5 Most Overlooked Items When Choosing A Factoring Company
Factoring is a valuable service for maintaining a healthy cash flow in your trucking business. However, not all factoring companies are equipped to support your specific business needs. Below is a list of five key considerations that every owner-operator and fleet owner should keep in mind when choosing a factoring company in trucking.
In the world of factoring, the longevity of a company is critical. The number of years a factoring company has been in business serves as a key indicator of its stability and reliability. Choosing a stable factoring company with a minimum of 7-10 years of industry experience will ensure a consistent and healthy flow of cash to fuel your business.
- Industry Experience
While factoring can be beneficial across various industries, freight factoring requires specialized knowledge. Because of the unique nature of the trucking industry, it’s important to choose a factoring company that understands the unique needs of owner-operators and fleet owners and has in-depth experience within the trucking industry.
- Competitive Rates
Factoring rates can vary among providers and depend on factors such as your customers' credit. A reputable factoring company genuinely invested in your success will offer reasonable flexibility around their rates and won’t have any hidden costs or fees.
- Customer Service
We get it - being sent to an impersonal call center when you're trying to reach your direct contact at your factoring company is frustrating. When evaluating potential factoring companies, make sure to ask about direct access to your factoring team. This will help remove any potential frustrations or challenges.
- Additional Trucking Services
While factoring is a beneficial service to your trucking business, other services, like equipment leasing, and safety & compliance services (IFTA, ELD, IRP), are just as important. Choosing a factoring company that provides more than just financial assistance will positively impact the overall success and sustainability of your business.
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Over the past 13 years, our customers have benefited from a consistent and reliable source of cash flow to fuel their trucking business. However, our commitment goes beyond financial assistance. We understand the complexity of the back-end operations of a trucking business, and that’s why we go the extra mile to provide a variety of services – equipment leasing, safety & compliance services (IFTA, ELD, IRP) - designed to support all aspects of your trucking business.