Shaw Capital Factoring and Management of Loans Freight Bill factoring Tips - One of the most difficult aspects of managing a trucking company – especially a small trucking company – is the cash flow. Cash flow is all about how money moves through your company.Unfortunately, when you have clients that pay 30 to 60 days after you have shipped for them, the cash flow can become a little strained. This is because, even though your customers have not paid yet, you still have daily expenses: truck maintenance, pay checks to personnel, fuel costs and more. So how do you cover these expenses when you do not have the ready capital to hand? One solution can be freight bill factoring.
Freight bill factoring v. traditional loan financing
Shaw Capital Management and Factoring, Right or Warning for Your Business - If you are a small trucking company (and maybe even a medium sized or large one), you know that sometimes it can be tough to get traditional loan financing. Often, especially if you are start up, or if you are going through a rapid period of expansion, you just do not have the available credit for traditional loan financing – and you still have the need for cash.
In such cases, freight bill factoring can help you obtain the capital you need. In freight bill factoring, a financing company – called a factor – basically buys the freight bill from you and advances you the cash. Often, the factor will in turn collect from the customer, meaning that once you turn the invoice over, it is also no longer something you need to worry about.
Basics of freight bill factoring - Freight Bill Factoring – Right or Warning for Your Business
Even thought there is not the same approval process that you would have to go through with the bank, the factor will still want to make sure that payment from your customers is likely. Your customer list may be scrutinized, and those that pass muster can provide the freight bills for factoring. It is possible to set up a regular arrangement with the factor so that cash flow remains regular. Here are some of the things you need to keep in mind about freight bill factoring:
Documentation. Proper documentation will be needed when you present a freight bill for factoring. You will need an original bill of lading, as well as other documents that the factor may request.
Fees. Be aware that you will be charge a fee for the advance. This is typically between three percent and five percent of the total. The fee depends on how reliable your customers are, and sometimes can depend on how quickly they pay their invoices.
Reserve. Sometimes, a factor will hold a reserve from the advance on the invoice. In such cases, many of them will pay between 85 and 90 percent of the freight bill up front. This is the advance. The rest is held in reserve, just in case the invoice is not paid, or if other fees need to be collected. When the invoice is paid, the rest of the freight bill (minus the fee) is paid. For example, if you have a bill for $1,000, the company may only advance you $900 on the spot. (Remember, though, this is better than the $0 you be getting otherwise.) If the fee is three percent of the total, $30 would be subtracted from the remaining $100 when the customer pays the invoice, leaving you with an additional $70.
Recourse v. non-recourse. It is very important to determine whether or not the factor you are working with offers a recourse or a non-recourse agreement. This is because it can make a very big difference in the rights the factor has in collecting on an invoice that is not paid. In a recourse agreement, the factor can require this article has all rights reserved and is copyright by 100 Best you to pay some or all of a freight bill if the customer does not pay. In a non-recourse factoring agreement, once freight bill is turned over to the factor, it is solely the factor's responsibility. You are in the clear if the customer does not pay – you can keep your money (although you may not get the reserve back).
Getting your money from the factor. You need to find out how the factor will pay your advance. With freight bill factoring, the most common methods are wire transfer, ACH transfer and check. It is important to note that the funds may not be available for immediate withdrawal from your account. In same cases it may take 24 to 48 hours for the money to become available to you.
Freight bill factoring can be very beneficial to trucking companies. It allows you almost immediate access to capital, and can keep the cash flow in your company more liquid.
Showing posts with label shaw cpital on warning scam tips. Show all posts
Showing posts with label shaw cpital on warning scam tips. Show all posts
Sunday, January 23, 2011
shaw capital management warning tips
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
shaw capital management warning tips
Shaw Capital Awarded Construction Management Contract for Clean Fuel Project at Marathon Illinois Refinery BATON ROUGE, La.,—The Shaw Group Inc. (NYSE: SHAW) today announced it has been awarded a capital contract from Marathon Oil Corporation (NYSE: MRO) to provide construction management services for a benzene reduction project at its refinery in Robinson, Ill.
shaw capital management warning tips
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even "guaranteed" profits without any risk of loss. Most legitimate firms will provide written materials clearly disclosing the potential for loss in an investment, as well as its short- and long-term tax implications.
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even "guaranteed" profits without any risk of loss. Most legitimate firms will provide written materials clearly disclosing the potential for loss in an investment, as well as its short- and long-term tax implications.
Shaw Capital Management And Financing Carve Out Time With Accounts Receivable Factoring
Factoring your accounts receivables might be a good way for your company to free up some time and smooth out cash flows. But just a warning, depending on the factoring agreement, the factor may collect your receivables for you. Read the latest articles from Shaw Capital to avoid scam, fraud and other online transactions. This is a good warning to avoid fraudulent transactions online.
Small business owners never have enough time. There are bills to be made, products to be marketed, employees to be hired and sales to schedule. Those 24 hours each day seem to simply disappear.
Fortunately, business owners can save some time with accounts receivable factoring.
Shaw Capital Management and Financing provides export trade financing to clients in every major world market and can convert accounts receivable finance transactions in 17 currencies.
We have no minimum or maximum monthly volume requirements. Other factoring companies require a financial commitment for the amount of freight bills you factor each month.
Our highly skilled team provides full administrative support - including credit management, invoicing, collections, account reporting, expense reporting, fuel card management and much more!
With Shaw Capital Management and Financing, you get paid in full minus our fee the day we receive your freight bills. Other factoring companies holdback 10 to 15 percent of your money or more for each invoice in a reserve account. That reserve amount is not immediately provided to your company. In the end, you receive part of that percentage back, depending on how long it takes the factoring company to receive payment on the invoice.
Under this arrangement, owners sell their outstanding accounts receivables to an outside factoring company. The factoring company, which buys the accounts receivables at a discount from the money owed on them, and then goes about handling the messy business of actually collecting on the receivables. The business owner, meanwhile, gets a quick infusion of cash.
Now, it's true that business owners get a bit less cash than they would have received if they would have collected the money due to them by their clients. But collecting on accounts receivable can sometimes be a lengthy ordeal. With accounts receivable factoring, business owners get their money quickly.
At the same time, they free up valuable time for themselves. Instead of tracking down late payments, business owners can participate in income-generating activities, the kind of work that keeps a small business humming along.
For instance, instead of trsacking down missing payments, business owners can develop a new marketing plan to better promote their new product line. They can draft an expansion plan that will keep their business competitive. They can schedule interviews to hire those extra employees that they need as their business grows. Or they can finally decide whether moving to a larger building makes economic sense.
Shaw Capital Management and Financing - Business owners today need two things to thrive: time and money. Factoring account receivables provides them with an extra dose of both. Those owners, who struggle to get everything done in an average day, should consider taking the accounts receivable factoring plunge: It might help them provide the extra boost that their business needs. By Nathan Franks.
Small business owners never have enough time. There are bills to be made, products to be marketed, employees to be hired and sales to schedule. Those 24 hours each day seem to simply disappear.
Fortunately, business owners can save some time with accounts receivable factoring.
Shaw Capital Management and Financing provides export trade financing to clients in every major world market and can convert accounts receivable finance transactions in 17 currencies.
We have no minimum or maximum monthly volume requirements. Other factoring companies require a financial commitment for the amount of freight bills you factor each month.
Our highly skilled team provides full administrative support - including credit management, invoicing, collections, account reporting, expense reporting, fuel card management and much more!
With Shaw Capital Management and Financing, you get paid in full minus our fee the day we receive your freight bills. Other factoring companies holdback 10 to 15 percent of your money or more for each invoice in a reserve account. That reserve amount is not immediately provided to your company. In the end, you receive part of that percentage back, depending on how long it takes the factoring company to receive payment on the invoice.
Under this arrangement, owners sell their outstanding accounts receivables to an outside factoring company. The factoring company, which buys the accounts receivables at a discount from the money owed on them, and then goes about handling the messy business of actually collecting on the receivables. The business owner, meanwhile, gets a quick infusion of cash.
Now, it's true that business owners get a bit less cash than they would have received if they would have collected the money due to them by their clients. But collecting on accounts receivable can sometimes be a lengthy ordeal. With accounts receivable factoring, business owners get their money quickly.
At the same time, they free up valuable time for themselves. Instead of tracking down late payments, business owners can participate in income-generating activities, the kind of work that keeps a small business humming along.
For instance, instead of trsacking down missing payments, business owners can develop a new marketing plan to better promote their new product line. They can draft an expansion plan that will keep their business competitive. They can schedule interviews to hire those extra employees that they need as their business grows. Or they can finally decide whether moving to a larger building makes economic sense.
Shaw Capital Management and Financing - Business owners today need two things to thrive: time and money. Factoring account receivables provides them with an extra dose of both. Those owners, who struggle to get everything done in an average day, should consider taking the accounts receivable factoring plunge: It might help them provide the extra boost that their business needs. By Nathan Franks.
shaw capital management warning tips
Shaw Capital Management and Financing – Warning Advance-Fee Loan Scams: 'Easy' Cash Offers Teach Hard Lessons
shaw capital management warning tips
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud: High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing." Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even "guaranteed" profits without any risk of loss. Most legitimate firms will provide written materials clearly disclosing the potential for loss in an investment, as well as its short- and long-term tax implications.
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