Freight Broker Factoring

Freight Broker Factoring with “The Broker’s Factor”

Steelhead Finance takes pride in being named “The Broker’s Factor” as we have helped many brokers thrive, locally and nationally.

Unlike many transportation factors, Steelhead Finance understands the different needs and tools that are critical to a freight broker’s success. We recognize that the relationship you’ve established with your shippers is extremely valuable. We also know your reputation in the industry is vital to your success. Our broker factoring program is tailored with your needs in mind and provides the effective tools and services.

_______________________________________________________________

Read about our Freight Factoring Carrier Payment Program

Broker Factoring Made Easy

At Steelhead, we design each transportation broker factoring program to be sensitive to your needs and the needs of your specific business. The basic components around which we build a broker factoring program include:

1 RATE – Steelhead will put a quote together to offer the best broker factoring rate for your business.

2 ADVANCE – Steelhead advances a percentage of the face value of each invoice purchased. The balance NOT advanced is called the HOLDBACK. When each invoice pays, you are entitled to a REBATE of the portion of the HOLDBACK that is NOT paid to Steelhead as a factoring fee. For example:

100%

= FACE VALUE OF INVOICE(s)

-95%

= ADVANCE RATE TO YOU

5%

= HOLDBACK (portion not advanced)

?%

= FACTORING FEE (varies with each program) to 60 days

Balance

= REBATED TO YOU or CREDITED TO RESERVE
(if reserve requirement is not met)

3 QUICK PAY – Let Steelhead worry about getting your carriers paid. Our factoring program quick pay option allows your carriers to get paid within 24 hours.

4 TRANSCHECK AVAILABILITY– Steelhead offers TransChecks as a controllable payment instrument for you and your drivers. Drivers can carry a few TransChecks in case they need funds for tollbooths, weigh stations, unexpected bills or repairs. Online tools assist in keeping track of TransCheck transactions and run reports to know which checks were used by which driver.

5 FED EX DISCOUNTS – Save time and money by sending your pre-addressed FedEx envelopes. Using the standard FedEx envelopes, your batch can be mailed to us from any FedEx box for a reduced rate that will be deducted from the next advance.

6 CREDIT SERVICES – Steelhead employs a professional credit staff to assist you in determining whom you may want to do business with. Our extensive credit database includes bank and trade information verified by our Credit Analysts along with information gathered from our access to multiple national credit bureaus. The combination of these services, if utilized fully, can save our factoring clients time and money. There is no additional charge to credit check a customer; in fact, we encourage our clients to use this valuable service in order to reduce the potential of doing business with slow or non-paying customers.

24/7 Online Credit Checking – This allows you to make informed credit decisions on potential customers at any time you need to, and not be limited by business hours.

7 BILLING FOLLOW-UP SERVICE – Steelhead’s Account Managers audit your freight invoices for accuracy and then bill them out to your customers. After the invoices are mailed out, your Account Manager monitors the billing cycle using systematic follow-up procedures that have been developed by Steelhead Finance through the last 30 years of experience. These methods are designed to detect potential payment problems and eliminate delays in payment. The billing follow-up service allows your staff to spend more time generating revenue and less time collecting it.

8 CUSTOMER SERVICE – Superior Customer Service is our number one goal. You are more than just an account-holder. You are our business. We tailor our custom broker factoring programs to fit your specific brokerage company needs. We are committed to be responsive, professional, and timely.

9 ONLINE REPORTING – Steelhead provides a variety of Management Reports each Friday, which identifies the week’s activity on your account. With online reporting management you are capable of viewing these reports more frequently. These reports improve your ability to make prompt, informed business decisions. Steelhead will provide you with a program that will allow you to access your current account information via the Internet.

10 APPLICATION – There is no application fee to get your freight broker factoring account started. Don’t worry about signing away the next 12 months of your business as Steelhead does NOT have a long term contract.

11 RATE STRUCTURES – Our qualified broker factoring applicants will receive our discounted rate plan. If the rate starts at 2.95%, then for the first 60 days the invoice is out, the broker factoring Client will be charged a 2.95% rate on that invoice. After the 60 days the rate will increase by 0.10% per day until the invoice is paid upon approval of prearranged payment commitment. The Broker Factoring Program allows you to receive a 1% rate on invoices paid by your carriers within 7 days.

What is Freight Factoring?

Freight Factoring is simply a means to be paid immediately. It enables you to avoid sending your freight invoices to your customers who may take upwards of 60 days to pay. Instead Steelhead Finance would buy the freight invoices from you for a minimal fee and pay you within 24 hours. The invoices are then forwarded to your customer. Many transportation companies rely on freight factoring because they often cannot afford for their invoices to go unpaid for 30 to 45 days. We do the waiting so you don’t have to.

Knowing CSA

Transportation Industries Steelhead Finance Factors


LiveZilla Live Help