#Factoring invoices wex fleet one drivers
#Factoring invoices wex fleet one driver
#Factoring invoices wex fleet one free

Short-term rates will always be higher than long-term interest rates. Tack on another five days to receive the payment by paper check, and the APR of a 3% factoring fee is closer to 24% (3%*360/45).įurthermore, APRs depend heavily on volume and term. In practice, freight bills with 30-day payment terms are typically paid out in 35 to 40 days from when the invoice is sent. After all, financing a 30-day invoice at 3% would be equal to a 36% annualized rate. Even so, a 3% fee for non-recourse factoring may appear too expensive to gain access to funds for invoices with 30-day payment terms. Some factoring companies that specialize in transportation have recently developed technology that streamlines transactions to lower the costs and risks of funding.įee structures are now as low as 3% of the invoice amounts. Unfortunately, not all trucking companies understand the real benefits of fleet factoring because of some common misconceptions.

#Factoring invoices wex fleet one driver

Technology continues to enable fast fleet payments directly to the driver or vendor, by bolstering fleet factoring capabilities resulting in next day or, in some cases, same day cash-flow.

#Factoring invoices wex fleet one drivers

The trucking industry is a mobile operation, so providing tools drivers can use on the road is critical. We’re able to get our bills of lading in, we’re able to invoice quicker, which speeds up our cash flow. Driver communications and payroll processes also improved. Since converting to the Vector app, Tribe has seen a seven-day decrease in days sales outstanding (DSO) or accounts receivable. The reliability is 100% better than what we were getting with the old scanners we used.

Tribe Transportation, a transporter of high-end, high-security pharmaceuticals, fresh foods, and other fragile cargo, implemented a document-scanning app from Vector in November 2017 and found the results to be outstanding.

This recent example from CCJ Digital makes that clear. Technology is helping to streamline supply chain function through mobile apps as well. Mobile Technology Means Faster Fleet Paymentįleet factoring has given the industry its own real-time payment solutions, but that is just one of the ways small to medium-sized fleets are balancing financials to make operations more efficient and payment faster.

#Factoring invoices wex fleet one free

Free fuel card funding with Fleet One Factoring.Universal acceptance at more than 8,000 truck stops nationwide.No fuel transaction fees in the Fleet One EDGE network**.Largest nationwide fuel discount network, with more than 3,600 sites.That kind of savings can contribute to the success of the company in remarkable ways. Specifically the Fleet One EDGE card gives access to the largest fuel discount network available, with average savings of 12 cents per gallon *. Fuel Savings and Fast Fleet Paymentįleet cards offer fuel savings as well, invaluable in an industry that literally relies on fuel to operate. Funds can also be allocated to these cards in real-time to enable fast payment to drivers at fuel stops and in some cases for hotels and food. Many fleet factoring companies, including Fleet One, offer fleet cards that provide access to funds for fuel and more. In many cases drivers have elected to receive ACH payroll transfers, which deposit funds directly to their bank accounts. When cash-flow is available, fleet managers are better able to provide the resources they need to keep operations running and drivers paid.

Ĭompanies like Fleet One Factoring offer a variety of services other than immediate invoice payment but it is the faster fleet payment that is making these factoring relationships so important. The good news is that there are resources to guarantee speed in fleet payment and they are found in fleet factoring. While the trend in real-time payment is hitting many industries, it is slow to become standard practice in the trucking industry. Speedy fleet payment is required to keep operations running and trucks on the road. So when payments on invoices stretch out to 90 days, cash-flow can become critical. Small to medium-size fleets operate within slim margins. However, not all trucking companies have the resources they need in the short term. The age of consumerism with mega companies like Amazon and Walmart has seen to that. If handled with care, speed can be the smartest tool a trucking company can deploy, especially when it comes to fleet payments.Ĭlearly trucking is in demand.

That is very much true for the trucking industry, which is studying these practices not only to keep up with consumer expectations but also to generate revenue. With Amazon business practices paving the way for one-button ordering and same-day delivering, efficiencies and streamlined operations have become the focus of industries across the globe. When it comes to doing business these days, speed seems to matter most.