How Do You Get Paid?

One of the most common and important questions we receive is about payment: How do you get paid using BulkLoads? After all, getting paid is crucial in trucking. Unlike many other industries, trucking requires a significant amount of capital upfront for equipment, insurance, licensing, labor, and fuel. Ensuring prompt payment for your services is essential.

In trucking, it's common for services (loads) to be completed before payment is made. This differs from other industries where deposits or down payments are standard. For example, when we hired a landscaper, we paid 20% upfront. In trucking, however, you might not see payment for a month or more. According to Smart Freight Funding, most companies pay on net 30 days, meaning if you haul a load today, you may not receive payment until a month later.

So, how can you ensure you get paid when using BulkLoads? Here are some strategies:

1. Ratings and Reviews: BulkLoads features a rating system where load posters (shippers/brokers) are rated from 1 to 5 stars, along with an average payment timeline. When reviewing a load, you can see how many days it typically takes for payment after the load is completed.

2. Credit Checks: Services like Dun & Bradstreet and Ansonia allow you to perform credit checks on businesses to assess their creditworthiness.

3. Freight Factoring: This is a popular solution in the trucking industry. Freight factoring involves a factoring company purchasing your receivables (loads) at a discount—usually 3-5%. This allows you to get paid quickly, often the same or next day, while the factoring company waits the 30 days to collect payment. Factoring companies can also handle back-end accounting, allowing you to focus on operations. Smart Freight Funding, for example, has been helping small trucking companies with quicker payments for over a decade.

   Be Cautious of Contracts: Some factoring companies require long-term contracts. At Smart Freight Funding, we avoid these contracts and believe in flexibility. Always read the fine print to ensure you understand the terms.

In summary, there are two main ways to get paid using BulkLoads:

1. Direct Invoicing: Invoice the customer directly and review their ratings and payment history on BulkLoads.
2. Freight Factoring: Use a factoring company to manage receivables. Some factoring companies, like Smart Freight Funding, allow you to choose between factoring and direct invoicing based on your needs.

We hope this helps clarify how to get paid effectively using load boards like BulkLoads.

God Bless,
Jared Flinn