Best Freight Factoring Companies
Top 7 Freight Factoring Companies as Chosen by Carriers
Choosing which load factoring company to work with is a big decision for any carrier. While there are many benefits to factoring, it is important that you choose the company that is right for you to fully enjoy these benefits. In order to make the process a little easier, DAT has reached out to several experts to get their feedback on the best factoring companies for truckers.
Freight factoring, also called transportation factoring, trucking factoring, or freight bill factoring, is a process in which the person or business that delivers a load sells their invoice to a factoring company. The factoring company then pays the carrier the full amount of the invoice, minus a small percentage, within as little as 24 hours of receiving the invoice, rather than waiting a month or longer for a broker to pay the invoice. The time it takes to receive payment can depend on a variety of factors, but generally different companies will have different timelines for payment.
The essential point to remember is that factoring should not be confused with lending. When a factoring company purchases your invoice, that invoice belongs to the company. With factoring, drivers and businesses are able to get paid in advance — and use these funds to pick up new loads — without having to get a loan or incur debt.
The following seven freight factoring companies have been selected according to feedback from owner-operators — and then vetted by industry experts. Here’s what you need to know about choosing the right one for your business.
Better Business Bureau® Rating: A+, accredited
Triumph has been an industry leader in freight factoring since the company’s inception in 2004. Since then, Triumph has helped more than 20,000 small and medium-sized businesses in the U.S. take control of their cash flow. While Triumph’s numbers could speak for themselves, it is the positive feedback of owner-operators and industry experts that really demonstrates why Triumph is the number one choice on this list.
Chamaine Jeffers described how Triumph has helped her and her business. She said, “With Triumph, you get free credit checks on brokers and advances of up to 50 percent on fuel payments. They have great customer service, and you can negotiate some basics of the contract. Also, TriumphPay is a great way to handle the accounts payable process. It easily allows carriers to set up pay, including QuickPay using their mobile phones.”
Given that Triumph receives the most positive feedback of any of the companies on this list on their Better Business Bureau® page — as well as on TrustPilot — it’s unsurprising that Jeffers is just one of many Triumph clients with good things to say about the company.
For instance, President and CEO of Crescent Foods, Ahmad Adam, who has worked with many financial institutions during his 25 years in business, explained why Triumph stands out. He described Triumph’s factoring experts as “very knowledgeable, efficient, and courteous! [They are] solution oriented and extremely prompt with quick responses. [Triumph is] the best financial institution I have ever dealt within 25 years.”
While these reviews help to demonstrate why Triumph is at the top of our list, it’s also important to take a closer look at the company’s concrete offerings and advantages to understand how exactly it stands out from the competition.
Specifically, Triumph offers:
- Both recourse and non-recourse factoring programs
- Competitive Factoring Rates
- Freight factoring with no minimum
- Advance Rates as high as 100% with no reserves required
- Fast funding within 24 hours
- Complete transparency — Triumph’s fees are all clearly laid out in the factoring agreement
- Discount fuel cards to save money at national and regional chains
- Fuel advances in one hour or less
- 24/7 Online account management for invoice submission and status updates
- 24/7 Free, Unlimited Credit Checks
- Best-in-class customer service
- Month-to-month contracts available
- Freedom to pick and choose which customers to factor
- Referral program: earn extra money by referring other companies to Triumph
While Triumph is known for its invoice factoring services, it offers other value-added benefits as well, which you can easily combine with factoring. These include asset-based lending, equipment financing, insurance services, fuel cards and advances, credit checks and analysis, back-office solutions. When you partner with Triumph, you are assigned a dedicated account team of professionals who work with you to make sure you have the money you need to manage and grow your trucking operations.
Finally, Triumph has an added perk when it comes to factoring if you’re already using the DAT load board. If you see a green check mark next to a load on the board, that means the client has been approved by Triumph. With a load board and factoring company that is connected, invoice factoring is easier and more reliable than ever. Most importantly, since Triumph doesn’t have any minimums, it gives you the freedom to factor as few or as many invoices as you want each month.
Start factoring today!
When you partner with Triumph, you get more than money. You get a dedicated team that supports your business with invoicing, collections and credit analysis.
Register with Triumph Business Capital and get paid faster today!