Freight Bill Factoring Keeps Many Truckers On The Road

They say that the trucking industry is one of the first predictors of a recession as well as one of the first predictors of economic recovery. When shipping starts to decline that means people aren’t buying. When shipping via trucks picks up steadily, then we are on the right track. Frankly, no matter what the stock market, housing starts and unemployment trends show, the trucking industry indicates that we’re in a recession and are likely to remain in this state for quite a while. That’s why freight bill factoring has become an almost essential practice for truckers.

It is a plain fact that many in the trucking industry are trying to simply survive until things turn around. And the members of the trucking industry have varied profiles. There are large national and regional carriers who are cutting expenses by letting drivers go, small to medium local and regional trucking firms who are following the same course of action and independent truckers with fixed expenses and no revenue if they are not on the road.

Each of these types of trucking entities is implementing specific measures to remain solvent until the economic storm passes. Some, unfortunately, will not make it. But one method many truckers use to keep their cash flow moving and their financial heads above water is freight bill factoring.

Factoring freight bills is a practice that is certainly not new to the trucking industry. I used to work in sales for a small trucking firm and the company could not have operated were it not for the practice of factoring their invoices. Factoring is, essentially, an agreement between a company and a “factor” whereby the factoring agent provides the company with cash advances in exchange for the company’s invoices or receivables. Depending on a variety of conditions, the factoring agent will advance to the company anywhere from 70 - 90% of the value of the invoices. Once the invoices are collected, the company receives the balance of the cash due less a small percentage that the factor is compensated for advancing the cash against the invoices. This rate is typically between 1-3%.

As any trucker will tell you, waiting to get paid by clients can be terribly frustrating. The customer wants the best possible terms for providing their freight business to the trucker and the trucking firm can wait anywhere from 30-90 days to get paid. In the meantime, there are drivers to be paid, trucks to be maintained, fuel to be purchased, etc. And those expenses must be paid right away. A driver is not going to wait up to 90 days waiting for the company to get paid so the company has to either have a large surplus of cash (which is not likely in a trucking enterprise) or access to a line of credit against which they can draw. And we all know what it’s like to get credit these days.

The fact is, the trucker does have an asset in the form of the receivables outstanding through the issued invoices. Eventually, they will get that money and the factoring agent knows that. Consequently, they are willing to “buy” these invoices at a discount from the trucking company and provide most of the cash value right away. This arrangement puts much-needed cash in the hands of the trucker and a few percentage points of the total value in the pocket of the factoring agent or company.

In the current economic climate, factoring is becoming more widespread as a form of financing. Factoring has been widely used by the trucking industry, healthcare and construction industries for quite some time. However, as credit becomes tighter and payment is even slower in coming, many companies are turning to factoring as a means of staying solvent and, in some cases, growing their business.

As I said, the trucking industry tends to be a leading indicator of economic trends. The use of freight bill factoring has made the industry has into one of the leading proponents of factoring receivables as a form of financing. Let’s hope both the trucking and factoring industries are trending in a positive direction for the foreseeable future.

Author:Terry McDermott

Directory:Articlecity.com

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Tips For Finding Best International Courier

Courier services have become an integral part of our lives – be it on a professional basis or on a personal basis. We do require the services of a courier for sending across important and crucial shipment, parcels or documents.

Nowadays most courier companies offer customized and specialized services as per the requirements of their clients. Before enlisting an international courier company to provide you with much crucial courier services you need to check the company out on following points –

Referrals – Begin with client referrals received from the courier company and cross check them in relation to their rates, service timings and delivery services.

Rates of courier services – You could also check out the rates charged by various courier companies and compare them accordingly. Ideally, you could choose the cheapest one but the courier company could assure you of not compromising on the service factor.

Customer Service and Staff – The professional approach, extent of friendliness and promptness in serving customers, attending to their issues is a vital factor in deciding whether you should go for courier services from this company or not.

Coverage – The extent of area covered across the globe and how many far off destinations they offer to deliver the goods has to be considered. Furthermore, the type of the delivery service they offer to the remotest region can also be considered before you entrust them to deliver shipments for you.

Office Location and Timings – The location of their office, the hours of operation and offerings to pick up shipments from your offices are vital points you should consider. The nearer the courier office to your office, the better as they can offer to pick up and deliver at odd hours as well. In case of any issues, you could waste no time in reaching their office and solving the issue as promptly as possible.

Experience and Expertise – It pays to enlist the services of an expert and well established courier company. This is because you can trust them to deliver against all odds. Most of these companies have well trained and experienced staff who know how to act and deliver crucial deliveries. Also they own an well established fleet of vehicles and warehousing facilities etc which ensure a thorough delivery job on all counts.

Tracking Service and Support – With increasing automation and development of sophisticated computer applications, most courier companies now provide the same through their website, client’s mobile phone, computer, telephone and emails. Most of these tracking tools allow the client to simply feed in the indent code and other details for getting the latest tracking status of their shipments. These tools offer 24 x7 services with almost no human intervention. If required, you can even get tracking and delivery details faxed across to you in no time. If an international courier company offers these sophisticated tracking service, they come of great use to client as they can ascertain the status of the shipment at any time and all times.

Author: Christian Wilson

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Freighters and Branches

Freight companies are companies that specialise in the moving (or "forwarding") of freight, or cargo, from one place to another. These companies are divided into several variant sections. For example, international freight forwarders ship goods internationally from country to country, and domestic freight forwarders, ship goods within a single country.

Shipping Methods

There are various methods of shipping goods; by air, road, sea, or rail. Some companies offer multi-modal solutions, this means that they offer more than one service, in many cases air and sea and in other cases air, sea, and road. The best way to determine a shipping method is by evaluating three factors: Time, Cost and Product Characteristics. While shipping by sea could take longer than shipping by air, the latter will always remain more expensive for a given set of shipments. Shipping by Rail could also be complimented by "piggybacking" the freight onto a truck so it can be delivered to the receiver. Visit an online freight philippines company to learn of their services.

Freight Companies

Some of the most well-known and worldwide companies are United Parcel Service, DHL, FedEx and TNT. Some of these freight companies tend to specialize in certain goods. For example, Activair is the world's largest freight forwarder when it comes to the book industry. Many smaller, Internet freight quote and freight shipping companies are gaining traction in the marketplace.

Two Branches of Freight Companies

Courier companies are usually spin-offs from freight forwarders. There are various types of courier companies, such as airfreight courier companies (FedEx, Skynet, Crossflight) or road couriers (Circle Express). Local courier companies such as the Philippines' LBC freight philippines company are also becoming popular in other countries.

Logistic brokers are companies that have access to a library of freight carriers and search for the right availability based on customer specifications. Marketrans Transportation Services Inc., and The Freight Rate Company are two of many examples. These also offer various value-added services that encompass transportation, logistics, and distribution. Typically, freight brokers do not "fingerprint", or touch, the freight. They engage in helping shippers find the best price with the best carrier for any given load. Visit a local online freight company to learn of their services.
Other logistics companies include 3rd-Party Logistics Providers. They offer a variety of supply chain and distribution-related practices and techniques in order to improve in-house logistics. The main difference between a traditional freight broker and most 3rd-Party Logistics Providers is that freight brokers do not actually touch (fingerprint) the freight, whereas 3rd-Party Logistics providers often do. 

Author: Timothy Gomez
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Techie Truckers

 Not only do truckers drive on the open roads but they also travel down the information super highway! Technology gives truckers a big boost in many areas and has made life a lot easier or at least more tolerable when they are away from home.

Trucking software makes all the bookkeeping and paperwork easier to handle and stay organized. Laptop computers help with keeping in touch with family, friends and even the trucking company they work for. Cell phones and satellite radio help keep an ear open to the world beyond the road well-traveled.

Let’s talk some more about these technological tools for truckers these days. Trucking companies are installing more and more Global Positioning Systems (GPS) in their trucks. These little technological wonders are great in providing detailed directions, down to the last turn. However, they are only as good as the trucking software that goes with it. Road conditions, traffic and detours are not updated often enough so truckers run into occasional problems when using their GPS. Overall though, they are worth the expense.

Laptops are more common place these days with truckers. After all, with the internet and email, communication with friends, family and their trucking company is all at their fingertips. And with wireless broadband (Wi-Fi) access popping up in truck stops, truckers can touch base more often, which makes being on the road for days at a time a little more bearable. Other things that truckers can do, thanks to the laptop computer and wireless broadband access, is check their bank account information online as well as the weather and the latest breaking news happening around the country.

Other techie stuff that makes life for truck drivers a little easier is the trucking software that tracks each tank of fuel consumed as well as the mileage and driving hours. This trucking software also can keep track of loads of cargo that has been picked up or dropped off. Different programs will do different things, depending on what the trucker wants it to do.

Today’s techie truckers kick that stereotypical “bubba” persona to the curb. To function in today’s society; you cannot get away from technology. It is everywhere, from the fuel pumps to the ATM machines. These days, truckers are embracing that technology and using it for their own purposes. 

Author:Mike Dobson

Directory:Articlecity.com

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What A Load Of......

Non-truckers often don’t stop and think about the trucking industry and the many trucking companies that help keep the economy going. Without those big rigs hauling various loads, whether it is gasoline, office supplies or grocery items, this country would be at a stand still. Where do you think the gasoline you pump comes from? What about that package of diapers you are buying your child? How did they get on the shelves? The answer: a big truck delivers all of that and much more!

Let’s talk about the various types of trucks that you might encounter on the roads. Each one is different because the loads of cargo are different. For example, the same truck that delivers your favorite ice cream brand to the grocery store will not be the same type of truck that delivers office supplies to the local discount store. By the same token, you will have a trucking company that might specialize in the delivery of one certain type of product over the other. 

Possibly one of the most hair-raising trucks on the road today is the one that hauls vehicles. You know – those car carriers where you just KNOW that one of those vehicles are going to come loose and fly off onto the hood of your car! Or how about the tanker trucks that haul fuel or other hazardous products like fertilizers and chemicals? Truckers who drive these types of trucks probably have nerves of steel. Not only do they have to worry about safety precautions for their own loads they are hauling, but they also have to keep an eye on some of the crazy drivers on the road and always be on the lookout for potential hazards.

Some trucking companies specifically handle household or office moving. Think of those families that sell their homes and move half way across the country. Truckers that handle that type of load not only have to be careful of these household items due to insurance issues but also have to have great customer service skills to handle these stressed out people making this move. 

There are many other types of trucks on the roads today. Flatbed carriers, refrigerated trucks, dry van carriers and even those trucks that carry livestock … non-truckers encounter some of these every day on the roads. We all should be cognizant of the fact that these trucking companies and truckers literally drive the economy. They have a tough load to carry and without them doing their jobs, we could not do our own. 

Author: Mike Dobson

Directory:Articlecity.com

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Do I need an International Mover?

This question, if you are planning to relocate overseas, is very relevant. You could probably handle this task on your own, but you must take into account all of the following factors before you make a decision:

An international move is a very complex procedure that requires more-than-basic knowledge; it will have you spending hours on the phone in search of moving companies (domestic and foreign), trucking companies, shipping companies etc.

Does it really require experience?

In addition to the knowledge required and the proper license to legally ship your belongings overseas, nothing can replace the amount of experience that an international mover has and that you, probably, lack. Even if you moved before it couldn't have been as many times as an international mover has dealt with these procedures. Think of it in more simple terms: even if you changed the oil in your car several times, that does not qualify you as a fully trained mechanic yet – you will still need to learn a lot and acquire enough experience before you will be able to be good at fixing your car, not to mention other people's cars. If we use this example, an international mover is a very experienced, highly regarded auto shop with a very good reputation, and one you won't hesitate to allow to fix your car.

How complicated can it be?

To help you grasp the extent of the complications you might need to overcome if you choose to do this on your own, here are just a few of the types of companies you will surely have to deal with when moving overseas:

1. A domestic moving company
2. A domestic trucking company if shipping an full designated container
3. A trustworthy shipping company
4. Foreign Customs Authority
5. Foreign moving company

Those are just the essential basic services that you will need to know how to find and deal with. Sound easy? Hold on…

Finding a domestic moving company can be simple, but how will you know that they are really as good as they say? Do you have any experience with such services in an extent that enables you to be sure?

Same goes for finding a shipping company: do you know who is the best? Do you have the ability to negotiate with them on a good price?

Would you like to spend the time required to narrow the gap between the moving company and the shipping company? Someone has to make sure that all that left your home will be loaded on the ship. Someone also has to make sure that all that is unloaded at your port of destination, is loaded on a local truck and safely delivered to your new location.

Dealing with foreign Customs authorities is in itself worthy of a separate article. You will have to master all local laws and regulations and overcome, to some extent, the language barrier.

Now go find a local moving company in your destination country. If you thought finding a good one in the USA is a bit of a hassle, try doing it by phone / fax / e-mail in Italy, France or any other country where they probably speak less English than the local Customs personnel.

The bottom line – get a quote

In short, unless you have moved hundreds of times, it would probably be wise to let an international moving company that handles thousands of international moves annually take care of your move and allow you to make better use of your time in preparation for the big step.

Getting a quote is free, what have you got to lose? 

Author:John Jo

Directory:Articlecity.com

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Liabilities of Trucking Company

The company should be a duly licensed/registered one with the registration bureau. A true copy of this registration should be affixed every time in the office of every branch of the company for the perusal and satisfaction of the customers. It should not be an expired one.

The expiry date should be easily visible and legible to the customers/visitors for the purpose of booking of a truck. Despite of this if a customer wants to see an original license of the company for any reason, the management of the company should arrange for that by connecting the relevant bureau through internet as the facility is available now a days.

All the trucks of the company should be registered with any registration branch of the country according to the rules. Every time original registration of the truck should be with the driver of the truck. Registration should be fresh and renewed if required. The expiry date if there is as per rules should be prominent. Engine and chassis Nos. of every truck should be tallied with the Nos. noted on the registration book. On demand of the customer the company or driver should show the registration book.

All the due taxes should be paid in time by the owner of the truck/company. The registration book should bear the due taxes paid stamp or writing otherwise. Expiry date if (there is as per rules) should be visible and legible. Route permit duly issued by the relevant office should be with the company or truck driver and during the journey it should be with the driver. The route permit should be renewed if so required by the rules. Every truck of the company should have the fresh fitness certificate issued by the motor vehicle examiner. The renewing and expiry date should be clear for the satisfaction of the customer.

All the drivers of the company should be licensed and during the journey the license should be with the driver. License should not be an expired one if the rules demand renewal etc. The validity and expiry time should be clearly shown on the driving license. Through this article we would like to advise/suggest a trucking company to maintain a list bearing the registration and route permits Nos. names of the drivers, expiry dates of registrations, route permits, driving licenses and fitness certificates of the trucks. This list should be remained before the relevant employee of the company. It would be very professional if this list is made exposure to the public.

In addition to above noted liabilities the trucking company should have its website on the internet as per the demand of recent time. It is very awkward if in the present time of advancement a trucking company has not website. Anyhow the company should have prominent place on the net. Other sources of advertisement should also be used by the company to grow up the business and facilitate the public. It is very immediate liability of a trucking company, driver or representative to issue a receipt of the articles to the customer and get a certificate from the customer after transportation of the same.

Author:Victoria Julee

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