Industries

Working Capital and Merchant Cash Advance for Trucking Companies

Carriers pay for fuel, drivers, insurance and repairs today while brokers and shippers pay in 30 to 60 days. Apex Funding Services compares bridge funding and merchant cash advance offers from multiple funders with one application, so a breakdown or a slow-paying broker does not park your trucks. We are a broker, not a lender.

Featured option: working capital through a merchant cash advance

A merchant cash advance provides a lump sum in exchange for a share of future receipts. For carriers it is sized on bank deposits and repaid by fixed ACH. It can fund quickly for an emergency, but it is expensive, and freight factoring is usually the cheaper everyday tool. We will tell you which one fits.

Why owners choose it:

  • Speed: decisions often within 24 to 48 hours, with funding soon after approval

  • Sized on revenue: offers are based mainly on your deposits, not just your credit score

  • Repayment matched to how you get paid: split funding or lockbox for card-heavy businesses, so payments rise and fall with sales, or a fixed ACH payment for businesses paid by check, ACH or invoice

  • Limited paperwork: usually bank statements and a short application, with no real estate collateral. Most funders do ask for a personal guarantee of performance

Common uses:

  • Emergency engine, transmission and tire repairs

  • Insurance down payments and renewals

  • Getting a truck back on the road fast

  • Covering a cash gap during a slow freight market

How repayment works: split funding, lockbox or ACH

  • Credit card split funding: your card processor automatically sends an agreed percentage of each day's card batch (the holdback) to the funder before the rest settles to you. Payments rise and fall with sales.

  • Lockbox funding: card receipts are deposited into a controlled account, the funder's share is taken out and the balance is passed to you. Used when your current processor cannot split payments.

  • ACH: a fixed daily or weekly debit from your business bank account.

Fit for trucking: ACH. Split funding and lockbox rely on daily card sales, and freight revenue comes from broker payments, so advances for carriers are repaid by fixed ACH.

Bridge funding

Bridge funding is short-term capital that covers the gap until money you are expecting arrives, such as a customer payment, a loan closing or your busy season. It is typically structured as a short-term advance or loan and repaid when the expected cash comes in. Common bridge situations:

  • Covering fuel and payroll until broker payments clear

  • Bridging until a truck or trailer loan closes

  • Funding startup costs while a new factoring account is set up

  • Insurance or permit costs ahead of a new contract

All your options at a glance

We are not tied to one product. Here is how the main options compare for trucking companies:

  • Merchant cash advance (working capital): fastest and easiest to qualify for, and usually the most expensive. Best for short-term needs with a clear payback.

  • Revenue-based financing: similar to an advance, repaid as a percentage of revenue, sometimes at a lower cost for stronger businesses.

  • Short-term working capital loan: a fixed amount with fixed daily or weekly payments over 6 to 24 months.

  • Freight factoring: the most common funding tool in trucking. Get paid within a day or two of delivery; compare recourse versus non-recourse terms, minimums and fuel advances.

  • Revolving line of credit: for carriers with a year or more of history.

  • Equipment financing: for tractors, trailers and reefers, including used equipment.

  • Asset-based lending: for larger fleets combining receivables and equipment value.

Traditional alternatives

If your business has the history and credit for it, traditional financing is usually the cheapest money available:

  • SBA 7(a) loans: up to $5 million for working capital, equipment, expansion or buying a business, with terms up to 10 years for working capital and equipment

  • SBA 504 loans: long-term, fixed-rate financing for real estate and major equipment

  • Bank term loans: a lump sum repaid monthly over several years

  • Bank lines of credit: draw and repay as needed, paying interest only on what you use

  • Bank equipment loans: the equipment itself secures the loan

These cost less, but they take longer, often 30 to 90 days, and usually require two or more years in business, good personal credit, tax returns, financial statements and sometimes collateral. If you qualify, we will tell you, and we can refer you to SBA and bank lenders. A common approach is to use a merchant cash advance or bridge funding now and refinance into bank or SBA financing once it closes.

For trucking companies: Banks usually want two or more years with your own authority. SBA 7(a) loans and bank or dealer equipment loans are cheaper ways to add trucks once you get there.

Credit card processing

Most carriers are paid by brokers and shippers through ACH or check, so card processing is rarely central. If you serve customers who want to pay by card, we can set up online invoice payments and B2B card acceptance with Level 2 and Level 3 data.

Processing is provided through our processing partners. Send a recent processing statement and we will show you your effective rate and fees, with no obligation to switch.

Before you sign

Speed costs money. A merchant cash advance is a purchase of future receivables, not a loan, and it usually costs more than bank financing. Before you accept any offer, we walk you through:

  • The amount you receive and the total payback

  • The factor rate, holdback percentage or daily and weekly payment

  • How reconciliation works if your sales drop

  • Fees deducted at funding

  • How a new advance fits with any advance you already have. Stacking too many positions is the fastest way into a cash flow crisis, and we will tell you if it is a bad idea

Approval, amounts, rates and terms are set by the funder. Submitting a request does not guarantee approval.

What funders look at

  • Time with your own authority and safety record

  • The brokers and shippers you haul for

  • Bank deposits, fuel and maintenance costs

  • Insurance in force and existing equipment loans

Documents to have ready

  • Last 3 to 6 months of business bank statements

  • MC and DOT numbers and certificate of insurance

  • Rate confirmations and open invoices

  • Owner ID and a voided business check

Ready to see what you qualify for? Start your application or call (516) 474-3776. One application, multiple funders, no obligation to accept.