Case Studies
Improved Credit Score, Ensured Compliance Help Transportation Company...
Financial issues such as cash flow and timely driver payments can be roadblocks to the viability of any fledgling trucking company. Securing financial assistance and establishing an open and honest relationship with vendors and customers, however, can help and accelerate success.
Armed with such tools and a policy of honest and trustworthy service–not to mention more than 30 years of industry experience combined–John Werner and Brenda Jones set out on their own. In May 2006, with 10 tractors and trailers, they brought clients from previous positions and launched Werner, LLC, a Burnsville, Miss.-based trucking company with capacity for general commodities and super loads.
Werner was one of an estimated 20,000 newly licensed trucking authorities that launched in the U.S. in 2006. What has helped Werner, in addition to the strong background the founders brought to the company, is its ability to obtain the best trucks to carry clients’ loads. Honesty, timely payments and a strong fiduciary relationship with Bibby Transportation Finance, are helping them thrive.
Massive Industry
“Entrants to the trucking industry are typically very cash-strapped,” said Eric Hunter, chief executive officer of Bibby Transportation Finance, the Nashville-based subsidiary of Bibby Financial Services. “With the proper financing in place, young companies can pay drivers timely; thereby improving their credit and helping them lure the best drivers to haul their freight. It’s a massive industry, and it’s important to find the most experienced truckers with the best equipment.”
Bibby currently supports all the brokerage and transportation finance operations for Werner. With the ability to tailor products and make quick financing decisions for its clients, the company is helping Werner surpass earnings estimates and maintain strong customer relationships.
“One of our biggest clients is slow to pay, but thanks to Bibby, we’ve been able to work with them and let Bibby handle the billing across borders,” said Jones in reference to a South American client with shipping needs in the United States.
“The entire billing process is so smooth,” Jones continued. “As soon as we receive a bill from a leased driver, it goes straight to Bibby, which funds us immediately. They then follow up with our customers to secure payment.”
Other Services Help with Compliance
Like Werner, which has a vast network of hauling capacity for its clients, Bibby offers ancillary services to its transportation finance customers.
“One of the most practical solutions for any trucking company is funding some receivables directly to a fuel account,” said Hunter. “Our proprietary cards offer .1 to .2 cent discounts at over 600 truck stops and we can offer cash advances from fuel cards and permit our customers’ drivers to access cash via ATMs.”
Bibby also is working with business partners of its own to provide a complete business solution to both new and established trucking companies.
“Compliance with the Department of Transportation is the main concern of all trucking outfits,” said Jones. “Bibby can offer fuel tax reporting, driver log auditing and more to help us and companies like us stay on the right track.”
Jones is quick to cite the responsiveness and personal touch her company receives from Bibby. “It’s evident that Bibby really cares about us and wants to help us succeed,” she added. “We founded our company on the same policies of open and honest dealings, so I appreciate that very much.”
Bibby Transportation Finance is also growing, helping companies with special industry needs like Werner meet their financial obligations. Because of peaks and valleys in the needs of companies and other variables such as fuel cost, trucking firms can benefit from the professional people, intelligent finance and trusted solutions Bibby provides.
Bibby Transportation Finance is the specialist freight bill funding division of Bibby Financial Services specializes in the provision of finance to small and medium sized enterprises across a wide range of industry sectors. Operating via a global network of 24 autonomous operating companies in the United States, Canada, Australia and throughout Europe, the group purchases more than $5 billion dollars of receivables from over 6,000 businesses worldwide. Bibby Financial Services is the largest non-bank owned finance company in the United Kingdom, and in the United States Bibby has full-service businesses based in Chicago, Dallas, Nashville, Los Angeles and West Palm Beach.
For more information on Bibby Transportation Finance, visit: http://www.bibbytf.com.