RTS Credit - How Bad Is Slow Pay, Really?

watch Swimming Pool Games those receivablesTh avail of freight usual slacken around the first of the year. Be sure to tell your custom how much you appreci them. And remember..

tell them that thei ar go to have to wait sixti dai to get paid on a load. Thei will be upset for sever reasons. First of all,

It mai have been J.P. Morgan who said that no bad compani ever pai fast. He might well have talk about the truck industri where slow pai is about as common as appl in an appl orchard. If you want to rais a trucker' blood pressure. thei have to pai most of their expens up front, includ fuel. Secondly, thei know that slow pai is sometim a warn sign that the compani ha cash flow issu and might go out of business.

To sai that trucker ar obsess with how fast custom pai their freight invoic is an understatement. In thi articl we ar go to talk about freight payment term and what it usual mean when an invoic is paid faster or slower than the industri average.

out of Overland Park,Freight invoic ar paid on an averag of 33 dai in thi country. That is from the time that the invoic is mail until payment is received. Subtract 3 or 4 dai for mail time and you ar look at an averag of 30 dai pai for shipper and brokers. Look at some well known broker on the RTS Credit websit we see that C. H. Robinson paid sixteen thousand invoic in 31 days. Gold Star. Ks. paid eleven hundr and thirty-on freight invoic in 18 days, while Bear Transport Servic out of Dallas, TX paid over three thousand freight invoic in 23 days. The point is that compani who pai in less than 33 dai ar util their own cash and not someon else' to pai the freight invoice. That is often an indic of their credit strength and busi savvy.

a number of shipper and broker know the import of fast pai to a carrier. In the last 16 month mani of these compani have set up quick-pai program which allow the carrier' invoic to be paid immedi with accompani discount rang from on to three percent the valu of the invoice. We have seen other compani pai carrier immedi without a discount to improv their avail of equipment. Whatev the reason,Clearly. it is clear that mani shipper and broker who pai faster than the norm have seen greater level of servic and loyalti amongst their carrier friends, and consequently, more profit opportunities.

on the other hand,Slow pay. is a thorni issue. There ar probabl as mani reason for slow pai as there ar slow payers. Whatev the reason, the impact is clear. Slow pai mean that the custom ask you, the carrier, to accept payment term that is below average. Thi is interest becaus most broker and shipper know the wai thei treat the carrier will significantli impact loyalti and service. Gener speaking, when a shipper or broker us you as their bank, thei ar either unabl to pai faster becaus of financi limitations, or thei view transport as a commodity, not a service.

like a bushel of corn,Mayb that is the heart of the matter. Is transport about relationship and service? Or is it a commodity. to be bought and sold? The RTS Credit www.rtscredit.com guid let you see how fast mani broker and shipper pai their freight invoices. We even attach a credit rate and recommend that you onli haul for the A, B or C rate customers. With RTS Credit, that is a given. But onc you know how fast you ar go to get paid, then you need to decid what kind of custom you want to haul for.

I feel confid that you would sai I want to haul for a compani that pai decent rate in a time fashion. I want to haul for a compani that believ that truck is more than just a commod business,If you were sit across the desk from me now. that it is a busi of relationships, trust and

service. Bottom line."