Category: factoring

Ready For a Change? Here’s How To Get Your Own Authority Right Now

Posted on December 18, 2019 by - factoring, freight load board, insurance premiums

We know 2019 hasn’t been very kind to trucking.

But right now might just be the perfect time to get your own authority.

For instance, freight prices are holding steady and used truck prices are low right now.

But if you’re looking to become an independent owner-operator, you’re going to need a lot more than just your own equipment. 

Here are all the things you’ll need to become an owner-operator truck driver that you probably hadn’t considered.

Truck Registration

You’re going to need a lot of registration to get your own authority. Here are two of the most important ones:

USDOT Number:

Issued by the FMCSA (Federal Motor Carrier Safety Administration), USDOT Numbers are required for vehicles that haul cargo or transport passengers interstate and that meet one or more of the following requirements:

  • Has a gross or combined weight of 10,001 lbs or more
  • Transports 8 or more passengers for compensation
  • Transports 15 or more passengers not for compensation
  • Transports hazardous materials.

The USDOT Number serves as your identification during inspections, compliance reviews and more.

MC Number: 

The MC Number serves as your interstate authority, or your right to travel between states. In addition to your USDOT Number, you may be required to obtain one or more types of authority through the FMCSA based upon your business and the type of cargo you carry.

The type of authority obtained will determine the type and level of insurance coverage needed.

For a full list of registration requirements, check out this blog.

Trucking insurance

That’s right. You’re going to be the one coughing up the premium for insurance. Not only is it important to protect yourself in case of an accident, but insurance is also required legally.

There are a number of different coverage options available, so be sure to do your research to find the right kind from the best provider.

Find a good load board

As an independent owner-operator, you’ve got to find business for yourself. Finding a solid load board where you can bid on profitable, convenient loads is very important.

Our top pick for a load board is DAT. They have a simple and easy to use marketplace where you can choose from over 235 million loads posted per year.

Factoring

Factoring can be a huge asset to small trucking operations. In many instances, final settlements from completed loads can take weeks or months to receive. 

Factoring companies help by giving you the money upfront and then bearing the responsibility of tracking down the settlement from your clients. This can help you keep the bills paid on time.

Use a good TMS

You need a centralized location where you can track all of your loads, expenses, and maintenance.

That’s where TruckLogics Trucking Management Software (TMS) comes in. With their web-based software, you can enter and track records from anywhere, even your cell phone.

Some of their great features include automated check calls, expense tracking, invoicing and billing, IFTA compliance, and business reports.

The best part is you can get a 15-day free trial. There’s no obligation and no credit card information required.

Use Factoring To Get Paid The Same Day

Posted on March 8, 2017 by - ”trucking company”, factoring, Fleet Owners, freight factoring company, new truckers, Owner Operators, rookie truckers, truckers, veteran truckers

The trucking industry can be hard to break into. You need a good cash flow to get your business started and to keep it going. Just because you’ve established yourself as an owner-operator doesn’t mean that you won’t face slow periods where you need a little extra cash flow to get by. Now, this doesn’t mean give up, it simply means consider the option of factoring to get cash fast for your business.

Factoring

Factoring can be the solution to helping you manage your cash flow for your company because it helps you get cash fast because factoring is an advance on accounts receivable.

Basically factoring companies give you a cash advance by paying you for the invoices on loads that you’ve already delivered. Usually, once you deliver a load you won’t get paid for it until 30 to 90 days later, so factoring cuts that time out by paying you the same day.

Drivers and owner-operators tend to turn to factoring as a way to keep their business afloat or to get their business started for a variety of reasons. For example, factoring could be the best option to get paid the same day when drivers can’t cover their bills, when they have a major fuel invoice, or need to pay their drivers. Different companies have varying amounts of time on when drivers actually get paid, and factoring will help drivers get paid the same day instead of waiting.

When you’re just starting out and want lease a new truck factoring can provide the cash that you need to cover business-related purchases in order to get your owner operating business going.

Before you get paid you will negotiate an agreement with the factoring company. The money you get upfront will be a percentage of the amount the load your client owes you. In the factoring agreement, your customer will pay the factoring company for the load you delivered and the factoring company will keep an agreed upon percentage, then you’ll receive the rest.

Our Top Factoring Companies

Here at ExpressTruckTax we pride ourselves in providing quality service and helping truckers out in any way we can, that’s why we’re telling you about two trusted, and outstanding factoring companies that you can turn to for cash advances.

Since 1994 TCI Capital has been helping those in the trucking industry and more get the cash they need on the same day instead of waiting for it. TCI has experienced and knowledgeable representatives to help serve clients with even the most unique funding needs.

Also, TCI offers the credit history and payment trends of potential clients to help companies take on new customers with confidence, and provides online reporting to keep you informed about your transactions at all times.

FleetOne has 28 years of experience in trucking finance and will work hard to get you funding within 24 hours. By providing credit checks and offering an experienced support team to answer all of your questions, FleetOne makes the factoring process quick and simple.

The FleetOne mobile app can be used to make factoring even easier, by providing you with the ability to take a picture of invoices, documents, and more to instantly scan and upload to your FleetOne account. The app also keeps all of your documents and transactions in one convenient location.

ExpressTruckTax is Here To Help

If you have any questions about factoring or about what we can do to help you e-file your HVUT and accurately calculate your IFTA totals please don’t hesitate to contact our dedicated support team at ExpressTruckTax via live chat, phone, or email.