For Brokers who Do not pay timely…

Depends on the contract. I’d say most are 30 to 60 days with a contract of any size. I know when I drove for my old boss our Hone Depot contract was 90 days.

 

True, I had a broker 2 weeks ago pay me within 4 days even though it was a 30 day invoice. It depends on the Broker. Those credit scores on the load boards usually guage a Brokers intent on paying on time. I can't say it's an exact science however it can help.

 

Lots of customers are slow payers. Usually the larger they are the slower they pay. It's irrelevant though. The carrier has payment terms agreed to in writing with the broker and the broker only is responsible to pay accordingly to those terms.

What's between the broker and his customer is none of the carrier's business. Lots of times the shipper isn't even the broker's customer either. Too many carriers get hung up on what everyone else is doing instead of focusing on their own business.

 

Most of my customers over the years have been 30-90. As others have mentioned, our terms with carriers are what matter.

 

The bigger the number the more those fractions on treasury bills matter and depending on the accounts payable vs receivable a company may at a minimum match the two so they don't lose on the float