Factoring
In short
Factoring is when a company sells its freight invoice and gets paid right away.
In plain words
Brokers often pay in thirty days or even later. But you need diesel today.
It's like selling a concert ticket to a scalper.
You get cash right away, but a bit less than the ticket is worth.
Factoring works the same way: money usually lands in a day or two, but the factor keeps a cut.
Most often it's 1% to 5% of the invoice.
Your turn
Would you wait a month or take less now? Tell us in the comments.
Answer on YouTubeAlso searched aswhat is Factoring · Factoring meaning · Factoring trucking · Factoring explained
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