Since the advent of big rigs, truck drivers have been romanticized in country music, movies, and on television. Today's "knights of the highway" are sometimes compared to the cowboys of the 19th Century. For all the romance and mystique, trucking is still a business. As with any business, a transportation company has to take advantage of every available resource.
Trucking companies can increase cash flow and reduce overhead through freight factoring. A simplified explanation of freight factoring is that the hauling company sells their customer's outstanding debt to a freight factoring company. The factoring company makes its money by paying the motor carrier a percentage of the value of the debt a portion of which is paid up front.
While it may sound like the trucking firm is losing money, factoring freight actually reduces the hauler's overhead. The factor assumes the expense of collecting the purchased debt. A factoring company for truckers can offer cards for discounted fuel.
Global Positioning Systems (GPS)
GPS devices can be mounted in the truck or utilized via smartphones or tablets carried by the driver. The primary benefit of GPS is improved logistics, which in turn improves reliability.