Factoring for transport and logistics companies: Goodbye unpaid invoices!
Long payment terms are slowing down many transport companies. Factoring provides a solution: a payment service provider takes care of your outstanding claims and pays the invoice amount shortly after the order has been fulfilled. In the Road Freight Marketplace, our partner JITpay™ is available to you for this purpose as part of TIMOCOM payment services. This allows you to use factoring easily and securely and benefit from guaranteed liquidity, less administrative work and greater planning reliability.
You will receive the invoice amount shortly after the order has been fulfilled – without any long waiting times.
JITpay™ handles the processing of outstanding invoices. This saves you time and resources.
Clear processes and a transparent fee model ensure security in your business processes.
TIMOCOM payment services: How to receive your money shortly after the transport order
5. Risk check
Risk Management checks the data and creditworthiness of your transport customer.
Positive verification: you will receive your money as soon as possible (status ‘paid’).
Negative verification: the invoice is rejected (status ‘rejected’).
Verification pending: in rare cases, the invoice may be set to ‘waiting’ because it cannot be paid immediately. JITpay™ will then manage the claim and forward the payment as soon as it has been received. In this case, please contact JITpay™ Support directly.
What does the payment service cost?
There is a small service fee for using the payment service.
The fee is based on the terms of payment that you have negotiated with your transport customer.
Payment due after | Service fee | Example €500 gross |
30 days | 2.49% of the invoiced amount | €12.45 |
45 days | 2.99% of the invoiced amount | €14.95 |
60 days | 3.49% of the invoiced amount | €17.45 |
90 days | 4.49% of the invoiced amount | €22.45 |
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These are the questions our customers most frequently ask about factoring:
Factoring is a way for companies to sell their outstanding receivables from one or more deliveries of goods in order to obtain immediate liquidity. The full credit risk (default risk of the debtor) is borne by the financing institution (here: JITpay™).
A factoring company (here: JITpay™) is a so-called FACTOR who buys an outstanding receivable from a company (for example, you), the CREDITOR, owed by a customer, the so-called DEBTOR. In general, the creditor receives his outstanding receivable from the factor within 48 hours*, who then claims it from the debtor.
* on working days
With factoring, you sell your outstanding receivables, i.e. your invoice to your customer, to an external company and receive a payout immediately in return. The factoring company (here: JITpay™) then assumes the full risk and the accounts receivables management.
The benefits of the factoring service include improved liquidity and cash flow optimisation, outsourcing of dunning and collection, and protection against default on receivables. Furthermore, the balance sheet reduction and thus the increase in equity (credit rating improvement) is another advantage of factoring.
There is a small service fee for using the factoring service via JITpay™. The fee is based on the terms of payment that you have negotiated with your transport customer. The fee is only incurred for actual use. There are no further costs beyond this.
Payment due | Service fee | Example €500 gross |
30 days | 2.49% of the invoiced amount | €12.45 |
45 days | 2.99% of the invoiced amount | €14.95 |
60 days | 3.49% of the invoiced amount | €17.45 |
90 days | 4.49% of the invoiced amount | €22.45 |
You must be registered with TIMOCOM and with JITpay™. You can register with JITpay™ easily in the TIMOCOM Marketplace. Once you have been verified by JITpay™, you can use the factoring service at any time via the marketplace. Registration is completely free.
Once the goods have been delivered, simply upload your delivery receipt to the JITpay™ portal. JITpay™ will then create an invoice for you and send it to your transport customer. JITpay™ does not charge a fee for invoice creation.
Payment will be made within 24 to 48 hours after the invoice has been checked and approved (portal status: "purchased"). If you are submitting an invoice for the first time, or if the invoice is large, JITpay™ will request additional confirmation from the transport customer. In some circumstances, this can take some time.
We currently offer the factoring service to transport companies (contractors) via our partner JITpay™ in the following countries:
- Germany
- Czech Republic
- Poland
- Netherlands
- Lithuania
- Latvia
- Slovakia
- Slovenia
- Spain
- Romania
- Bulgaria
In non-recourse factoring, a company sells its receivables from customers to a factoring company and receives an immediate payout in return. The factoring company assumes the risk for the receivables and undertakes the receivables management (as is the case with JITpay). Recourse factoring, on the other hand, merely involves the financing of receivables by the factoring company; the risk remains with the company (i.e. the seller of the receivables).
Customers may be based in almost all countries in Europe. Customers from the following countries are excluded:
- Albania
- Andorra
- Armenia
- Azerbaijan
- Bosnia and Herzegovina
- Bulgaria
- Georgia
- Kazakhstan
- Kosovo
- Croatia
- Liechtenstein
- Morocco
- Moldova
- Monaco
- Montenegro
- North Macedonia
- Norway
- Russian Federation
- Serbia
- Tunisia
- Ukraine
- Uzbekistan
- Belarus
If you have any questions, feel free to contact our partner JITpay™ on:
+49 531 387 630 10