Carriers working with multiple brokers must endure the paperwork juggling act. Simplifying this process is imperative so the driver can have a predictable workflow and focus on getting goods from point A to point B.
Without a consistent system, carriers must ascertain whether the broker requires paperwork submissions through email, mail or fax, as well as if the broker uses a unique process for QuickPay submissions. Alongside those requirements, brokers also offer their own tools or apps, which intensifies the mental gymnastics for carriers.
Earlier this year, TriumphPay launched their paperwork submission feature and an accompanying mobile app designed to provide a seamless experience between brokers and carriers. This new capability will help carriers get paid more quickly and could eventually save brokers on labor costs. While carriers need to have an account with TriumphPay to use them, the tool and the mobile app are completely free.
“With this app, it’s just a few clicks and you know exactly where you stand. Other brokers could take a lesson from using this,” said Sam Kheir, carrier and broker manager at Benmore Logistics. “I’ve done business with brokers all over the country and some that are harder to deal with we just avoid, because it’s not worth the hassle. At some point, it does deter us from accepting from a broker that’s not carrier friendly. ”
Often, brokers think they have an upper hand in carrier relationships, but the results of a carrier survey that FreightWaves conducted in January, show that carriers will often work with up to 50 brokers. Brokers, therefore, need to secure those relationships. Just because carriers have traditionally worked for a broker doesn’t mean they always will.
“This feature enables us to provide simplicity, transparency and seamless payments,” said Garrett Wolfe, vice president of product management at TriumphPay. “We recognize the big hassle, and it’s the one thing that stands in the way of a carrier being able to get paid on their terms. Because of the breadth of our platform, carriers can immediately start submitting paperwork to over 300 brokers in a single place, in a consistent way and can cast aside the mental tax that paperwork has traditionally imposed.”
Whether a user is sitting at a computer or using a mobile device in a truck, this tool fits right into a carrier’s existing organizational structure. Smaller carriers and owner-operators can take advantage of the full paperwork functionality directly in the mobile app. Larger carriers are able to empower their drivers to capture documents gathered at the origin and destination, such as a bill of lading, proof of delivery and lumper receipts. A billing manager is then able to check the documents, add an invoice and rate confirmation and send off to the broker with confidence that their submission is error-free.
Benore Logistics, a midsize carrier in the Carolinas with 500 power units and 2,000 trailers, began using the TriumphPay mobile app in April, and so far the drivers have not submitted any complaints.
“It’s a well-designed carrier portal. Some other big brokers have their own portal, but it’s nice to see a large portion of our payables all on one page,” said Kheir. “It is a step ahead of others I’ve used in the past. I love to see what date the document was uploaded, what date it was approved.”
“The TriumphPay system sends me an email the night before a payment is sent directly to my bank account, detailing each invoice that is being paid,” said Cheryle Lackowski, vice president of All Florida Trucking, which began using the app in March.
“There is no guessing the next morning on what money I received in my account, which also means no phone calls or emails to the brokers or accounting asking which invoices did they pay.”
TriumphPay is also aware that over 50% of carrier invoices are factored, and when a broker no longer pays the carrier directly, but rather a third party, that broker and carrier relationship suffers. Doug Potvin, CFO of Trinity Logistics, began using the TriumphPay paperwork feature in May, and since then has had over 390 carriers submit almost 900 bills through the portal, 25% of whom used the new mobile app.
“Most factors are charging more than 2% when you add all the fees together,” said Povtin. “What we’re charging [at Trinity Logistics] is 1.5%. We’re hoping that some carriers will switch over, so they can keep more of their hard-earned money rather than splitting it with a factoring company. TriumphPay truly improves invoicing and offers QuickPay, which can be elected on a single invoice or for all invoices with a broker. When carriers have more control over how they get paid, we see it as win-win for us, as well as the carrier.”
After COVID-19, shippers began pushing out their payment terms to 60 or 90 days, which created stress for brokers since they usually pay their carriers within 30 days. If a broker were to extend the payment to carriers, the cash problem would trickle down and could damage that relationship.
“One of our core beliefs and one of the things that we’re trying to work towards with the product is maintaining that broker-carrier relationship by allowing the broker to pay the carrier directly,” said Haley Evans, vice president of sales at TriumphPay. “If you pay when you say you’re going to pay, honor your contracts, and don’t push out payment terms, then when you’re in a pinch because rates go back up or it’s really hard to find someone to carry your freight, carriers are like, ‘OK, you did right by me, I’ll do right by you.’”
