FAQs about Non-Recourse Factoring
Experience unparalleled financial security with True Non-Recourse Freight Factoring by OTR Solutions. Our unique service eliminates the risks of unpaid invoices, ensuring stable cash flow and peace of mind for trucking businesses.
What is Non-Recourse Freight Factoring?
Non-Recourse Factoring is a financial service where a factoring company purchases your invoices and assumes the credit risk. If a customer fails to pay due to insolvency or bankruptcy, the factoring company absorbs the loss, not you.
How does Non-Recourse differ from Recourse Factoring?
In Recourse Factoring, if a customer doesn’t pay an invoice, you’re responsible for repaying the factoring company. Non-Recourse Factoring, however, shifts the risk of non-payment due to customer insolvency to the factoring company.
Who can benefit from this type of factoring?
Trucking companies looking for financial stability and peace of mind can benefit. It’s ideal for those who prefer not to shoulder the risk of client insolvency or delayed payments.
What makes OTR’s Freight Factoring Services different?
OTR Solutions stands out as the only company offering True Non-Recourse Factoring. This unique service means no hidden fees, no monthly minimums, and no chargebacks. Once a carrier is paid by OTR, the payment is final, even if we can’t collect from the broker. We assume all risks of non-payment, setting us apart in the industry.
How does OTR Solutions ensure prompt payment for freight services?
OTR Solutions prioritizes fast and efficient payment. Once your invoice is approved, we process the payment swiftly, often within the same day. Our BOLT service even offers immediate access to your funds, making us a top choice among freight factoring companies for urgent cash needs.
What extra benefits does OTR Solutions offer to trucking companies?
Beyond freight factoring, OTR Solutions provides a suite of tools to enhance your trucking operations. From our exclusive OTR Fuel Card, offering significant fuel savings, to the innovative OTR Clutch checking account tailored for truckers, we equip you with the resources to thrive in the trucking industry.
What is the role of the Dedicated Operations Team at OTR Solutions?
Our Dedicated Operations Team offers personalized support, ensuring seamless factoring processes. We manage all aspects of factoring, from invoice verification to broker relations, providing you with peace of mind and more time to focus on your trucking business.
How do Broker and Shipper Approvals work with OTR Solutions?
We take the hassle out of vetting brokers and shippers. Our internal team conducts thorough market analysis and risk assessment, ensuring you work with reliable partners. Free broker checks are also available 24/7 in the OTR Solutions Mobile App. This is an integral part of our comprehensive freight factoring services.
Ready to Partner with OTR Solutions for True Non-Recourse Factoring?
Experience the unique benefits of True Non-Recourse Freight Factoring with OTR Solutions. Apply now and transform your trucking business’s financial management.