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Voxen Capital

How does freight factoring work for trucking companies in Canada?

A carrier delivers the load, submits the freight bill and proof of delivery, and receives an advance within 24 hours instead of waiting 30–60 days for the shipper or broker to pay. Approval follows the credit of the freight, not the carrier's age or score.

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Freight factoring converts delivered freight bills into next-day cash. The facility is underwritten on the shippers and brokers a carrier hauls for — who owes the money and whether they pay — which is why a newly-authorized carrier hauling for established freight is a fundable file.

Setup takes 5 to 10 business days; after that, each invoice funds within 24 hours of submission with the POD. When the shipper settles, the remaining balance is released less the factoring fee. The facility revolves with every load and grows with volume, without renegotiation.

Unlike a broker's quick-pay program, which covers only that broker's freight, one factoring facility covers the whole customer list on one consistent cycle. Voxen structures facilities from $50,000 to $10,000,000 and pairs them with equipment financing as fleets grow.

What each product is for

Merchant Cash Advance (MCA)Fast working capital, cash-flow-driven approval
Business Line of CreditFluctuating cash needs, payroll smoothing
Invoice FactoringB2B businesses with slow-paying clients
Equipment FinancingTrucks, machinery, kitchen, construction, tech
Bridge LoanShort-term gap until a known future event
Term LoanGrowth, expansion, refinancing
Inventory FinancingBuying stock before it sells
Purchase Order FinancingFulfilling a confirmed order you cannot fund
Acquisition FinancingBuying a business or partner buyout

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