Factoring your freight bills is quick and easy
The 4 easy steps to freight factoring with Tetra Capital
How do I Factor My Freight Bills? Once you deliver the load a factoring company, such as Tetra Capital, can make cash available to you from 65% to 95% of the face value of your unpaid freight bill within hours. The factoring company pays the balance, less a service fee, to you when your customer pays the invoice. While the factoring company waits to be paid, you have a large portion of your money to use as needed.
Benefits of working with a factoring company
Banks will consider whether your company is financially sound when deciding to approve a loan while factoring companies don’t look at the size of your business, your time in business or your creditworthiness. In fact, factoring companies look at the creditworthiness of your customers. There are also many benefits of working with Tetra Capital such as fuel cards, free credit checks on potential brokers and shippers and no long-term contracts.
Factoring your freight bills can increase your working capital and help you grow your business
The Problem Salt Lake Transportation, a refrigerated carrier with a fleet of three trucks, is looking to grow their business. Their bank turned them down because they did not have enough credit history. The Tetra Capital Solution They turned to Tetra Capital to see if there was a way to get the working capital they needed to expand their fleet and take on new clients so they could grow their business. Through partnering with Tetra Capital they were able to:
- Increase the size of their fleet to six trucks.
- Take on new clients growing their business by 60%.
- Save time and money by having Tetra Capital handle their invoicing, processing and collecting on all their receivables/loads.
- Save money on fuel, which they have been able to reinvest in their business.