To build a strong trucking enterprise, it’s important to put both your finances and your customers first. But what happens when your customers are making it difficult to stay fiscally afloat? Not everyone who runs a trucking business can tell whether or not a customer will be reliable. In many cases, customers who use your services will unfortunately take as long as one to three months to pay their invoices. Nevertheless, these customers are crucial for maintaining steady growth, and if you’re to shape a strong reputation for yourself within the industry, you should not turn business away.
There are ways to maneuver around outstanding payments in the interest of improving cash flow without putting pressure on important working relationships. Renowned transportation startups will agree that being service-driven and catering to the needs of their customers is ultimately what landed them their success. They also press that a business cannot look after its customers without first looking after its own affairs and employees. Ensuring there are enough reserves in the bank to pay both the bills at the end of the month as well as your drivers indicates your company is steady. In an industry where trucking and courier services are constantly awaiting payment from customers though, utilizing a truck factoring company will guaranty this reliability and security even when customers can’t.
Invoice factoring companies that specialize in transportation and trucking industries like Accutrac Capital, can provide instant cash advances to those contending with unpaid invoices. Their most popular factoring plan offers clients a 97% advance on their invoice for a small one-time fee of 1.59%. The remainder of the funds are returned once the invoice is paid in full by the customer, which the factoring company takes the reigns on securing. Freight factoring from Accutrac Capital removes a considerable burden, as owners can then put the 97% advance back into their business initiatives without worrying about tracking down customers. They will also be free from the accumulating interest rates that paying back a loan from the bank would entail.
Keeping your customers happy and your finances in check will also allow you to expand your enterprise, and invest in revenue-building activities. Apart from invoice factoring, Accutrac also provides equipment financing for the purchasing of new fleets. They accept all current models irrespective of age as collateral to extend credit when conventional methods (like taking loans out from the bank) are not available to clients. This is an excellent service for fast growing companies to take advantage of; it also allows trucking businesses to augment their existing fleet with newer models.
Key performance indicators of a successful trucking company are financial stability, customer satisfaction, as well as capacity for growth and advancement in the industry. Often, struggling with any one of these factors can affect a company’s ability to fulfill the needs of another. Without strong finances for example there cannot be growth, and without dependable customers, managing cash flow can become a big issue. By partnering with invoice factoring entities however, enterprises of all sizes can retrieve money for services rendered fast.