Considering how necessary it is to the U.S. economy, the trucking industry has been noticeably slow in adopting new technology to the business of hauling freight. The newest era in freight transportation is already upon us, fleet companies will simply have to stay ahead of competition, comply with new regulations, and manage new operating costs that come with hauling freight in the 21st century — or else risk eventual obsolescence.
In order to accomplish all three of these, trucking companies will need to start embracing technology that is fast becoming commonplace in the industry. One major innovation that trucking companies are slow to adopt is the Internet of Things (IoT). Taking advantage of this technology promises to save trucking companies a lot of time and money, especially over the long haul.
The Internet of Things helps trucking companies save money on maintenance costs thanks to sensors that are embedded in each truck which send vital performance-related info to owners or maintenance departments.
The IoT helps identify possible areas of concern in advance before they become full on problems that can take trucks out of commission for days or even weeks at a time. Finding potential issues early saves money and prevents the snowballing effect of defective parts or trucks taken off the road. Additionally, IoT-enabled sensors can help drivers and their trucking companies determine the most fuel effective driving methods, such as optimal speed on freeways, and how to properly brake.
And of course, IoT can help fleet companies map out the best possible route for any given truck on any given trip before the driver even gets behind the wheel. By shortening travel time, less fuel is used, which, of course, will translate into savings for the company. When truckers need to make deliveries into large cities, IoT can help them avoid areas jammed by traffic, accidents, or unexpected city events such as protests, rallies, or parades.
The cash-saving advantages and improved efficiencies of fully integrating IoT technology is undeniable for trucking companies of any size. The challenge will be managing the procurement and implementation of these technological advances — which comes down to affordability and cash flow.
Trucking is an industry with slim margins, slow paying customers, and very restrictive bank covenants. This means that access to working capital that would allow such technological upgrades can often be a severe challenge for fleets’ owners to meet. Freight factoring has therefore become a mainstream financial tactic for trucking companies who wish to reignite their cash flow and catch up to 21st-century technology.
One transparent and reliable factoring company is Accutrac Capital — one that doesn’t charge any set up costs or spring hidden fees. Approval is quick and the company works exclusively with the trucking industry, so plans are generous.
Available options include flat rate factoring starting at 1.59% for 90 days; or you might consider a factoring line of credit which starts at 0.022% per day (and is the most cost-effective option for large fleets); finally, flex factoring starts at the very low 0.49% for 10 days and is a fantastic option for carriers with quick-paying customers. Visit their informative blog to learn about freight factoring services that might be right for your company — you might be surprised at how easy the process is.
Freight factoring can help companies secure the funds they need when they need them, helping them stay on top of fleet expenditures, day-to-day operations costs, and improvements to infrastructure — including adopting IoT technology and stepping into the future.