So you started a transportation business. Things are going well, but you can tell you need a little extra something to really help the business take off. What you need is working capital. Working capital is the bread and butter of any business — it’s the cash you have on hand for your day-to-day operations. Without it, your business is sure to struggle. Take a look at all the ways working capital can help advance your transportation business, and consider whether a working capital loan is what you need to get the ball rolling.
Investing in new vehicles is a key recommendation for any transportation business. Your fleet is what makes your money, so deteriorating or malfunctioning vehicles are going to really hurt your bottom line. A working capital loan is a great way to get you the money you need to upgrade your vehicles.
Some vehicles in your fleet could be “just like new” with proper maintenance. Spend some of your working capital on maintaining your cars — think oil changes, new tires, etc. This is just good business. If you don’t stay on top of regular maintenance, you could find yourself facing a more serious, and much more expensive, repair in the future. Trust us, you’re not going to be doing much business if your entire fleet is grounded due to maintenance issues.
Installing GPS tracking and other enterprise technologies into the operations management of a transportation business can reduce loss, which should always be a priority. You could also integrate customer service management software as a way to improve profits through continuous communications, feedback and reporting when drivers are on the road.
The surest path to sustained market leadership is through customer service excellence. Make sure your business is staying on top of new services and trends in the transportation industry to keep customers coming back. Diversifying your business can help you stay competitive and show customers that you truly are the best of the best.
Let’s say things are going well and business is booming. With increased demand comes a need for increased supply. You’re going to need more drivers to keep up with all the business that’s coming in. Working capital can be used to add drivers to your team and offer them a good wage and benefits package.
You should always be prepared for twists and turns in the road ahead. A working capital loan is like cash in hand, which means you have a nice reserve for when something unexpected comes up. You’ll feel much more prepared and have peace of mind if you have some cash stashed away for a rainy day.
Have we convinced you how important working capital is? Do you need a little help securing the working capital for your transportation business? Simply contact MY Company Funding and we’ll walk you through the benefits of a working capital loan. All we need is an application and bank statements to get the process started, and we’ll offer short-term working capital loans for credit scores as low as 500.