A Carrier's Guide To Success In Today's Trucking Industry
It’s no secret that the trucking industry is facing a downturn. But while most carriers are buckling down on their costs and pinching pennies to get by, there are a few ways for you to take advantage of the current status of the trucking industry to propel your business forward, especially as things start to turn around.
In this blog, we will list three key things that an owner-operator or fleet owner can do right now to put their business in a better place when the industry starts to level out.
- Invest in Equipment
Despite the economic downturn, it's important to recognize the cost savings currently available in the market. Equipment prices have decreased significantly, presenting a prime opportunity for carriers to upgrade their fleets. Equipment that was purchased a year ago is still available today at a notably lower cost. Whether it's acquiring new trucks, trailers, or technological advancements, seizing this opportunity can propel your business toward long-term growth.
- Lock in Lower Factoring Rates
Currently, factoring rates are at a favorable low, offering trucking companies an excellent opportunity to secure financing at reduced costs. Taking advantage of this opportunity will help improve your cash flow and mitigate financial risks. However, when selecting a factoring provider, make sure they do not penalize you for not factoring every invoice or month. This proactive approach to find a provider will help you avoid unnecessary expenses and hidden fees.
- Prioritize Safety Compliance
Audits are on the rise, and we’ve seen more trucking companies than ever failing. With the hefty price tag associated with audit failure fines, it’s important to prevent compliance violations, making now the right time to invest in safety support services. But, when selecting a safety support provider, make sure to prioritize those with extensive experience in both enforcement and maintenance of compliance. This expertise will give you invaluable insights into remaining compliant.
Leveraging Today's Market Conditions For Success
While things are certainly different right now in the trucking industry, there are still numerous opportunities for businesses to thrive and grow. By making smart use of lower equipment costs, better factoring rates, and keeping safety a priority, trucking companies can set themselves up for long-term success, especially as the market begins to improve.
