The trucking industry is the backbone of our economy. Now, more than ever, every industry and consumer is depending on trucking companies to deliver everything from medical supplies to food to raw materials to manufacture respirators. With the COVID-19 outbreak, trucking companies are doing all they can to ensure supply chains are running efficiently, and to protect the drivers on the front lines who are making deliveries to the cities and states that have been hit the hardest. However, while legislation is being debated and people are still getting sick, trucking companies are trying to find working capital to keep operations rolling.
The Need for Working Capital Started before the Outbreak
Trucking companies need a reliable source of working capital without needing to fall back on debt-based loans. This is nothing new, but the situation becomes more apparent and intense whenever the economic landscape becomes uncertain. COVID-19 caused everything from panics over bread and toilet paper to banks tightening their requirements for loans. Throughout all of this, trucking companies are still waiting on payments from customers for shipments made a month ago or longer. Those outstanding receivables create gaps in cash flow, and can prevent trucking companies from hiring drivers, keeping tanks filled, making payroll, and more – which can result in a slowdown of the trucking industry as a whole.
Finding Solutions for Trucking Companies
One tried and true method for closing any gaps in cash flow and bringing revenue up to date is to use freight factoring. Freight factoring is a simple exchange of unpaid invoices for working capital. The process is fast, simple, and transparent. Best of all, freight factoring is not a loan, so trucking companies can preserve their credit ratings and avoid taking on unnecessary debt. Both benefits are essential to business survival right now.
Get the Working Capital You Need
Single Point Capital provides freight factoring to trucking companies nationwide. Our factoring services are fast, comprehensive, and we make funds available to our clients within a single day. Signing up for factoring from Single Point financing opens up a number of other benefits as well, such as discounts on fuel, fuel advances, and assistance for owner-operators looking to start their own trucking companies. Contact Single Point Capital today to get the working capital you need to stay successful.