Open deck freight
Hotshot factoring
Built for new authorities and one-truck operations. No contract, no minimum, and no requirement to run a certain number of loads a month.
This is the whole point for a hotshot operation. No minimum number of loads, no minimum dollar volume, no monthly commitment. Run eleven loads one week and none the next, and neither week costs you a fee.
The cash cycle
Why hotshot freight waits.
Hotshot is where the cash flow problem is most acute, because it is where the operation is smallest and the reserves are thinnest. A Class 3 to 5 truck and a gooseneck is an achievable way into trucking, which is exactly why so many hotshot operations are in their first year of authority, running on a credit card, and one slow-paying broker away from a real problem.
The volume is also erratic in a way that punishes any commitment. Three loads one week, eleven the next, then a quiet stretch because the play slowed down or the season turned. Any factoring arrangement that requires a monthly minimum is billing that carrier for the weeks they most needed the money to stay in their own account.
That is the specific reason the terms here are what they are. There is no contract to sign, no monthly minimum, and no requirement to factor a set number of loads, because the carriers who need factoring most are the ones least able to promise volume in advance. A new authority is not a disqualifier either: what gets underwritten is the credit of the broker or shipper paying the invoice, not how long your MC number has existed.
What rides in it
- Oilfield equipment and pipe
- Construction materials and small machinery
- Expedited and hot-shot LTL freight
- Agricultural equipment and parts
- Vehicles, trailers, and towable equipment
Who pays the invoice
Oilfield service companies, equipment dealers, construction contractors, expedite brokers, and load board brokers.
This is what actually gets underwritten. Approval depends on your customer’s credit, not on your operating history.
Paperwork
What to send with the load.
Send all the paperwork related to the load. What that includes depends on the customer; these are the most common. Upload it all to the Smart Freight Portal.
Rate confirmation
The agreement with the broker or shipper, showing the load and the agreed rate.
Scale tickets
The weights, on any load that is weighed or paid by weight.
Bill of lading
Signed at delivery. It is the proof the load moved.
Not sure what a customer needs? Call and ask before you haul it.
How it works
Haul it, send it, get paid.
- 01Monday, 9:40 AM
Haul the load
Book it wherever you book freight. You choose which customers you factor, customer by customer. Nothing obligates you to send us all of them.
- 02Monday, 10:15 AM
Send the paperwork
Upload all the paperwork for the load to the Smart Freight Portal: usually the rate confirmation, scale tickets and bill of lading.
- 03Monday afternoon
Get paid the same day
Loads submitted by 11 AM CST, Monday through Friday, are paid the same day. Loads submitted after 11 AM are paid the next business day. The money lands in your bank by ACH.
Questions
Hotshot factoring, answered.
I just got my authority. Can I factor?
Yes. A new authority is not a reason to be turned down, because what gets underwritten is your customer's credit rather than your operating history. Plenty of clients started factoring in their first month of running.
Is there a minimum number of loads I have to factor each month?
No. There is no minimum load count, no minimum dollar volume, and no monthly commitment of any kind. You factor the loads you want to factor, when you want to, and a month with none costs nothing.
Get your hotshot invoices paid the same day.
The application takes a few minutes and commits you to nothing. No contract, no minimum, no monthly commitment.