What is Fuel Advance Factoring?

Posted by Gil Oliva on Fri, Jul 11, 2014 @ 08:00 AM

The Fuel Advance Program can be offered by factoring companies and is often provided in tandem with freight bill factoring.

While freight bill factoring is a great way to receive immediate cash flow for work completed, the fuel advance program allows you to pay for much needed fuel while on the road, prior to completion of work. This is particularly useful if you are a small to medium trucking company with a cash flow shortage.

Fuel Advance Factoring for trucking companies How does it work? 

Need to cover fuel expenses from the road when you pick up the load? To obtain the advance to cover your fuel costs, all you have to do is provide a copy of the paperwork to indicate the load has been booked, and usually a bill of lading to show the load has been picked up, but the key is that the load does not have to have been delivered. A percentage of the freight bill value can be quickly forwarded to you to cover the cost of fuel to enable delivery. This is where a fuel card can also be beneficial, as the money can be added directly to a fuel card. Fuel card programs are often offered by invoice factoring companies too.

Bay View Funding allows you to efficiently manage your expenses and receive discounts at the pump through their fuel card program. The application process is simple and your account will be linked to your BVF portal for easy access and great rates. Purchase power is also tailored to meet the needs of your company, with the added benefit of online access to thousands of recognized repair facilities. 

There are times when you have to turn down a load because you simply do not have enough cash to cover the cost of fuel for the job. The fuel advance program enables you to take on more loads and grow your company. It is effectively part of your factoring advance but delivered sooner, when you need it to cover the cost of fuel! The rest of the advance will be sent to you as soon as your load has been delivered, minus the factoring fee. Since you can also submit scanned copies of invoices, you can receive the remainder of the advance promptly.

Freight factoring for trucking companies allows you to increase cash flow, take on more jobs, haul more loads and make prompt payments to your truckers, as well as pay your suppliers in a timely manner.

Bay View Funding is all about providing trucking companies with a financial road map to success. We can also help with fuel advances. Contact us for further information. Don’t miss out on business because you can’t afford to pay for fuel.

Fuel card discounts Click here to learn more

Topics: Cash Flow Solution, Fuel Cards for Trucking Companies, Freight Factoring for Trucking Companies, Fuel Advance Factoring for Trucking Companies

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