Ready, Set,....Fail

I have a small fleet of 6 trucks. I'm leased on to a company and after fuel, driver pay, putting up for big repairs and taking out for monthly pm including my salary I'm averaging $.31 CPM, but I want to get my own authority and have direct shippers. I thought about using a factoring company to start out, or just offer breaks on the bills for the shippers if they pay within 15 days and late charges for paying beyond 45 days. what do you think about this?

 

It's tough to find customers who will pay in 15 days... the standard years ago was a 1% discount if paid in 30 days after receiving the invoice... but 1% is not going to get many outfits excited about paying early or even on-time.

 

Oil companies up here typically pay 90-120 days. Waiting 6 months is not unheard of and they will NOT pay interest or late charges under any circumstance. It's not hard to run up $100,000 just in drivers wages on a couple trucks before you see a dime not to mention all the other running costs.

 

I do the samething I rather have my money. Bokers can go out of business in thirty days now. What gets me is some of these companies think and act like you owe them credit?? I've told more than one if I wanted to extend credit beyond a few days I'd have went into banking.
Direct deposit and com , T check is the way to go no worrying about billing.
Trans flo is a good tool also.
I was glad I had a cash reserve it made turning down cheap loads easier and last summer I bought two transmissions for my trucks and this guy was nothing but a crook. Rebuilt one with wore-out shift forks, it has been gone into twice since july. Never use this guy!! I have pictures to prove his work is crap. Not one but two transmissions has nearly put me out of business due to his incompentance http://www.joestransmission.net/

 

Does anyone not drag them through collections? Down here inAl. in six months the case would have done been heard and you could levey and execute on whatever they have you can find. I keep hearing these guys talking about the brokers bond? Filing suit gets more action cause it will ding up their credit. Filing on a bond doesn't have the same effect.