways Truck Accidents Differ from the Regular Car Crashes Dos and Don’ts After a Car Crash Tips for Winning Your DUI Car Accident Case

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There Is A Pothole Problem In America – How To Protect Your Car From Damage?

Drivers around the United States are complaining of potholes on the roads. In fact, there is a serious pothole problem in America. The AAA released their recent study report - which reveals that potholes cost the Americans drivers $3 billion a year. A pothole can damage your car other than making your ride bumpy. The suspension system of your car gets messed up when you drive over a pothole. On the other hand, potholes can bend the wheels of your car and puncture them in the process. Pothole-related repair costs can vary depending on the type of damage to your car. RepairPal is a good online tool to get an estimate on specific types of car repairs. Your location and other variables can affect the cost of repairs. In fact, the average repair cost will be around $300. You should contact a mobile mechanic Houston for assistance in this regard. $300 is a lot of money. For that amount of money, you can easily take your family to Disneyland. 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