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Transport companies are always looking to cut down on travel costs, and there's no better way than with a financial product from us. Our company has been in the industry for decades, which means we know what works and what doesn't. You can trust us to find something that will work for your business.
Whether it's a commercial fleet card or a fuel card, this company is here to help. At Equify Financial, we also offer other financing options like vehicle loans or equipment leasing if those would be more beneficial for your specific needs. Call now to see just how much money they could save you!
In the piece, we will cover everything you need to know about preserving and increasing cash flow for your transportation company. So without any further ado, let's get this show on the road.
Cash Flow is essential for any company, let alone a trucking business. It would be best to have cash in savings for future projects, flowing money to run the day-to-day business, and paying suppliers and everything in-between. That said, when you are looking into anything to do with how to improve cash flow and your tracking company, here are a few suggestions that can help you:
One of the many ways to do this is to maintain an organized back office. Well-organized legible records will make it easier for them to keep track of all future transactions between customers. This will ensure that they are not needlessly chasing down past debts or waiting over long periods for payment on outstanding invoices.
This also helps businesses with bill factoring services where professionals work in your company's best interest providing free customer credit checks. They also organize paperwork efficiently while eliminating manual data entry errors caused by typos, missed dates, or incorrectly written numbers. These errors could have serious consequences when obtaining funding through loans like business lines of credit provided by banks or facilities like Equify Financial. So getting the records right helps a lot. It is the first step on how you fix your trucking company's cash flow problems.
Transportation inefficiencies can lead to headaches, downtime, and expensive losses. To optimize your trucking company's efficiency, you must be sure that technology is up-to-date to avoid wasting time on the road or at a terminal.
Electronic logging devices (ELDs) are one of the most popular ways for drivers to record their work hours while driving. And this means less fuel use and wasted wages via unpaid overage hour charges from shipper/receiver companies.
Regular fleet maintenance will also help keep vehicles running smoothly, which results in increased driver satisfaction because they won't have any unforeseen emergencies come up during transportations sessions due to poor vehicle conditions. When you have an efficient system, it's how to solve cash flow problems for your trucking company very fast so everything will have accountability. Plus, you will be able to manage assets better and know where all the funding is going into.
Strategies to increase the cash flows of a trucking company
Fuel cards offer trucking companies and their drivers a great way to preserve cash flow. You save by getting discounts on fuel, pay more efficiently with instant access to the account, and dispatchers can send payments immediately without worrying about mail delays or having cash on hand for each payday.
As an operating company that takes pride in our quick response time when it comes to customer service needs—we also want you as one of our customers. That is why we have partnered with the best transportation fueling companies to be able to provide you quality fuels at discounted prices across any branded station nationwide through EFS Fuel Cards. With this card installed into your vehicle's onboard computer system, not only will you enjoy it but save a lot.
This is yet another way cash flow considerations for transportation companies that basic accounting for trucking companies: letting a qualified financier company help you. At Equify Financial, we possess these skills to improve your company, save money, preserve cash, and even increase cash flow.
You've been working hard to grow your trucking company, and now is the time for you to take a step back from driving so much. By using Equify Financial services that can collect money directly from customers who owe it in advance, there's no need to worry about slow payments or lousy credit hurting your business.
Here are some of the ways trucking companies can improve cash flow in their day-to-day operations.
Eliminate any needless business expenses.
Make sure your fleet has the most up-to-date equipment.
Improve your professional relationships and marketing.
Freight factoring allows you to save both time and money.
Encourage staff and truck drivers to go above and beyond.
All the money coming in and out must be well managed. It is hands down one of the best ways to maximize your trucking company's cash flow. Here are seven strategies you can use for cash flow management. These strategies are pretty straightforward to understand and implement.
Keep track of your finances.
Produce cash flow statements.
Examine your cash flow.
Determine whether you need to boost your cash flow.
Spend less where it's necessary.
Increase the speed with which your accounts receivable are processed.
Rinse and repeat as needed.
Generally, any business in the transportation industry can use these cash management strategies to become better and more prominent. They are a sure way on how to solve cash flow problems for your trucking company.
Inquire about a deposit or milestone payout with every delivery and transit.
Request that customers pay more quickly through automatic channels.
Expenses should be reduced or postponed.
Vendors should be given more favorable payment terms like direct bank transfers.
Purchase orders need to be financed.
Increase your profit margins.
Idle equipment can be sold or leased.
Future revenue can be sold.
Suppose you are already in the deep with debt and other financial issues; how do you get your company out of that? Well, the good news is that at Equify Financial, we are here to help. Below are some of the things we can help you do to get back into the good financial books:
So before we get into how much gas costs these days--let's take a look at what determines that number in the first place. A good rule of thumb is selecting a suitable cost-per-mile rate by looking at both expenses and expected profit for that year. When all factors are considered, dividing them up over mileage gives us an accurate estimate. This estimate is on whether or not our business venture will be profitable with its use of fuel expense (gas).
A business model is only as good as the industry it supports. Supporting a dying or struggling sector will inevitably lead to a financial struggle for your company. Even if you follow all of these tips and tricks, they might not save you. But there are some things you can do that may help improve your situation:
Improving Your Costs. It would help if you always tried to reduce costs whenever possible because every dollar saved means more profit margin in the long run.
Find ways within different departments can save money on electricity usage, office supplies, travel expenses while still providing quality service at an affordable price point. This increases customer satisfaction which leads to repeat customers and positive word-of-mouth referrals from happy clients.
Do you need more money in your business? If so, look no further than Equify Financial. We provide financial products that will increase the cash flow for your transport company and help give you peace of mind when it comes to managing your finances. We can make it easier for you and your team to focus on other essential aspects of running a successful company with our assistance.
Improving cash flow for trucking operations is not rocket science; if your company follows all of the steps above, they will be on the road to success. Equify Financial has been in the transportation industry for decades, and we've seen what it takes to help you grow your business. Our team of experts can work with you on all aspects of financial planning, including securing financing and then providing products that will preserve or increase cash flow. So you don't have to worry about anything. We want to be your partner throughout this process, helping make sure everything is taken care of without any hassle from start to finish. Contact us today if you're interested in learning more!
Our story started with building a team of people that have experience working in the same industry as you. We think like you think. We listen to your story and meet you where you are.