Small Business Owners in Trucking Concerned over Rates of Return

commercial trucking loans

Small business owners in the logistics business are reporting dissatisfaction with the rates of return they are getting from their shipping, citing decreased capacities and higher costs related to operating and financing expensive equipment. According to an article on, there are two ways that trucking companies will begin to see adequate rates of return on their investments. Those two ways are either an increased demand through a spike in purchasing and production of goods requiring transport, or a dip in the supply of trucks through a reduction in the number of available drivers, or governmental regulations that mandate a decreased limit on driver productivity. Due to the current market conditions, many larger fleets are wary of expanding, and instead are replacing or re-outfitting older vehicles. Unable to obtain external financing, many smaller trucking firms are being forced to downsize, and mid sized operations are trying to expand in order to prove to customers that they are large enough to be put onto a list of primary carriers. Larger firms are the most optimistic that they will be able to capitalize on predicted market shifts and gain adequate compensation in the future. The problem of securing financing is a large one for many trucking companies, thanks to a “high risk loan” designation from banks. Horizon Business Funding specializes in unsecured business loan alternatives for logistics professionals. We have served many trucking companies in the past and allowed them to grow beyond the highest limits of their existing cash flows. Owners of truck fleets who are looking for a leg up on competition would be wise to learn more about the type of financing we offer.

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