Owner Operator Pay? Net-30; Instant Pay, etc.

Hi there XYZT.There is freight factoring companies that you can sign on with.For a certain percentage-they will pay you(i think immediately) for your run-then they will chase down the broker.I never used that service-im sure some here that do or have will let you know more about it.
Ive been running a long time-keep my loads-connections to a tight knit group,im paid 30 to 60 days out.A few are 90 days,but not many.
I would say-being your starting up-you oughta figure on knowing your money isnt coming for 60 to 90 days.
Please- Plan on that!Please budget for that.Ive been burned thru the years-some arent worth chasing down.It's gonna happen.
Starting up-you dont need that-just be prepared.
Good luck to ya.

 

When you lease your truck to a company that hires owner operators then they should pay you on weekly basis. They should handle all the billing and collections.

When you want to be an independent owner operator, you have your own MC/DOT#
then there are 2 ways I know of to get money quicker

1. Factoring companies - there is more of them than turds in a latrine. As soon as your MC# becomes active they will call you and offer services. Some will pay you even the next day, via ACH. Look around here for some threads, there should be quite a few of them.
2. Quick pays - brokers will pay for a fee. Most of them offer that for a fee 2-5% depending how fast you want the money.

30 days of waiting should be the norm when you invoice them yourself. For this 15 - 20 k on a business account is a minimum necessity before you start and that's a designated business fund, not to be used for a mortgage or car payments. It is about 3 - 4 weeks before you will see your first checks.

 

You need reserved funds before you do the O/O thing as you call it. And yes, there are companies out there that pay you for your invoices BUT there's a fee or percentage. I knew I guy that use it but it only barely kept him above water.

 

How does the whole invoicing thing work? I pick up a load and deliver it. You leave the invoice with the BOL at the receiver and they send the money via check? Or is it through the broker you used on an app? Or is the invoice the actual BOL?

 

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You send the signed BOL (they call it often POD - Proof of Delivery) along with your invoice for the agreed amount and the Rate Confirmation to your broker. It is most often done by email - you scan and attach the documents. Some will let do it via Transflo or their own apps, or you can do it via regular mail.

 

But always make copies. Never send your only copy of any documents to anyone. If something does come up, you will need to to resolve the issue.

P.S., That advice was mostly for the op and well, everyone not who I quoted specifically.

 

My niece works for a factoring company in Oklahoma. They get 4.5%.