Frequently Asked Questions About Freight Factoring
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"I have been doing business with Advance Business Capital for more than three years and found them to be the best factoring company in the market place. With friendly people, you are treated as a family. They care about your business as their own."
Faisel Amin, Texcom Transportation LLC |
What Is Freight Bill Factoring?
Freight bill factoring is the purchase of accounts receivable for immediate cash.
Factoring gives businesses the power to ensure growth without incurring debt
What Are The Benefits Of Factoring?
Virtually all of the costs associated with operating a trucking fleet requires cash outlays
before being paid on your services. In fact, adding a single power unit to your fleet can
typically consume $15-25,000 in cash outlays. Factoring provides the capacity to grow
when other forms of financing may not be available. Additionally, a factor who specializes in your industry can provide credit and collection services at a fraction of the costs available to an individual carrier or freight broker.
Isn't Factoring Only For "Troubled" Carriers?
No. Trucking companies require cash and lots of it. Consequently, banks and other
traditional lenders will not provide the capacity to fund your business.
What Size Fleets Do We Serve?
Any size. However, we specialize in fleets from 1 to 100.
How Long Does It Take To Process My Application?
Typically, within 24 hours - but we'll respond to you immediately.
How Long Must I Be In Business?
No specific requirements. We're looking for carriers operating under their own authority.
We look at the experience of our customers, not the longevity of their business. Start-ups no problem.
What If I've Filed Bankruptcy?
No problem. If the bankruptcy has been discharged and you've been securing other
forms of credit, you can factor with Advance Business Capital.
Do I Have To Factor All My Invoices?
No. However, we generally require you to factor all invoices for any given shipper. This
eliminates unnecessary confusion with your customers.
How Will I Know The Status Of My Factored Invoices?
Our online account management provides a full array of client reporting and real-time
information. We can also accommodate any special reporting requirements, by fax and
email. Our goal is to keep you totally informed on the status of your customers and
accounts.
How Will My Customers Know Where To Send Payments?
Each invoice will be stamped with payment instructions. We'll even provide you with the
stamp.
How And When Do I Receive The Cash?
Your choice as to how - wire transfer, ACH, check or Express Check. If you apply for a free Cash4Truckers fuel card, your funds can be loaded onto that card for no charge. We'll remit funds as soon as we process and verify the purchased invoices.
How Do I Get Started?
Call us, toll free - or click below for an online application
