What to Expect from Bookkeeping Services for Owner Operators

Freight factoring addresses the common challenge of delayed payments, providing immediate liquidity to owner-operators. Rather than chasing down your customers to pay their outstanding invoices to access cash, you can factor your unpaid invoices to get paid the same day you drop off your load. Using freight factoring means you get the majority of the invoice value upfront (up to 99%), typically within 24 hours, in exchange for a small fee. While not all trucking companies use freight factoring, it is a common type of financing for trucking companies, especially when they are getting started in the industry. The rates for factoring can vary, but the average fee for freight factoring in 2022 was 3%.

Update your books daily.

• Someone who’s new to the profession, for example, may start their rates at $20 an hour, while someone with several years of experience may charge $35 an hour or more.
• The accrual basis of accounting requires that you recognize revenues when you earn them and expenses when you incur them, regardless of when funds enter or leave your accounts.
• Copa Airlines became the first Latin American carrier to serve the airport in December 2021 with direct flights to Panama City.
• Operating a trucking business legally requires keeping up with licenses, registration, and permits.
• Fuel cards can automatically track, organize, and display the information you need to fill out your IFTA expense reports.
• It serves as a digital hub and tax center from which you can manage all of your paperwork and filing responsibilities.

Schedule a consultation with a member of the Trucker CFO Team and ask us any questions you want.We’re here to help to you with the business of trucking. ATBS has helped our business run smoothly by inputting our receipts every month and keeping our business between the lines. OLIMP partners with DAT to help you truckers bookkeeping service find cross-docking sites, and to store your freight as easily as possible. With access to warehouses on routes across the country, you’re bound to find the right short-term warehouse near your destination on the OLIMP website. Level up your profits with tools that make it easy to make more on every load.

“What if I have multiple trucks?”

Owner-operators can explore effective accounting software in carrying out various administrative aspects of their trucking businesses. Load boards are essential for finding work, but they do come at a cost. Registering for load boards is a must, especially when spot rates are high or you are a new owner-operator finding loads to haul.

How are you better than Quickbooks, Quicken, etc. or an accountant?

• Year-end financial reporting and analysis is when bookkeeping documents are used to generate financial reports and conduct financial analysis.
• You need to make sure each load is going to earn a profit for your business.
• Unlike the requirements to become an accountant, the training required to become a bookkeeper is less strenuous.
• Here are the best tips for managing the bookkeeping for a trucking business.
• The essence of an updated financial record is to have a clear view of the business’s present financial situation.
• When you visit your load board to find new freight, you need access to as many load postings as possible.

FreshBooks will give you everything you need to manage and keep track of your small business transactions. Bookkeeping incorporates the processes involved in maintaining the financial records of a trucking business’s daily transactions using a general ledger. Insurance is one of the most significant expenses for any business owner.

We send distributions and reports

For example, that includes data from your ELD, invoices, bills of lading, payroll statements, and tax payment receipts. Lastly, you want to look for a bookkeeper that will also calculate your tax estimates. As an owner-operator, you have to pay quarterly tax estimates based on your profit.

• One of the best ways to streamline your IFTA reporting is by using a dedicated fuel card.
• Opening a business bank account can make it easier to keep track of what funds go in and out.
• In this 21st century, there’s software to manage many aspects of a trucking business.
• Others require a minimum number of qualified motor vehicles (QMV) per fleet.
• You can even use our report to figure out where you need to buy fuel to reduce those IFTA payments.

Yet many clients drag their feet and draw out the billing process as long as possible. With accounting software, you can ensure accuracy when sending itemized invoices to your customers, showing exactly what they owe and why. The clearer you are about mileage and fuel purchases, the harder it will be for customers to debate the cost. Our guide to the top trucking accounting software is backed by over two decades of research and user reviews, weighing key factors like IFTA reporting and mileage tracking.

Recession-proof your trucking business with this FREE guide!

AltLINE partners with lenders nationwide to provide invoice factoring and accounts receivable financing to their small and medium-sized business customers. AltLINE is a direct bank lender and a division of The Southern Bank Company, a community bank originally founded in 1936. Whether you’re just starting out, an experienced owner-operator, https://www.bookstime.com/articles/online-store-inventory-management-guide or anywhere in between, we have a service package that’s just right for you. If there is a discrepancy, you want to catch it quickly before it becomes a bigger problem for your trucking business. With a secure portal, you can log in to your personal account at any time and know that your information is safely password-protected.