Staying ahead in the freight industry means keeping up with the latest trends and technologies—and there’s no better way to do that than by attending industry conferences and events. 2025 is packed with can’t-miss opportunities for brokers and fleets to learn, connect, and grow. Here’s our curated list of top transportation and logistics events (and a few where you might even spot us!).

‍

Manifest 2025

‍

Date: February 10–12, 2025

‍‍

Location: The Venetian, Las Vegas, NV

‍

Manifest is the premier industry event that unites innovators in end-to-end supply chain and logistics. The gathering features everyone from Fortune 500 global supply chain executives to startup logistics service providers. Attendees can expect unprecedented access to the people and technologies that are changing the way the world moves.

‍

Denim is excited to attend Manifest 2025! Stop by Booth 1036 to meet the team, or schedule a time to chat with us during the event.

‍

3PL Summit 2025

‍

Date: February 26, 2025

‍

Location: Virtual (FreightWaves TV)

‍

The FreightWaves 3PL Summit is a virtual event dedicated to addressing the challenges and opportunities in the third-party logistics industry. Featuring expert speakers and insightful sessions, it covers market trends, technology, and strategies for success.

‍

Attendees can gain actionable insights into improving operational efficiency and building competitive advantages, all from the convenience of their office. The event is perfect for 3PL professionals looking to stay informed and connected.

‍

Mid-America Trucking Show (MATS)

‍

Date: March 27–29, 2025

‍

Location: Louisville, KY

‍

Mid-America Trucking Show (MATS) is the largest trucking trade show in the United States, featuring over 1,000 exhibitors and numerous educational sessions. Discover the latest trucking equipment, services, and industry trends while networking with trucking professionals from around the country.

‍

TIA 2025 Capital Ideas Conference

‍

Date: April 9–12, 2025

‍

Location: JW Marriott San Antonio Hill Country, San Antonio, TX

‍

The TIA Capital Ideas Conference & Exhibition is a meeting for third-party logistics providers. It's a once-a-year opportunity to interact with representatives from throughout North America and abroad. At TIA, attendees can engage with 3PL representatives and decision-makers, participate in educational sessions, and connect with top suppliers in the 3PL realm.

‍

We’re excited to attend the TIA 2025 Conference. We can't wait to see you there!

‍

Broker Carrier Summit

‍

Date: April 29–May 1, 2025

‍

Location: Crowne Plaza Indianapolis, Indianapolis, IN

‍

The Broker Carrier Summit is a dynamic event designed to bridge the gap between freight brokers and carriers, fostering stronger partnerships and improving communication. This two-day event offers educational sessions, panel discussions, and hands-on workshops tailored to address the challenges brokers and carriers face in today’s ever-changing logistics environment.

‍

TMSA 2025 Elevate Conference

‍

Date: June 8–10, 2025

‍

Location: Royal Sonesta Stephen F. Austin Hotel, Austin, TX

‍

Organized by the Transportation Marketing & Sales Association, Elevate is tailored for professionals in transportation and logistics marketing and sales. The event focuses on innovative strategies, branding, and customer engagement. Attendees will gain actionable insights into building stronger customer relationships and improving ROI on marketing and sales efforts.

‍

Denim will be attending Elevate and we can’t wait to meet more transportation and logistics professionals.

‍

Bitfreighter Charity Golf Tournament

‍

Date: July 2025 (Exact date TBD)

‍

Location: Nashville, TN

‍

The annual Bitfreighter Charity Golf Tournament brings together logistics and technology professionals for a day of networking and philanthropy. Proceeds benefit industry-related charitable causes. At the event, attendees combine business networking with a meaningful cause while enjoying a relaxed, fun atmosphere on the golf course.

‍

Denim will be participating in the 2025 Bitfreighter Charity Golf Tournament. Here’s to good golf and an even better cause!

‍

McLeod Software User Conference

‍

Date: September 21–23, 2025

‍

Location: Denver, CO

‍

McLeod’s annual conference connects over 70 transportation technology vendors so attendees can gain valuable insights on products and services that can benefit their business. Experience cutting-edge technology, new integrations, and more. Plus, attendees have the chance to win some exciting prizes!

‍

Our team will be representing Denim at the McLeod Software User Conference. Stop by booth to say hi. 

‍

FreightFest

‍

Date: September 25–28, 2025

‍

Location: Houston, TX

‍

FreightFest is an annual conference that brings together entrepreneurs in transportation and logistics. It offers educational sessions on everything from last mile delivery to heavy hauling to running a freight brokerage. FreightFest is a must-attend event for those seeking to grow their network and stay ahead in a competitive market.

‍

Council of Supply Chain Management Professionals (CSCMP) EDGE Conference

‍

Date: October 5–8, 2025

‍

Location: National Harbor, Maryland

‍

CSCMP EDGE is one of the largest supply chain management conferences in the world, featuring more than 100 sessions and an exhibit hall showcasing innovations in the supply chain. Stay ahead of trends with presentations from top supply chain leaders and network with professionals from around the globe.

‍

We’re so excited to attend CSCMP EDGE in 2025.

‍

DATCon

‍

Date: October 2025 (Exact date TBD)

‍

Location: Kansas City, MO

‍

Hosted by DAT Freight & Analytics, DATCon focuses on the latest in freight analytics, TMS integrations, and marketplace trends. Attendees will gain a deep understanding of freight trends and tools to optimize their logistics operations.

‍

Denim will be in attendance at DATCon 2025. Come say hi at our booth!

‍

Trimble Innovate User Conference 2025

‍

Date: October 14–17, 2025

‍

Location: Salt Lake City, UT

‍

Innovate 2025 User Conference is where local, state, DOTs, federal and private sector organizations from across the globe go to learn, grow and connect. Previous agendas included a broad range of sessions, exhibits, training, and networking opportunities.

‍

ATA Management Conference & Exhibition

‍

Date: October 25–28, 2025

‍

Location: San Diego, CA

‍

Organized by the American Trucking Associations, the ATA Management Conference & Exhibition is one of the most important events of the year for trucking industry leaders. It features policy discussions, educational sessions, and exhibits showcasing the latest products and services.

‍

We can’t wait to visit sunny San Diego and meet fellow trucking leaders. Come stop by our booth!

‍

FreightWaves F3: Future of Freight Festival

‍

Date: November 4–6, 2025

‍

Location: Chattanooga, TN

‍

FreightWaves F3 focuses on technology and innovation in freight and offers immersive demos, networking opportunities, and thought-provoking discussions. The event brings together freight and technology companies from across the country to talk innovation and supply chain. Explore cutting-edge technologies shaping the future of freight, from AI to blockchain. 

‍

Accelerate! Conference & Expo

‍

Date: November 3–6, 2025

‍

Location: Dallas, TX

‍

The Women in Trucking Accelerate! Conference & Expo promotes gender diversity and empowerment in the transportation and logistics industry and features keynote speakers, workshops, and an extensive expo. The event highlights the achievements and opportunities for women in trucking.

‍

Attendees will have access to over 70 educational sessions that feature more than 100 thought leaders and subject matter experts. The event focuses on six educational areas: leadership, professional development, HR/talent management, operations, sales & marketing, and professional drivers. 

‍

There are so many informative events happening in 2025 in the trucking and logistics industry that you really can’t go wrong, no matter which ones you choose to attend. Here’s to a successful year of networking, learning, and innovations. We'd love to meet up - take a look at events Denim is attending near you.

‍

The freight industry is no stranger to challenges, but 2025 promises to be a year of steady transformation. From the rise of automation and AI to shifts in market dynamics and a renewed focus on collaboration, industry leaders are looking ahead with cautious optimism. 

‍

We’ve gathered insights from some of the most influential voices in freight to understand what lies ahead. Their predictions touch on technology, market trends, and strategies that will shape the future of the industry. Let’s explore what’s next for freight in 2025.

‍

Slow and steady growth expected

‍

"I don’t foresee massive overnight gains, but over the next 12-18 months, we’ll see incremental changes that add up," explains Chris Jolly, Founder of the Freight Coach. "Companies will likely invest in automation to stay lean and offer more competitive pricing."

‍

The 2025 freight market is shaping up to mirror 2024 with gradual rate increases rather than dramatic shifts. By adopting automation and focusing on operational efficiency, companies aim to manage costs while remaining competitive. This steady approach could pave the way for sustained growth over the long term.

‍

Flexibility will define success

‍

"The freight industry in 2025 won’t be about who’s the biggest—it’ll be about who’s the most adaptable," says Bharath "B" Krishnamoorthy, CEO of Denim. "Brokers and fleets that embrace flexibility in operations, financing, and partnerships will be the ones that thrive."

‍

As market dynamics continue to shift, companies that prioritize flexible solutions—whether through innovative technology, tailored financing options, or strategic collaborations—will stand out. Denim’s focus remains on empowering brokers and fleets to navigate challenges with agility, setting them up for sustained growth in an evolving industry.

‍

Fraud prevention is the key to a trust based freight market

‍

“Companies that fail to prioritize fraud prevention will not only face increased financial and reputational risks but will also struggle to compete in a market where trust is everything. Elimination fraud is the foundation that makes the rest of the broker’s tech stack effective. Without a tool like Highway, inefficiencies grow at an exponential rate throughout the rest of the tech stack. You can’t automate bad data,” says Michael Caney, Chief Commercial Officer at Highway.  

‍

Caney’s perspective underscores a critical point for the future of freight. Fraud prevention is more than a safeguard; it is the cornerstone of operational efficiency and trust in the market. Without addressing fraud at its core, brokers risk inefficiencies that ripple through their entire operation, undermining even the most advanced technology.

‍

AI takes the wheel: the rise of intelligent freight solutions

‍

"By 2025, artificial intelligence will be the backbone of freight optimization," says Dale Prax, President and CEO of Direct Expedite. "From predictive load matching to automating routine tasks, AI will redefine how freight moves by making every step of the supply chain smarter and faster."

‍

AI's integration will streamline operations, allowing brokers and fleets to operate more efficiently while reducing costs. Expect to see advanced machine learning models analyzing massive datasets in real-time, enabling better decision-making, mitigating risks, and driving unprecedented levels of productivity across the industry.

‍

Preparing for “carrier revenge” in a shifting freight market

‍

"As operational costs climb and carriers face unsustainable pressures, brokers must brace for a market shift that puts carriers in the driver’s seat," explains Alex Schick, CEO of Alliance Logistix. "Strengthening relationships with trusted partners is no longer optional—it’s essential to weather the coming changes."

‍

The freight market is on the cusp of a significant supply and demand shift. Rising trucking rates, coupled with strained carrier sustainability, could lead to a dynamic where carriers reclaim leverage in negotiations. Brokers who invest in long-term partnerships and adapt their strategies during this bid cycle will be better positioned to navigate these changes while remaining competitive.

‍

Mid-Sized 3PLs are poised to outpace industry giants

‍

"Smaller to mid-sized 3PLs are taking market share from the top 5-10 brokers because shippers want consistency," explains Chris Brewer, CEO of River City Logistics. "They want the same account manager handling their business, not a revolving door of reps at larger operations."

‍

Over the past two years, the shift in shipper priorities highlights the growing demand for reliable, personalized service. Mid-sized 3PLs, with their focus on consistency and strong client relationships, are increasingly outpacing larger brokers that struggle to deliver the same level of individualized care. As a result, these agile players are redefining the competitive dynamics of the freight industry.

‍

Freight costs set to rise amid uncertainty

‍

"Predicting the future is tricky with so many global variables at play, but one thing seems clear: US freight costs will rise in 2025," says Mike Hane, Director of Product Marketing, Transportation Management Solutions at Descartes. "Spot rates are already trending upward as consumer demand grows."

‍

While black swan events like geopolitical conflicts, natural disasters, or pandemics remain unpredictable, the freight market is already showing signs of increased costs. Factors like regulatory changes and shifting consumer demand could moderate these trends, but businesses should prepare for higher expenses as the industry navigates an evolving global landscape.

‍

Climbing out of the freight recession in 2025

‍

"I think we’re all optimistic that 2025 will be a climb out of the freight recession," shares Walter "Mitch" Mitchell, CEO at Tai Software. "It’s been a tough time for the industry, and a shift toward prosperity would be welcome by all."

‍

As the freight market transitions to recovery, technology will play a pivotal role. The continued maturity of AI in processes and workflows is set to enhance operations, delivering meaningful value to teams and driving efficiency across organizations. These advancements could help turn optimism into tangible growth in the year ahead.

‍

Rising costs ahead for fresh produce and tech

‍

"In 2025, we’ll see substantial cost increases for fresh produce and imported technology, with most of those costs being passed on to consumers," predicts Max Leach, Strategic Account Manager at Port TMS.

‍

Economic pressures and supply chain challenges are expected to drive up prices for key goods, particularly fresh produce and tech imports. These increases will ripple through the supply chain, ultimately impacting consumer spending and influencing market trends across industries. Preparing for these cost hikes will be essential for businesses and consumers alike.

‍

Optimistic growth and tech-driven efficiency in 2025

‍

"Barring any major geopolitical or economic disruptions, we’re cautiously optimistic about 4%-6% growth in trucking freight demand and revenue next year," says JJ Singh, CEO of EKA TMS.

‍

2025 is expected to bring significant advancements in AI and workflow automation, transforming carrier and broker operations and boosting back-office efficiency. Near real-time reporting and business intelligence tools will also become more widely adopted, improving decision-making across the board.

‍

The focus will be on three key priorities: providing customers with value to seize opportunities in an improving market, scaling investments for growth across business segments, and driving long-term returns for shareholders. These strategies position the industry for steady progress in the year ahead.

‍

Freight brokers going multi-product

‍

"Leading SMB freight brokers will introduce new products for carriers and shippers in 2025.  We’ve heard a bit of it this year and I think next year we will see SMB brokers expand beyond freight into offering carrier services, warehousing, financial products and more.  These SmartBrokers will be ahead of the pack." says Sean Smith, VP of Product and Client Services at Denim.

‍

Freight brokers build very powerful and expansive distribution channels to offer a number of solutions for carriers and shippers.  Especially as the market turns to the carriers favor, brokers who prioritize deepening these relationships will be set up for success.

‍

Policy shifts and consumer demand will shape freight recovery

‍

"I believe the freight market will recover significantly in 2025, with the first quarter showing the strongest activity," predicts Thomas Werdine, Founder of ThinkFreight. "This will be driven by potential policy changes, such as new tariffs on China, Mexico, and Canada, which could lead to a rush in imports as companies work to front-load inventory. The January 15 ILA strike deadline will also play a major role, causing a surge in freight volumes before the strike and creating bottlenecks afterward that will increase rates."

‍

Thomas’ prediction highlights a freight market ready for recovery but shaped by complex forces. Tariff changes and the looming ILA strike could create bottlenecks and rate surges, while consumer sentiment will be crucial in sustaining demand throughout the year.

‍

Set yourself up for success in 2025

‍

The freight industry might bring its share of surprises in 2025, but one thing is clear: steady cash flow and smart financial management are key to growth. Whether you’re looking to invest in automation, adjust to market shifts, or strengthen your operations, having a strong financial foundation is critical.

‍

Let’s make 2025 your best year yet. Get started with Denim today and see how our solutions can help your business thrive.

‍

The freight industry is no stranger to unpredictability. Even though some experts expected the market to rebound as we entered 2024, we’re instead seeing that volatility may be the new normal. The saying that “the only constant is change” holds true, especially for freight brokers and fleet owners. 

‍

Because of this volatility, financial flexibility is more important than ever. Without keeping your capital flexible, even the most efficient fleets or brokerages may struggle to keep up with the competition. The ability to adapt, optimize cash flow, and reduce costs is the key to survival in this dynamic environment. 

‍

Through our suite of flexible freight factoring solutions — including Selective Factoring, Flex Factoring, Express Factoring, and QuickPay — we offer freight brokers and fleets the tools they need to maintain control over their finances so they can respond quickly to changing conditions. Even if you haven’t considered factoring in the past, now might be the time. 

‍

Let’s look at the factoring solutions we provide in more detail. 

‍

Selective Factoring – empowering choice in a dynamic market

Selective Factoring allows freight brokers and fleets to choose which loads they want to factor, giving them the flexibility to manage cash flow on their own terms. 

‍

Unlike traditional freight factoring, where businesses are often forced to factor every load, Denim’s Selective Factoring provides the freedom to decide which loads to factor depending on what makes the most sense for your business.

‍

For example, a freight broker might choose to factor high-value or slow-paying loads to ensure immediate cash flow while managing the rest independently. This not only helps optimize cash flow but also enables brokerages to maintain independence and control over their financial strategy.

‍

The key benefit of Selective Factoring is its versatility. Brokers and fleets can use capital when they need it, without the pressure to factor every transaction. This balance of predictability and flexibility helps businesses stay agile, even in the face of market fluctuations.

‍

Flexible Factoring – Optimize Costs on Your Schedule

Denim’s Flexible Factoring goes far beyond just providing capital—it allows businesses to save significant money with the combination of adjusting payment schedules and shippers who pay fast.

‍

By choosing when to pay contractors or when to receive payments, brokers and fleets can benefit from discounted fees. The longer payments are delayed, the lower the fee, meaning costs can be reduced without sacrificing operational efficiency.

‍

Flexible Factoring is especially beneficial for companies that work with shippers who consistently pay faster than 30 days. With Flexible Factoring, the faster the payment is received, the lower the fee, allowing companies to save even more money while maintaining cash flow.

‍

For example, a broker may delay an advance to a contractor for a few days, choosing to lower their fees by strategically managing their cash flow. In addition, they might have shippers who pay earlier than expected, further reducing costs. Flexible Factoring provides unmatched flexibility, helping businesses optimize their capital use while reducing fees.

‍

Express Factoring – immediate access to capital

Sometimes, waiting for payments isn’t an option. Freight brokers and fleet owners often face immediate expenses, such as fuel costs, payroll, and maintenance, that need to be covered quickly. 

‍

Denim’s Express Factoring addresses this by providing access to funds within minutes of submitting a job. Unlike other freight broker factoring services that may have cut-off times or delays due to bank processing, Express Factoring provides near immediate funding.

‍

Maybe a broker needs to cover urgent operational expenses but is waiting for payment. With Express Factoring, they can submit their job and receive an advance almost instantly, without worrying about ACH windows or other delays. 

‍

This immediate access to capital can be a game-changer for brokerages facing tight deadlines or unexpected costs, ensuring that cash flow is never an obstacle when keeping their business running. 

‍

QuickPay – unlock a new revenue stream

Denim’s QuickPay service offers freight brokers a unique opportunity not only to expedite payments to carriers, but also generate additional income. QuickPay allows brokers to charge a fee for speeding up payments to carriers, and best of all, they can keep 100% of the fee.

‍

Implementing QuickPay creates a new revenue stream for brokers while providing carriers with the benefit of faster payments. A broker can charge a QuickPay fee to expedite a carrier’s payment, and the fee collected becomes an additional source of income for the broker. In a competitive market, QuickPay can help position brokers as a reliable partner who can provide timely payments when needed. This also helps strengthen carrier relationships. 

‍

By offering faster payment options to carriers, brokers can increase their earnings while providing a valuable service to their partners, strengthening relationships and driving long-term business success.

‍

Take control of your financial future with Denim

Denim’s flexible freight factoring solutions for trucking companies are designed with one goal in mind: to help freight brokers and fleet owners thrive in a constantly changing market. Each solution—Selective Factoring, Flex Factoring, Express Factoring, and QuickPay—offers factoring benefits that can be tailored to fit the unique needs of your business. Whether you need immediate capital, want to reduce costs, or are looking to create new revenue streams, Denim provides the tools to make it happen.

‍

In today’s unpredictable market, financial flexibility is not just an advantage—it’s a necessity. Discover how Denim’s flexible factoring solutions can support your business by scheduling a demo today. We’ll help you build a financial strategy that keeps you competitive, agile, and thriving, no matter the market conditions.

‍

Most freight brokers don’t realize how much of an impact their back-office can have on their growth. Brokers frequently associate growth with front-end activities like sales, finding new customers and carriers, and other business development tasks. But as your brokerage grows, your business is more likely to run into back-office bottlenecks from delays in invoicing, payments, processing paperwork, and more. 

‍

These bottlenecks can lead to stagnating growth, even when sales are better than ever. If your back office can’t process the volume your team is selling, it’s almost impossible to grow. 

‍

As your business grows, you’re left with two options to solve this problem: invest in hiring the staff required to cover your new volume, or leverage tools and vendors to support your existing team.

‍

Hiring new team members can be costly, risky, and time-consuming - which is why we recommend exploring back-office automation tools before committing to expanding your staff.

‍

Some services provide complete back-office solutions for brokers — including everything from submitting jobs, providing comprehensive dashboards, TMS integrations, carrier portals, automated invoicing and collections, payment processing, and more. Other solutions in the industry might only offer one or two of these features, and are far from comprehensive. 

‍

Below we’ll compare how Denim’s flexible factoring and back-office automation tools can offer a complete system for most brokers, and why we think Denim is the best solution for brokers who want to grow without adding more back-office staff.

‍

Submitting new jobs

Submitting jobs is the first step in getting a load factored. Most factoring companies require a BoL (bill of lading), PoD (proof of delivery), and rate confirmations to purchase (factor) your invoices. How this works varies from company to company, here’s how Denim’s solutions stack up:

‍

Denim’s solution:

Submitting a job with Denim is simple and fast - so fast you can do it in under 30 seconds. Jobs can be uploaded through Denim’s online or portal or directly through a TMS integration at your earliest convenience.

‍

When uploaded through Denim’s portal, the intuitive interface makes it easy to find exactly what you need when you need it. Information icons are there to walk you and your team through the process. Presets and commonly used companies remove any redundant data entry, so you can focus on booking more loads.  

‍

Key benefits: 

• Submit jobs through a self-service portal or TMS integration.  
• Denim’s TMS integrations let data flow seamlessly between your TMS and factoring platform with a single click.
• Presets and commonly used companies to eliminate duplicative data entry.

‍

Traditional factoring companies:

Submitting jobs to traditional factoring companies can be a time-consuming and error prone process. There are two main routes taken: CSV upload or email. 

‍

The average factoring company has a dashboard to upload CSV files with load details and separate PDF documentation with BoLs, PoDs, and rate confirmations. Batching loads like these can take dozens of hours and lead to errors when a load data is different in the csv than the pdf document. 

‍

Alternatively, some factoring companies require you to email this information. This often results in several back-and-forth emails to correct mistakes and verify information. 

‍

Some factoring companies have TMS integrations, but they are often delayed updates, meaning updates are only displayed 1-2 times per day. 

‍

Client dashboard

One important feature that isn’t always available for factoring clients is a comprehensive client dashboard that gives real-time metrics and data so brokers can make informed decisions on the fly. Here’s how Denim’s client dashboard stacks up against more traditional solutions:

Denim’s Dashboard:

With the Denim dashboard, brokers get a bird's eye view of the most important financial metrics. They can instantly gain insights into stats like jobs over time (with predictive month-over-month analytics), Days Sales Outstanding (DSO), total amount factored, fastest and slowest paying customers, and most profitable customers - all at a glance.

‍

Custom roles and permissions with Denim for Teams lets brokers set custom roles and permissions for the whole team, giving the exact data points every team member needs. This protects sensitive business information and gives more control to owners. 

‍

Custom reports can also be requested on demand by team members so they can find important information fast.

‍

Key benefits:

• Find important data at a glance.
• Set custom roles and permissions for specific team members.
• Request custom reports on important data on demand.
  
  

Traditional factoring companies:

Traditional factoring companies have limited or non-existent dashboards. Many require brokers to request specific data or metrics through email, leading to slow response times and confusing email chains with potentially unreliable customer support teams.

‍

When traditional factoring companies do provide dashboards, they often do so through “view-only” portals which only offer basic transaction reporting and payment statuses. These dashboards often require employees to share passwords, and offer limited if any control over which team members can view sensitive information.

‍

Client tools 

Brokers need more than just working capital to run their business - they need modern tools that improve efficiency and their bottom line. Here’s what Denim and other factoring companies offer:

‍

Denim’s Document Management:

Denim's Audit, Document Collection and Inbox features give brokers an easy way to collect and audit documents automatically, saving countless hours for back-office staff. Both tools are included for all factoring clients, and provide automatic document auditing that helps identify errors before you hit submit. This alone vastly improves the time it takes to submit new jobs.

‍

The Denim Document Collection & Inbox organizes all PoDs, BOLs, and Rate Confirmations in a simple easy-to-use inbox, and automatically attaches the correct documents to every job - finally ending the constant searching through your inbox and PDF merges for document submissions. 

Key benefits:

• Auditing tools automatically check documents for errors or missing information and cuts down on manual, time-consuming processes.
• Document collection inboxes automatically organize and securely store important documents so they’re always available when you need them. 

‍

Traditional factoring companies:

Traditional factoring companies provide little in the way of client tools, and are primarily focused on providing working capital to brokers. Factors that do provide these tools often do so at an additional cost for brokers.

‍

Carrier portal 

Effective carrier communication is critical for brokers, both to keep customers informed and to reduce unnecessary back and forth between your team and carriers. Here’s how Denim helps brokers keep carriers informed while saving staff time:

‍

Denim’s carrier portal:

Denim’s Carrier Portal gives carriers an easy way to stay informed at every step of the process, and is available for all factoring customers. This helps cut down on calls from carriers asking about payments, giving them real-time updates on payment status. Automated emails are sent to carriers when payments are complete, saving your staff time.

‍

Key benefits:

• Carrier portal access is available for all customers.
• Automatic and real-time updates are available for carriers.
• Automated email alerts cut down on calls to your team.
  
  

Traditional factoring companies:

Traditional factoring companies provide little or no outbound communication to carriers on behalf of brokers. The broker is responsible for all communication with carriers about payment, leading to excess calls and frustrated staff and carriers.

‍

Some factors will send out update emails when payments are completed, but it’s up to the broker to send any other communication.

‍

Invoicing and collections

Efficient invoicing and collections are vital for maintaining healthy cash flow. Denim’s back-office automation tools give brokers new advantages in these areas too:

‍

Denim’s process:

Denim’s automation tools make it easy for brokers to create and distribute invoices for shippers in minutes, instead of hours. As soon as rate confirmations and PODs are received, your client can be invoiced. No more waiting for carriers to send invoices, letting the aging clock start sooner.

‍

Denim also automatically alerts brokers of aging invoices, and follows up with shippers and brokers to prevent slow payments. Brokers can work directly with Denim to collect on invoices before using more drastic measures like chargebacks. 

Key benefits:

• Automated invoice creation and distribution.
• Early invoicing.
• Automatic aging alerts.
• Built-in collections process that keeps customers happy.

‍

Traditional industry processes:

Most traditional factoring companies don’t generate invoices for brokers automatically, and opt to send generic emails instead. These emails are often impossible to customize and confuse shippers without specific company logos or identification.

‍

Many traditional factoring companies also have very limited communication and lack comprehensive escalation processes. They frequently send one or two email reminders, and then charge a chargeback, causing issues with customers. 

‍

This lack of a collection process hurts customer relationships and costs brokers business.

‍

Payments 

Managing payments is an essential part of every brokerage, and doing it well is critical to the broker-carrier relationship. Denim provides improved processes over other providers in the space:

Denim’s payments:

Denim makes payments to carriers for you automatically, and gives brokers control over every aspect. Brokers choose how carriers are paid (e.g. ACH, check, QuickPay, and more) with no additional fees. 

‍

Denim also takes care of all the collection and storage of payment information on your behalf, so you never have to worry about storing sensitive personal carrier data on your system.

‍

Key benefits:

• Automated payments with unparalleled control.
• Save payment info and important documents securely.

‍

Traditional factoring companies:

Most traditional factoring companies don’t automate payments to carriers. Brokers are responsible for paying out carriers, requiring them to use additional back-office resources. 

‍

This can frequently lead to delayed or late payments, and unhappy carriers as a result.

‍

Many traditional factoring companies also charge excess fees for common services like QuickPay or ACH transfers. The fees vary from factoring company to factoring company, but often must either be absorbed by the broker or passed along to carriers who desire QuickPay. These fees can range from 1-3% of the load, which can quickly eat into the profitability of your brokerage. 

‍

Conclusion 

Brokers depend on cash flow and efficiency to grow their business. Without a suite of back-office tools to support your operation, you may find yourself paying excess fees, stuck manually invoicing shippers and paying carriers, processing paperwork, chasing down important metrics, manually compiling PDFs for job submissions, and more. 

‍

With Denim’s suite of back-office tools, your brokerage will be ahead of the curve with more efficient processes, streamlined communications, and fewer fees. Denim’s all-in-one platform is designed to meet the needs of brokers of any size, and sets a new standard for the factoring industry.

If you’re ready to find out how Denim can streamline your business, cut down on fees, improve your cash flow, and help your brokerage grow - get in touch with our team today. We’ll walk you through every step of the process and give you the tools you need to maximize your cash flow and streamline operations almost overnight.

QuickPay is a valuable tool for freight brokers, offering carriers the benefit of faster payments, typically within 24-48 hours instead of the usual 21-30 business days. Beyond improving cash flow for carriers, QuickPay can serve as a strategic advantage for brokers. Carrier QuickPay can help brokers attract top-tier carriers, improve retention, and even add a new revenue stream. 

‍

However, implementing QuickPay requires careful planning and communication to maximize its benefits and minimize risks.

‍

In this blog, we will cover best practices for managing a QuickPay program, including how to navigate fraud and leverage the right tools to make your program a success (and profitable).

‍

1. Vet Your Carriers: Avoiding QuickPay Fraud

‍

One of the key challenges brokers face is distinguishing between legitimate QuickPay requests from trusted carriers and those from fraudsters or double brokers attempting to get paid before being caught. QuickPay fraud can pose significant risks, including financial losses and damage to your reputation.

‍

Best Practices for Vetting Carriers:

• Onboard Through Trusted Programs: Use established carrier onboarding and vetting systems like MyCarrierPortal (MCP) or Highway to ensure you are working with verified and reliable carriers.
• Limit QuickPay to Trusted Carriers: Consider offering QuickPay only to carriers with a proven track record, reducing the risk of extending this service to potentially fraudulent operators.
• Regularly Monitor Performance: Keep an eye on carrier performance and payment history to identify any unusual patterns that may indicate potential fraud. For example, if the name on the invoice is not the same as the bill of lading. 

As the end of the year comes to a close, growth is on almost every brokerage’s mind. But, growing sustainably means working with the right shippers that you can build rapport and long-term relationships with. By choosing the right shippers for your brokerage from the beginning, you can set yourself up for growth in 2025 and beyond. 

‍

Let’s look at some questions to ask to ensure the shippers you work with are the right ones for your business. Working with the right customers is the key to successful freight broker sales. 

‍

Do Your Research Ahead of Time

‍

Before we dive into the questions to ask your shippers to qualify them, we first need to talk about the importance of good prospecting from the beginning.

‍

Freight broker prospecting is a lot like digging for gold. Before you start digging a 12-foot hole, you want to be sure there’s gold at the end. As a broker, your biggest asset is time. By doing your research ahead of time, you ensure that your time isn’t wasted and that the shipper you’re potentially going to work with is a good fit for your business. 

‍

Research Their Business

Before getting on a freight broker sales call with a shipper, take the time to research their business. This includes their industry, business size, geographic locations, any recent news, and freight types. You can also estimate their current shipping volume based on public data, testimonials, or industry standards.

‍

Identify Key Contacts

To make the most of your calls, make sure you’re talking to key decision-makers at the company. Tools like LinkedIn can help you identify these key contacts. 

‍

Leverage Existing Relationships

In addition to knowing the key contacts, research if you have any mutual connections. These mutual connections can help bridge the gap between the first freight broker sales call and building rapport.

‍

Go the Extra Mile

As Chris Brewer, CEO of River City Logistics says, “the battle is won before the phone call.” This means preparing as much as possible so you know who you’re talking to and what their needs are. He suggests going the extra mile and researching if you have any other things in common. This like mutual hobbies might seem superficial, but they can go a long way in building a connection with a prospect. 

‍

Qualifying Questions to Ask Your Shippers

‍

Okay, so you’ve done your research and know that the shipper you’re talking to is worth a discovery call. Let’s go over the types of questions to ask as you qualify shippers as part of your freight broker sales process.

‍

Questions About Their Past Experience

‍

Qualifying questions help you assess whether a shipper is a good fit for your services. Here are some categories of qualifying questions to start with:

‍

Past Experience With Brokers

A great freight broker prospecting question to ask potential new customers is whether or not they’ve worked with a brokerage before. This will give you a good understanding of what to expect and may give you insight into their past experience and how working with your brokerage might compare.

‍

Seasonal Volumes

Asking volume-related questions is an important way to qualify shippers. While some shippers might be hesitant to answer specific questions like “how much are you shipping this week?”, they may be more open to general questions about past loads. For example, try asking things like “what volumes were you averaging last fall? What about last summer? Were those volumes more or less than expected?”

‍

By keeping volume-related questions conversational and focused on past experiences, you can get a good gauge on how much business this shipper might bring your brokerage.

‍

Load Type

Of course, you need to make sure that the load type matches your brokerage. Ask questions about whether they require any special equipment for their loads, if they do full truckload shipping or LTL, and any other load-specific questions you need to know. 

‍

Business-Related Questions

‍

Next, ask the shipper about their specific business. Remember, the purpose of the discovery call in your freight broker sales process is to get as much information as possible to see if they’re a good fit for your brokerage. 

‍

These business-related questions will depend on the specific shipper but might include things like “how has your year been?”, “how is your industry doing?”, or “are you expecting any big orders this year?” Try to keep it positive and encourage the shipper to share their successes.

‍

Operational Questions

‍

Lastly, you should qualify your shippers by asking operational questions so you fully understand their business and needs. These freight broker sales questions can cover everything from their internal organization structure to their weekly truckload shipments. Here are some operational questions to help get you started:

‍

• How is your shipping organized?
• How much notice do you usually get to organize a truck to pick up your load?
• When is your busy season? When is your slow season?
• How do you usually find your trucks?
• How much time do you spend organizing a truck pickup on a last-minute load?
• What kind of trucks or equipment do you require?
• Have you had to extend freight payment terms and why?
• How many locations do you have? Are you organizing both inbound and outbound shipments from these locations?

‍

These operational questions just scratch the surface of everything you can ask about a shipper’s operations so let the conversation guide your information-gathering. Remember, you’re interviewing your shipper to see if they’re a good fit for your business as much as they’re interviewing you to see if they want to work with you. 

‍

Bonus: The Magic Wand Question

‍

Even the most successful shippers likely have something they would change about their business. But, rather than focus on the negative, consider asking the Magic Wand question: “if you had a magic wand and could change anything about your business, what would it be?” This is a fun and positive way to discuss potential challenges and pain points. It will also give you insight on what you can help improve as the shipper’s freight brokerage. 

‍

Find High-Quality Shippers Through Research, Prospecting, and Asking the Right Questions

‍

2025 is right around the corner, which means now’s the time to set your brokerage up for success to start the new year strong. One powerful end-of-year goal is to focus on attracting high-quality shippers to increase your freight broker sales. By doing your research and qualifying your prospects by asking the right questions, you can foster trust and secure partnerships with the right shippers.

Transportation Management Systems (TMS) are at the heart of every freight broker’s tech stack. They help brokers streamline their operations, improve efficiency, and grow their brokerage. 

‍

But, not all TMS platforms are created equal. Some are made for specific freight sectors, while some offer a broader feature set for brokers who need to do it all. But with so many TMS options out there, there’s sure to be one that fits every broker’s needs. Say goodbye to manual spreadsheets and outdated systems and hello to a TMS transportation software that will help you scale. 

‍

Here, we break down some of the best TMS software for brokers, including their key features and the types of brokerages they best serve.

Scaling your fleet trucking business is no easy feat, especially if you want to scale sustainability (as you should). We’ve seen too many horror stories about fleets that grew too quickly and then went out of business, such as Surge and Convoy. 

‍

But, cautionary tales aside, there are a lot of growth opportunities for fleets and it all comes down to proper truck fleet management. We may not be seeing a complete market upturn yet, but there are plenty of signs that things are on the upswing for fleets. Sustainable growth is possible. 

‍

Let’s look at ways to manage your truck fleet and scale sustainably through smart cash flow strategies, efficient operations, and a productive team of employees and drivers. 

‍

Step One: Plan Your Finances

‍

When it comes to scaling your fleet trucking business, accurate financial planning is key. A few things to consider when approaching financial planning for your fleet is your budget, financing, and cash flow. 

‍

Create a Growth Budget

‍

One of the first things to do when planning to scale your fleet sustainably is create a growth budget that takes into account all of your costs. 

‍

These costs could include acquiring new trucks (including their purchase prices, leasing options, and maintenance requirements and expenses), increased insurance coverage, and hiring and training new drivers. You may also budget for upgraded technology, such as a fleet management software to make your operations more efficient as you grow. 

Secure Financing

The next step when thinking about scaling your fleet is to consider financing. There are lots of options available to fleet owners, including loans, factoring, and lines of credit. 

‍

Loans

Loans provide a lump sum of funding, but they require regular payments, which might impact your cash flow as you scale. 

‍

Factoring

When you factor invoices, you sell your invoices to a fleet factoring company to improve your immediate cash flow. Factoring rates differ based on your needs and while factoring may impact your overall revenue, the fees are often a small price to pay for the flexibility it affords fleets. 

‍

Lines of Credit

Lines of credit offer flexibility because you can spend more cash now, but they come with variable interest, often as high as 14% for newer fleets. 

‍

Weighing freight factoring vs a line of credit is a common consideration for fleet owners as they both provide access to cash flow, but when looking at the pros and cons of each, factoring is often a better choice for fleets to avoid variable interest rates, tighter credit conditions, and higher borrowing costs. 

‍

Manage Cash Flow

‍

Lastly, you will need a way to manage cash flow as you grow to avoid financial strain. Your detailed budget and financing will help with managing cash flow, but you will still need to look at the data to accurately project your revenue and expenses. 

‍

To avoid any future financial hiccups, make sure to account for potential fluctuations in things like fuel costs, maintenance, and driver wages. Monitor your cash flow closely to ensure that as you grow, you aren’t jeopardizing your ongoing operations. Some fleet owners may even consider setting aside a reserve fund for any unexpected costs.

2024 has brought a mix of challenges and opportunities for trucking companies across the nation. From economic uncertainty to rising fuel costs to cautious optimism in the coming months, there’s a lot to think about as a fleet owner or broker.

‍

The end of the year is right around the corner and there’s no better way to end 2024 than by setting some powerful short term goals to carry you through Q4. Here, we share some short term goals you could consider for your trucking company and provide some actionable steps to progress towards them. Here’s to a great end-of-year rally!

‍

1. Optimize Your Freight Pricing to Maximize Revenue

‍

The goal: Conduct a pricing review to ensure alignment with market trends and close Q4 with improved margins.

‍

A great end-of-year goal to set your sights on is to optimize your freight pricing to maximize revenue. We’ve seen freight pricing trends go up and down and just recently, some companies have even secured rate increases. For example, XPO negotiated an 8% rate increase from a year ago and ArcBest finished Q2 with a 5.1% increase in rates. With this in mind, optimizing your freight pricing strategy should be a top priority for the rest of the year. 

‍

But optimizing freight pricing is easier said than done, right? Start by conducting a comprehensive review of your current pricing strategies to ensure that they align with current market conditions. Then, look at where you can renegotiate contracts or shift your focus to higher paying lanes. 

‍

Another option is to implement dynamic pricing models, especially as we approach the busy holiday season. Dynamic pricing models allow you to create freight pricing that adjusts as the market changes.

‍

Actionable steps

• Review and adjust pricing strategies
• Renegotiate contracts or focus on higher paying lanes
• Implement dynamic pricing models

‍

2. Conduct an End-of-Year Financial Review and Optimize Cash Flow

‍

The goal: Reduce Days Sales Outstanding by 10-15 days by streamlining invoicing processes and conducting a comprehensive financial review by end of Q4. 

‍

Effective cash flow management is essential for any successful trucking company, especially at year-end when costs can rise, and cash can become tight. To set your business up for success in 2025, conduct a thorough end-of-year financial review focusing on cash flow, outstanding receivables, and areas for improvement. Proper financial planning for brokers and fleet managers is crucial to sustain growth and maintain financial stability.

‍

During your review, identify opportunities to reduce the time it takes to get paid. This may involve tightening up invoicing processes, implementing quick-pay discounts, or leveraging technology to send accurate invoices promptly. If your review indicates that reducing DSO could significantly improve liquidity, consider partnering with a factoring service to get paid on invoices immediately. 

‍

At Denim, we offer a number of benefits outside of just factoring. Our solutions include customized financial reports, transparent pricing with no hidden fees, and dedicated support to help you understand and enhance your company’s financial health.

‍

Actionable steps:

• Conduct an end-of-year financial review
• Optimize payment terms
• Improve cash flow with factoring

Cash flow is the lifeblood of every fleet operation. Without it, covering essential expenses like maintenance, fuel, and repairs becomes a challenge. When cash runs dry, delivering the top-tier service your fleet is known for could be at risk.

‍

Many fleet owners turn to freight factoring to ease their cash flow concerns, but not all factoring is the same. There are two main types: recourse and non-recourse. Knowing the difference between them can help fleet owners better manage risks, control costs, and keep their operations running smoothly.

‍

What is Non-Recourse Factoring?

‍

Non-recourse factoring is a financial arrangement where the factoring company assumes the risk of non-payment from the fleet's customers, typically brokers. This type of factoring is particularly appealing to fleet owners who are concerned about the possibility of non-payment or encountering a double-broker scenario, where payment becomes complicated or delayed.

‍

Benefits of Non-Recourse Factoring for Fleets

‍

Risk Mitigation

The primary advantage of non-recourse factoring is that it shields your fleet from the risk of non-payment due to bankruptcy. If a broker defaults, the factoring company absorbs the loss, not your fleet.

Simplified Accounting

With non-recourse factoring, you can manage your cash flow more effectively, knowing that your revenue is secured. This allows for easier financial planning and less stress about potential losses.

‍

Drawbacks of Non-Recourse Factoring

‍

Higher Fees

The peace of mind that comes with non-recourse factoring comes at a cost. Non-recourse factoring companies charge higher fees to compensate for the increased risk they assume.

Stricter Credit Criteria

Non-recourse factoring is typically only available for brokers with strong credit profiles. This may limit your ability to use this option if your customers don't meet the stringent requirements.

‍

Doesn’t Cover All Non-Payment Situations

Most non-recourse factoring contracts only protect your fleet from non-payment due to bankruptcy or brokerage closing. It does not apply to situations like double brokering or disputes. 

‍

When is Non-Recourse Factoring the Right Fit for Fleets?

‍

Non-recourse factoring is most beneficial for fleets that prioritize risk avoidance over cost. If your fleet frequently deals with new or smaller brokers, or if you've experienced a client bankruptcy in the past, this option can provide the security you need to keep your operations running smoothly.

‍

What is Recourse Factoring?

‍

Recourse factoring places the risk of non-payment back on the fleet owner. While this might sound less appealing at first glance, there are significant advantages that make recourse factoring an attractive option for many fleets. 

‍

Benefits of Recourse Factoring for Fleets

‍

Lower Fees

Because the factoring company is not taking on the risk of non-payment, recourse factoring typically comes with lower fees. This can be a major advantage for cost-conscious fleet owners who are confident in the creditworthiness of their customers.

‍

Flexibility

Recourse factoring tends to have more lenient credit requirements, making it accessible to a broader range of customers. This can be especially useful for fleets that work with a mix of brokers, including those with less established broker credit histories.

‍

Drawbacks of Recourse Factoring

‍

Risk Retention

The biggest downside of recourse factoring is that your fleet is responsible for any unpaid invoices. If a broker fails to pay, you’ll need to cover the cost or negotiate with the broker directly.

Could Lead to an Increased Workload

With the potential for unpaid invoices, recourse factoring can lead to additional administrative work, as your fleet may need to follow up on payments for aging collections.

‍

When is Recourse Factoring the Right Fit for Fleets?

‍

Recourse factoring is a great fit for fleets with a strong handle on their customers' creditworthiness and those who are willing to take on a bit more risk in exchange for lower fees. If your fleet operates with long-standing, reliable brokers, recourse factoring can be a cost-effective solution.

‍

Recourse vs Non-Recourse Factoring: 4 Key Differences

‍

As you can see, both non-recourse and recourse factoring offer their individual benefits and drawbacks. Here are a few more key differences between the two:

‍

• Risk Management – Non-recourse factoring shifts the risk to the factoring company, while recourse factoring places it on the fleet owner.
• Cost – Recourse factoring is generally less expensive due to the lower risk for the fleet factoring company. Recourse factoring fees are typically between 1-3%, while non-recourse factoring fees could be up to 5%. 
• Qualification Criteria – Non-recourse factoring requires customers with strong credit, while recourse factoring is more flexible.
• Impact on Cash Flow – Both options provide immediate cash flow, but non-recourse factoring offers greater security at a higher cost.

‍

Recourse vs Non-Recourse: Choosing the Right Option for Your Fleet

‍

When deciding between non-recourse and recourse factoring, consider the following:

‍

• Creditworthiness of Your Customers – If you work with trusted brokers, recourse fleet factoring might be a viable option. If you work with one of the many brokers that factors with Denim, you know that you’ll always be paid on time. 
• Risk Tolerance – If you prefer to avoid risk, non-recourse factoring provides the peace of mind you need.
• Cost Considerations – Weigh the higher costs of non-recourse factoring against the potential risks of recourse factoring.
• Growth and Expansion – If you plan to grow your fleet, securing reliable cash flow through recourse factoring might support your expansion more effectively with lower rates.

‍

Choosing between recourse vs non-recourse factoring depends on your fleet’s specific needs and risk tolerance. While non-recourse fleet factoring offers protection against non-payment, it comes with higher costs. Recourse factoring is more affordable but may carry more risk. At Denim, we offer recourse factoring because it gives both us and our customers more flexibility to grow their fleet and cut costs. If you’d like to learn more, request a demo today!

Making timely payments as a broker is more than just important - it’s a necessity. On-time freight payments directly impact your credit score, carrier relationships, reputation, and even the number of follow-ups you receive from carrier factoring companies. 

‍

On the other hand, late payments can negatively impact your freight broker credit, make carriers less likely to work with you again, and negatively impact your reputation in the industry.

‍

By implementing the best practices we’ve outlined below, you can streamline operations, build trust with carriers, and potentially open new revenue streams. These are our top five essential freight payment best practices that every broker should start implementing today.

‍

1. Pay Your Carriers Before Paying Yourself

‍

Getting into good habits when paying carriers is a cornerstone of building a successful brokerage. This means prioritizing paying your carriers first, before paying yourself. 

‍

Many brokers might think this doesn’t matter, because they think there will always be enough to pay their carriers. This unfortunately is where many brokers run into trouble, because when they get into the habit of paying themselves first and run into a cash crunch, it can leave carriers hanging with delayed or unreliable payments.

‍

Paying your carriers first helps maintain healthy relationships and avoids any possibility of business disruption due to delayed payments. By ensuring carriers are paid promptly, you guarantee continuous, reliable service from carriers, prevent debt spirals that can quickly derail your financial stability, and build a reputation as a trustworthy partner in the industry.

‍

To implement this effectively:

• Establish a clear payment hierarchy within your business. Make it company policy that carrier payments come first.
• Implement rigorous cash flow monitoring systems. This could involve daily cash flow checks or using specialized software to keep a constant eye on your financial health.
• Consider setting aside a dedicated cash reserve to ensure you always have the necessary funds available, even when the unexpected happens. 

‍

2. Offer a QuickPay Program

‍

QuickPay has quickly become one of the most popular methods for payment among carriers. These programs give carriers the ability to be paid within 24 hours after delivering a load, making it hugely popular among carriers who are used to 7-14 day payments (or longer). Carriers who want to be paid through QuickPay are often reluctant to work with brokers who don’t have it available, making it more difficult for brokers to find reliable carriers if they don’t offer a QuickPay option.

‍

While QuickPay is great for carrier retention, it does come with a few caveats. First, it should only be offered to reliable carriers you’ve worked with before, or those vetted through programs like MCP. This helps reduce the possibility of fraud and misuse. 

‍

Brokers should also consider charging a fee to carriers based on the speed of payment. This can range from 1-3% of the invoice amount, depending on how quickly the payment is made, giving brokers a new revenue stream.

‍

Benefits of a QuickPay program include:

• Improved carrier satisfaction, leading to stronger, more loyal partnerships.
• Keeping drivers on the road and loads moving, improving overall efficiency.
• Potential for a new revenue stream through QuickPay fees.

‍

When implementing QuickPay, be sure to keep the following tips in mind. First, don’t offer QuickPay to first-time carriers to avoid fraud. Brokers should also look for a factoring company like Denim that doesn’t charge for QuickPay, giving you the ability to add a new revenue stream by charging a fee.

‍

3. Pay Consistently and On-Time 

‍

Making payments consistently and on-time, every time, is critical to growing your brokerage. This gives your carriers a predictable, reliable payment schedule they can depend on, all while building your broker credit. 

‍

With inconsistent payments, brokerages will be bombarded with calls from carriers wondering where their payment is, when it will come, and wondering if they should work with you again. This inconsistency also negatively affects your credit score, making it more difficult to find carriers in the future, get lines of credit and loans, and grow your brokerage. 

‍

In order to ensure consistent on-time payments, be sure to:

• Set up automated payment systems. This removes the human error factor and ensures payments are made like clockwork.
• Clearly communicate payment schedules to carriers. Transparency about when they can expect payment can significantly reduce payment-related inquiries.
• Leverage a payments partner like Denim who provides flexible payment settings that can be tailored to your needs to ensure carriers are paid on-time and consistently.

‍

4. Pay Carrier Factoring Companies Near 30-day Terms

‍

More and more often some carriers are choosing to factor their loads, which means brokers need to pay their carrier’s factoring company instead of the carrier directly. 

‍

While carriers are used to being paid quickly, sometimes within 24 hours with QuickPay, it’s possible to shift the payment terms with factoring companies to net-30 terms. Making these payments consistently will help reduce follow-up calls from carrier factoring companies, and will help improve your credit score with agencies like Asonia.

‍

We generally recommend paying carrier factoring companies in 27-28 days on net-30 invoices, to stay off of their follow-up call lists. To do this consistently, it’s best to use set-and-forget payment settings through your payments software. Brokers should also monitor and audit invoices to ensure they’re accurate and submitted promptly to avoid any delays in payment.

‍

5. Work with a Factoring Company

‍

Implementing all of these systems and rules into your brokerage might seem like a lot of work - and it is when done manually for every invoice and carrier. That’s why we recommend brokers work with a factoring company to automate most (if not all) of these processes.

‍

Freight factoring provides immediate cash flow to your brokerage, giving you the ability to pay carriers right away through programs like QuickPay. Factors like Denim even include a free QuickPay option for brokers, letting you add new revenue streams that often make up for factoring fees immediately. This cash flow also helps cover operating expenses, which would normally need to be delayed until shippers pay their invoices in 30-60 days. 

‍

In addition to automating much of your back-office and covering immediate cash flow needs, freight factoring can also help improve your credit by automating payments to carrier factoring companies, and ensuring that payments are made on time consistently.

‍

Here’s our top tips for considering a factoring company:

• Research and choose a reputable factoring company that aligns with your business needs. Be sure to take into account their industry experience, technological capabilities, and customer service.
• Regularly review the terms and fees associated with the factoring service, and make sure they’re competitive and won’t increase significantly as your business grows.
• Consider how the factoring company integrates with your existing systems and processes. The right partner should make your operations smoother, not more complicated.

‍

Conclusion

‍

By adopting these best practices, your brokerage can significantly improve its cash flow, strengthen carrier relationships, and improve the stability of your business. These strategies not only help you avoid late and missed payments but also position your brokerage for long-term success in the industry.

‍

Your payment practices are a direct reflection of your business's reliability and professionalism. By implementing these best practices, you're not just improving your operations – you're investing in your reputation and future success.

‍

If you’re ready to instantly streamline your freight payments and take your brokerage to the next level, get in touch with the Denim team to find out how our factoring services can be tailored to your brokerage's unique needs. With the right partner and practices in place, managing your payments can be transformed from an arduous task into something that moves your business forward, drives new revenue, and helps your brokerage grow.

You've likely built your business on making smart decisions, managing cash flow, and navigating relationships with shippers and carriers. Yet, when it comes to freight invoice factoring, we often hear a resounding, “I don’t need it.” After all, you’ve got things under control, right?

‍

The truth is, many freight brokers who believe they don’t need factoring may be missing out on valuable opportunities for growth and operational efficiency. Factoring isn’t just a solution for struggling businesses. It’s a tool that can supercharge your brokerage's performance, giving you the flexibility, security, and administrative support you need to thrive in a competitive market. 

‍

Let's break down the common objections to factoring for freight brokerages and show you how, in reality, it can be a game-changer for your business.

‍

Reason #1: "I’m Self-Financed"

‍

We get it. If you’re self-financed, you’ve likely worked hard to get there. You’ve saved, reinvested profits, and maybe even avoided taking on debt to keep control of your business’s financial health. The assumption here is that since you’ve got cash reserves, you don’t need freight invoice factoring. It’s a reasonable conclusion, but it’s not the full picture.

‍

Why Factoring is Still Beneficial:

‍

Opportunity Readiness: Even the most financially stable brokerages need quick access to capital when opportunity knocks. Factoring ensures you have the funds to take on bigger contracts, expand your fleet, or make critical investments without waiting on your shippers to pay.

‍

Administrative Relief: Factoring isn’t just about cash flow—it’s about time. By working with a factor that provides back-office support, like Denim, you can streamline your invoicing and collections processes. This allows you to focus on growing your business instead of chasing down payments. We helped Peregrine invoice in under a minute with our back office support. 

‍

Competitive Edge: Cash on hand means you can negotiate better deals with suppliers, offer better terms to clients, and act quickly on market shifts. Factoring keeps your liquidity strong, giving you the edge over competitors who might be slower to act.

‍

Operational Efficiency: By converting receivables into immediate cash, you maintain a consistent flow of working capital. Healthy cash flow allows you to manage day-to-day operations more effectively, without draining your reserves.

‍

Reason #2: "I Have a Line of Credit"

‍

A freight broker might think they don't need factoring if they have a line of credit because they believe this credit line provides sufficient liquidity to manage their financial needs. They may view the line of credit as a flexible and readily available financial resource, but when it comes to factoring vs a line of credit, factoring may offer a number of benefits that a line of credit doesn’t.

‍

Why Factoring is Still Beneficial

‍

No Additional Debt: Freight invoice factoring is not a loan. It doesn’t add to your debt load or impact your credit. Instead, it accelerates your cash flow based on work you’ve already completed, keeping your financial profile clean.

‍

Higher Funding Limits: Factoring scales with your sales, not a pre-set credit limit. As your business grows, factoring provides more funds to fuel that growth without the constraints of a credit line.

‍

Credit Services: Factoring includes customer credit checks and vetting, which can help you avoid the risk of non-payment and improve your overall financial management, something a line of credit typically does not offer.

‍

Payments and Collections Automation: Factoring services automate much of your back-office work, from carrier payments to collections. This frees up your time and reduces the administrative burden on your team, allowing them to focus on more strategic tasks.

‍

Reason #3: "We Don’t Want Shippers and Carriers to Think We’re Broke or Damage The Relationship We’ve Built”

‍

Factoring sometimes carries the misconception that it signals financial distress. Brokers worry that using a factor will make them look unreliable or unable to manage their own cash flow. However, it is often the opposite. Working with a factoring company signals efficiency to a shipper. 

‍

Why Factoring is Still Beneficial

‍

Improved Relationships: Factoring provides immediate funds, ensuring you can pay your carriers and meet other obligations promptly, which can actually boost your reputation with carriers. This freight brokerage used Denim’s factoring to “cement” their carrier relationships!

‍

Simplified Processes: Factoring can simplify your interactions with shippers by streamlining the back office operations and payment process. With factoring handling the heavy lifting on invoicing and collections, you can ensure smooth and efficient operations that bolster, rather than hinder, your relationships.

‍

Growth and Stability: Factoring helps you avoid common cash flow pitfalls and supports sustainable growth. By avoiding payment delays and financial hiccups, you project a stronger, more reliable image to your clients and partners.

‍

Enhanced Service Focus: By outsourcing the accounts receivable process, you free up time and resources to dedicate to customer service and operational excellence. This can lead to better relationships with your shippers and carriers, as they will benefit from your increased attention.

‍

Reason #4: "My Shippers Pay Fast"

‍

If your shippers already pay their invoices quickly, you might think factoring is unnecessary. After all, you’re not dealing with long payment cycles or cash flow crunches. But even fast payments don’t account for unexpected expenses or new growth opportunities.

‍

Why Factoring is Still Beneficial

‍

Credit Risk Management: Factoring is more than just paying invoices. It includes credit checks and vetting of your shippers, reducing the risk of non-payment and providing peace of mind regarding your receivables.

‍

Access to Immediate Capital: Even with fast-paying shippers, factoring provides immediate cash flow, which can be crucial for handling unexpected expenses, taking advantage of timely opportunities, or investing in business growth without waiting for the end of a payment cycle.

‍

Growth and Investment: Having that extra liquidity, even temporarily, can be the difference between maintaining the status quo and investing in growth. Factoring allows you to reinvest in your business without waiting for customer payments to arrive.

‍

Reason #5: "I Don’t Want Anyone Cutting into My Profits"

‍

It’s understandable that the idea of paying fees for factoring might seem like a hit to your bottom line, especially in a business where margins are already tight. But factoring fees should be seen as an investment in the overall efficiency and growth of your business.

‍

Why Factoring is Still Beneficial

‍

More Than Just Factoring: With a factoring partner that’s invested in your success like Denim, you get much more than just factoring. Denim offers features like automated invoicing, collections management, free credit checks, TMS and QuickBooks integrations, and document collection. These tools not only save you time but also enhance your profitability by making your operations more efficient. 

‍

Reduce The Risk of Non-Payments: Factoring includes thorough credit checks, meaning you’re less likely to suffer from non-payment or bad debts. This protection can prevent costly losses and, in many cases, offset the factoring fees entirely.

‍

A Positive Cost-Benefit Analysis: The immediate access to capital that factoring provides allows you to take on bigger contracts, expand your fleet, or improve services—all of which can lead to higher revenues. Often, the growth enabled by factoring outweighs the cost, making it a smart investment for long-term profitability.

‍

Conclusion

‍

Freight invoice factoring may not be what you initially think, but it offers countless advantages to help your brokerage grow and operate more efficiently. Whether it’s freeing up capital for new opportunities, relieving administrative burdens, or strengthening your relationships with shippers and carriers, factoring isn’t just a financial tool—it’s a strategic advantage.

‍

If you’re ready to see how factoring can transform your business, schedule a demo today.