Author: Charter Capital

Facing a deficit of 80,000 truckers, the transportation industry takes aim at pay and policy.

HOUSTON, June 15, 2022 – Leading invoice funding company Charter Capital says the transportation industry is making moves to end the trucker shortage. As reported by the American Trucking Associations (ATA), the United States is presently short 80,000 truckers. The figure could climb as high as 160,000 by 2030 if left unchecked. Full coverage of the situation is available in “4 Ways the Transportation Industry is Addressing the Truck Driver Shortage,” which is now live on charcap.com.

Many factors are contributing to the shortage. More than half of it, per the National Transportation Institute (NTI), can be tied to retirement. As drivers age out of trucking, the industry is failing to attract younger drivers as it once did. Challenging working conditions and low pay are also cited. 

“Transportation companies are bumping up pay to attract and retain skilled truckers,” says Joel Rosenthal, Co-founder and Executive Manager at Charter Capital. “That helps individual companies persevere, but it hasn’t been enough to start attracting younger professionals to the field yet.”

Rosenthal points to initiatives across the country including the Safe Driver Apprenticeship Pilot Program (SDAP) from the Federal Motor Carrier Safety Administration (FMCSA), which may help the industry attract fresh talent. Individual states are taking action too. New York, for example, is enacting legislation to allow those age 18 and up the opportunity to earn a CDL Class A through a specialized training program. Previously, only those 21 and up could obtain the license. 

Even still, some industry experts contend the country is experiencing a “reallocation of drivers” more than a shortage, as truckers move away from large fleets to smaller companies or form their own firms. 

“We are seeing more small and midsize trucking companies applying for factoring,” Rosenthal notes. “In some cases, it’s owner/operators accelerating cash flow to cope with notoriously slow payments across the industry. Other times, it’s larger companies ensuring they can cover increased payroll expenses.”

Rosenthal explains that, with transportation factoring, companies can get paid as soon as a load is dropped off, so it’s easier to accept another load and grow. Through Charter Capital’s freight factoring program, companies can qualify for perks like fuel cards too.

Those interested in learning more about transportation factoring are encouraged to request a complimentary quote by calling 1-877-960-1818 or visiting charcap.com.

About Charter Capital

Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. Competitive rates, a fast approval process, and same-day funding help businesses across various industries secure the working capital necessary to manage daily needs and grow. To learn more, visit charcap.com or call 1-877-960-1818.

More small and midsize businesses are leveraging the alternative funding solution to operate more effectively.

HOUSTON, April 22, 2022 – Leading invoice funding company Charter Capital says more small and midsized businesses are choosing the funding solution with growth initiatives in mind. The company explores the concept in depth in “How Factoring Can Help You Run Your Business More Effectively,” which is now live on charcap.com.

As noted in the Forbes 2022 survey, and echoed by Deloitte’s Winter 2022 CEO Survey, businesses have big growth plans for this year, with many focusing their investments on technology that can help them serve more customers or improve workflows and processes. Enhancing customer and employee experiences and bolstering diversity and inclusion initiatives also rate high.

“More and more business owners are seeing invoice factoring as a tool to help them achieve their big picture objectives,” explains Charter Capital Co-Founder and Executive Manager Gregory Brown. “The value of the immediate working capital injection is still there, which can help with growth-related expenses, but they’re equally as excited by the opportunity to improve their processes and client experiences too.”

Brown says that factoring allows businesses to get immediate payment for their B2B invoices, so they’re able to offer their clients more relaxed payment terms and focus on building relationships instead of chasing payments. Oftentimes, this opens doors for clients to place larger or more frequent orders, which helps the business grow even more. Factoring companies like Charter Capital also help their clients by providing customer credit checks, which mitigates some risk when taking on new accounts or accepting larger orders from existing customers.

“When business owners are freed from administrative burdens and cash flow crunches, they have more time and energy to focus on their daily operations and their growth initiatives,” Brown continues. “Being able to do this without taking on debt or unnecessary risk is a huge relief as well.”

He says that some businesses leverage invoice factoring on a recurring basis, while others simply tap into it as needed. Because factoring is flexible, it works in both situations equally well. It also differs from bank loans in that most businesses with B2B invoices will qualify, and funding can be provided as soon as the day an invoice is submitted. 

Those interested in learning more about invoice factoring are encouraged to request a complimentary quote by calling 1-877-960-1818 or visiting charcap.com.

About Charter Capital

Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. Competitive rates, a fast approval process, and same-day funding help businesses across various industries secure the working capital necessary to manage daily needs and grow. To learn more, visit charcap.com or call 1-877-960-1818.

With inflation skyrocketing to a 40-year record high, Main Street is turning to price hikes and other measures to cope.

HOUSTON, March 22, 2022 – Leading invoice funding company Charter Capital says small business owners are struggling to keep up with record-high inflation rates. Feeling little choice but to pass higher costs onto consumers, many continue raising prices to cover their costs. “7 Proven Ways to Protect Your Small Business from Inflation,” a guide that explores the mechanics behind the situation and offers business owners methods to keep their companies strong, is now live on charcap.com.

As reported by the Bureau of Labor Statistics (BLS) in early March, the Consumer Price Index (CPI) rose 7.9% over 12 months, marking the largest inflation rate since 1982. Gasoline, shelter, and food saw the largest hikes. Energy, as a whole, climbed 25.6% over last year.

“Small businesses, especially, are feeling the strain,” explains Joel Rosenthal, Co-founder and Executive Manager at Charter Capital. “Between the pandemic and supply chain issues, the past couple of years have been tough. Most expected some relief in 2022, but they’re back in the problem-solving mode now with the inflation hikes.”

Rosenthal says Charter Capital is seeing an uptick in invoice factoring applications in recent months. While some are tapping into funding right away, others are simply becoming established to make sure they have access to cash if conditions continue.

“The rising energy costs are universal, and there’s a bit of concern that energy increases alone will be more than some can bear without mitigation measures,” Rosenthal continues. “But industries like manufacturing and retail are still coping with supply chain issues too.”

Rosenthal contends there are many ways business owners can protect their businesses in spite of current conditions, though. Cost-cutting measures, such as renegotiating with vendors and landlords, as well as reducing discretionary spending, are good first steps. Businesses that are in a position to conduct energy audits and address opportunities will see relief as well.

Other solutions include investing in growth and promptly collecting client payments, though Rosenthal acknowledges it may become harder for businesses to collect because companies are starting to triage their payables to cope with economic challenges again. Invoice factoring, he says, can help address all these areas by allowing companies to outsource their collections processes and obtain working capital funding on B2B invoices. 

Those interested in learning more about invoice factoring are encouraged to request a complimentary quote by calling 1-877-960-1818 or visiting charcap.com.

About Charter Capital

Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. Competitive rates, a fast approval process, and same-day funding help businesses across various industries secure the working capital necessary to manage daily needs and grow. To learn more, visit charcap.com or call 1-877-960-1818.

Experts say business leaders returning to fundamentals of relationship-building and people-focused behaviors to outperform peers this year and beyond.

HOUSTON, February 23, 2022 – Leading invoice funding company Charter Capital says 2022 will be a people-focused year for successful business leaders. While recent times have required significant shifts to cope with supply chain issues and changes to consumer behavior brought on by COVID and the uncertain economy, business leaders that find success going forward will do so through reconnecting with the humanistic aspects of leadership. The company’s article, “7 Ways Business Leaders Can Prepare for Success in 2022,” outlines specific steps stakeholders can take to ensure a bountiful year and is now live on charcap.com.

Known as the “Great Resignation,” last year marked a period in which roughly a quarter of employees quit their jobs per CNBC. People are re-evaluating what they want from their careers and preferences have shifted more toward concerns like work-life balance and flexibility. To hold on to top talent, businesses must meet these new needs and create better internal development programs to cultivate stronger employee relationships.

“Business leaders must still be ready to pivot,” says Charter Capital Co-Founder and Executive Manager Gregory Brown. “New consumer behaviors are still taking shape, and opportunities are constantly evolving. However, those finding success right now are making a point of refocusing on the people who make or break their business—employees, vendors, and customers alike.”

Brown notes that consumer loyalty has been shaken too. He draws on data from Forrester that concludes more than 80% of brands are boosting their investment in loyalty by 5% or more this year, but also says he sees similar trends within their own customer base.

“It’s often little friction points in the customer experience that are cause for concern today,” Brown expands. “The more businesses do to make it easier for customers to do business with them, the better they’re performing. Simple things, like improving the payment process or making sure customer support is available and can resolve concerns on the first try are huge.”

Brown says that businesses can address cash flow concerns and improve relationships through invoice factoring. “By accelerating payments, leaders are less stressed and have the cash to put toward critical employee programs, plus can provide their clients with better service.”

Those interested in learning more about invoice factoring are encouraged to request a free consultation by calling 1-877-960-1818 or visiting charcap.com.

About Charter Capital

Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. Competitive rates, a fast approval process, and same-day funding help businesses across various industries secure the working capital necessary to manage daily needs and grow. To learn more, visit charcap.com or call 1-877-960-1818.

As experts predict supply chain issues well into 2022, small businesses should make maintaining healthy supplier relationships a core business activity.

HOUSTON, January 15, 2022 – Leading invoice funding company Charter Capital urges business owners to focus on their supplier relationships going into 2022. While good rapport with suppliers has always been important, the slow supply chain recovery means key relationships can be a defining factor in a business’ success moving into the new year. The company’s recent publication, “How Factoring Can Help You Maintain Healthy Relationships with Your Suppliers,” outlines the business case and provides actionable tips for strengthening supplier bonds. The complete piece is available at charcap.com.

Joel Rosenthal, Co-founder and Executive Manager at Charter Capital, says the supply chain was strained before COVID-19, but conditions throughout 2020 and 2021 pushed it past its breaking point. As experts, such as Federal Reserve Chair Jerome H. Powell, have predicted “bottlenecks lasting well into next year,” business owners must make supplier relationships one of their top priorities, Rosenthal says.

“It’s easy to overlook how important supplier relationships are until something goes wrong,” Rosenthal explains. “But, it’s important to think of these connections as an investment in your business.”

Rosenthal describes supplier relationships as a way to “futureproof” a business and contends that, even in this digital age, the difference between running a business that gets what it needs and going without can rest on how well a business owner has connected with suppliers. Oftentimes, suppliers will prioritize and speed up deliveries for favored clients too. 

“It used to be that great supplier relationships meant receiving better deals or getting better payment terms,” Rosenthal notes. “We still see that in some industries, but with the ongoing supply chain bottlenecks, it’s more about ensuring needs are met.”

Businesses do not have to be huge companies placing high-volume orders to get priority treatment, says Rosenthal. Opening the lines of communication, having fair expectations, and paying on time set a solid foundation. According to Rosenthal, invoice factoring can help too. By accelerating cash flow, businesses can ensure timely payments and scale up without needing additional credit from suppliers.

Those interested in learning more about invoice factoring are encouraged to request a free rate quote by calling 1-877-960-1818 or visiting charcap.com.

About Charter Capital

Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. Competitive rates, a fast approval process, and same-day funding help businesses across various industries secure the working capital necessary to manage daily needs and grow. To learn more, visit charcap.com or call 1-877-960-1818.

New Charter Capital paper shows that cashflow problems, not necessarily profit, are behind eight-in-ten business failures.

HOUSTON, December 15, 2021 – Leading invoice funding company Charter Capital says difficulties surrounding cash flow continue to dominate the list of reasons small businesses fail. The company’s recent publication, “6 Common Challenges Startup Businesses Face,” explores this and other root causes of business closures as well as actionable solutions in each area. The complete piece is live on charcap.com now.

Gregory Brown, co-founder and executive manager of Charter Capital, says small-business owners often focus on profitability, but that’s only one indicator of a company’s financial health. Effective cash flow management is vital, particularly for businesses experiencing rapid growth.

“Growth and profit are a double-edged sword that can lull business owners into a false sense of security,” Brown explains. “A business can be busier than ever, but founders will almost always come up short when their operational expenses make a jump before incoming payments do.”

Brown contends that this is why growth, not necessarily lack of profit, is the culprit behind diminished working capital reserves and is what causes many startups to falter.

“It’s normal to see this kind of cash flow gap in high-performing startups,” continues Brown. “But, when founders aren’t prepared for the strain of growth, and can’t get funding through traditional sources, they start racking up late fees and get tied into expensive long-term contracts with lenders, which damages their growth in the long run.”

According to Brown, entrepreneurs can ramp up without getting tied into expensive funding solutions by leveraging invoice factoring. With factoring, the business receives a cash advance on its outstanding B2B invoices, so payments are accelerated and there’s no debt to pay back. This addresses current cashflow issues without harming the long-term viability of the company, thus fortifying businesses against the leading cause of startup failure on multiple fronts.

Additional tips outlined in the Charter Capital release include bringing on a co-founder to boost performance and valuations as well as devising creative benefits packages to attract top talent.

Those interested in learning more about invoice factoring are encouraged to request a free rate quote by calling 1-877-960-1818 or visiting charcap.com.

About Charter Capital

Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. Competitive rates, a fast approval process, and same-day funding help businesses across various industries secure the working capital necessary to manage daily needs and grow. To learn more, visit charcap.com or call 1-877-960-1818.

Myths and misconceptions about the factoring industry cause small business owners to overlook the funding source and impact the growth of their companies, Charter Capital reps say.

HOUSTON, November 17, 2021 – Leading invoice funding company Charter Capital says small business owners often make funding decisions without fully understanding their options and alternatives. The company’s recent publication “10 Common Myths & Misconceptions About Invoice Factoring” digs into a handful of the myriad misunderstandings its representatives resolve on a daily basis. The full article is available to read at charcap.com now.

Joel Rosenthal, co-founder and Executive Manager at Charter Capital, says factoring is only utilized by a small percentage of the population, despite the fact that most businesses can benefit from it at one time or another. As bank approvals continue to dwindle and the funding gap grows, the number of businesses turning to less ideal solutions is expected to increase as well.

Rosenthal says it’s often little misunderstandings that do the most damage, such as when a business owner thinks he must factor all his invoices or will have hidden fees.

“When business owners find out these things aren’t true, they’re relieved they can get easy and affordable funding,” Rosenthal explains. “The problem is, they don’t always realize they’ve heard one of the common myths, and so they lock themselves into expensive long-term contracts that eat away at their growth potential.”

Rosenthal notes that concerns like cost and qualifications are common misconceptions about factoring as well. For example, people often think that because they have bad credit or have been turned down for a bank loan, their company can’t qualify for factoring, or they’ll pay high fees.

“Most B2B businesses qualify for invoice factoring,” Rosenthal contends. “And, when they partner with a company like Charter Capital that offers very competitive factoring rates, it’s an affordable funding solution, too.”

It’s important to be cautious when evaluating the cheapest factoring companies. While lower rates may seem attractive, these companies often cut corners on service quality, transparency, or support, which can create issues down the line. Instead, businesses should focus on partnering with a reputable factoring company that balances affordability with reliable service and clear terms.

According to Rosenthal, businesses on the fence about invoice factoring should start with a no-obligation rate quote and learn about the process firsthand. Those interested in requesting a free rate quote or learning more can do so by calling 1-877-960-1818 or charcap.com.

About Charter Capital

Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. Competitive rates, a fast approval process, and same-day funding help businesses across various industries secure the working capital necessary to manage daily needs and grow. To learn more, visit charcap.com or call 1-877-960-1818.

More small and midsize companies turning to invoice factoring as common payment terms continue to leave B2B businesses with inadequate working capital.

HOUSTON, October 15, 2021 – Leading factoring company Charter Capital says cash flow issues continue to plague small and midsize businesses, leaving them without money to grow or cover crucial expenses like payroll, inventory, and rent. The culprit, according to company representatives, is the unfortunate fusion of slow-paying clients with traditional invoicing terms like Net 30. “Solving Net 30 and Net 60 Payment Terms with Invoice Factoring,” which explores how to overcome this common issue, is now live on charcap.com.

Known as “Net 30” in invoicing terms, the 30-day payment window is sometimes extended to 60 or 90 days depending on the company and industry. Slow internal processes, such as only billing once per month, can add to the burden, causing businesses to wait weeks or months to collect.

“Business owners obviously want to do right by their clients and develop thriving companies,” explains Gregory Brown Co-Founder and Executive Manager at Charter Capital. “Net 30 and Net 60 terms are often viewed as standard, so businesses offer them by default as a means to keep their existing client bases happy and attract new clients.”

The challenge, Brown expands, is that many small businesses have tight margins to begin with, and waiting on payments for an extended time leaves them without money for payroll and other expenses. Oftentimes, business owners skip out on their own paychecks or rack up late fees as a result too.

“Reducing the payment window to seven or 14 days is a simple solution, but businesses are understandably hesitant to do that in an uncertain economy when customer loyalty is hard to come by,” says Brown. “That leaves options like billing more frequently or same-day invoicing to speed up payments, but it’s not always enough to correct cash flow shortfalls.”

Because of this, Charter Capital says it’s seeing more B2B businesses looking to invoice factoring to solve slow payments caused by their Net 30 and Net 60 terms. With factoring, the business can still offer clients the payment terms of its choosing. The factoring company pays the business for the invoice right away, often on the same day, and then waits for payment from the client.

An easy qualification process, even for startups and those that have been turned down for bank funding, adds to the popularity of the solution, Brown adds. Those interested in factoring or learning more can start with a free rate quote at charcap.com or call 1-877-960-1818.

About Charter Capital

Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. To learn more, visit charcap.com or call 1-877-960-1818.

Industry specialists say recent wage increases for drivers have small and midsize trucking companies looking for new funding solutions to close gaps caused by slow-paying clients.

HOUSTON, September 16, 2021 – Leading factoring company Charter Capital says new challenges are on the horizon for small and midsize trucking companies. The industry, historically known for slow incoming payments and driver shortages, began boosting driver wages in recent months to attract more drivers. While the tactic helps trucking companies attract new employees and keep freight moving, it’s adding to the cash flow crunch owners have been feeling for years. “QuickPay vs Factoring: What’s the Difference?” addresses two unique solutions and is now live on charcap.com.

Joel Rosenthal, Co-founder and Executive Manager at Charter Capital, says the change is hitting small and midsized trucking companies the hardest, as they typically have the tightest margins to begin with. However, as the burden of wage increases shift to brokers and shippers, payments that are even slower than normal trickle down to owner-operators too.

“It’s a widespread problem that’s been increasing,” Rosenthal explains. “Our company got its start helping trucking companies solve these fundamental issues; speeding up cash flow to ensure businesses can stay on the road and remain competitive. Payroll increases are vital to remaining in business today, but they’re adding to the burden and trucking companies are looking for relief.”

Rosenthal says that both QuickPay and factoring may be appropriate solutions depending on the situation. Plus, they work for businesses that may not qualify for traditional lending options and don’t involve taking on debt. However, they’re fundamentally different programs, so it’s essential that truckers familiarize themselves with both before choosing.

Quickpay, for example, is a cash flow accelerant that some brokers offer. It’s like a cash advance. Freight bill factoring, on the other hand, is offered by third-party factoring companies. The factoring company purchases the freight bill or invoice.

“When a broker offers QuickPay to a trucking business, it’s often processed on the back end through a company like Charter Capital,” says Rosenthal. “It’s good for all parties in the sense that nobody is waiting on payments, but owner-operators and smaller trucking companies will generally get more favorable terms working directly with the factoring company.”

In addition to better terms, Rosenthal says working with a factor over choosing QuickPay can give owners more negotiating power and greater freedom to choose loads, as they’re no longer tied down to brokers who offer QuickPay. For many, accounts receivable factoring for trucking is a more flexible and strategic long-term solution. Those interested in factoring or learning more can start with a free rate quote at charcap.com, or call toll free 1-877-960-1818 for more information.

Charter Capital reps say small-business owners can prevent many financial issues with a few minor changes to their cash flow management strategy.

HOUSTON, August 16, 2021 – Leading factoring company Charter Capital reports many financial woes small businesses experience can be traced back to preventable cash flow management mistakes. The organization draws on the Federal Reserve Banks Small Business Credit Survey and links 90 percent of emergency funding requests back to cash flow management. Many of the issues seen can throttle business growth during strong periods too, representatives note. The full report, “7 Cash Flow Management Mistakes Businesses Should Avoid,” is now live on charcap.com

Gregory Brown, co-founder and executive manager of Charter Capital, says it’s not always about bringing in greater profit, but what businesses do with the revenue they receive, that makes the difference in who gets ahead.

“Practicing good cash flow management strategies is essential,” explains Brown. “Business owners need to be on top of their invoicing practices to accelerate incoming payments and be mindful of which payments are going out and when they’re going out.”

Brown says many small businesses aren’t monitoring their inflows and outflows, which can further complicate issues. Although they have an idea of what should be in an account at any given time and base their payables around that, they’re not accounting for payments that come in slower than usual, slow periods, emergencies, and so forth.

Specialized business finance software makes tracking easy, plus can help small business owners predict their cash flow better. Businesses on a budget can get started with a simple Excel spreadsheet too, contends Brown.

“One of the best things business owners can do is use their data to start predicting weak or slow periods,” Brown explains. “If you know you’re going to hit a bump, you can take corrective action before it becomes a problem.”

Business owners who miss this step often wind up accepting high-interest or high-fee funding options out of desperation, says Brown, which only sets them farther back and keeps them tied in a debt trap. Meanwhile, savvy business owners see the issue and take steps like selling surplus inventory and slowing their purchases. Accelerating payments through invoice factoring is helpful too. With this strategy, business owners no longer have to wait to get paid by their customers; instead, they get immediate payment on B2B invoices from a factoring company like Charter Capital. This means the business is always moving forward and can grow, free from taking on additional debt.

Those interested in accelerating their cash flow through factoring or learning more can start with a free rate quote at charcap.com.