Factoring is defined by words when company receivables sold to a financial institution to get money to run their business. If you go out on your own and become an owner operator, you can have some operating funds needed to stay alive. Many customers take 30 paid 60 days after the drivers. Even large truck outfitted failed when a customer goes belly up. See if I do it again I would someone to buy a truck with cash, and try to separate drive as much money as I possibly can. Factoring is not cheap. He is fast and he is fit. If you $ 600.00 on the fuel tank only 25 times in a month, then it's about 15K. It is not set in stone, but it is not out of the ordinary. How could you possibly have that much money to put on the truck, if you do not have some operating money? Factoring company will purchase the invoices from you and you can for about 80 percent of the total amount of bills. Your life and the amount of risk they take when accepting loads also factor in how much they will give you. The size of your fleet will also be a factor. If you can get one, then you are also expected every time they receive a load of calling a new customer. Not to pay all customers. When this happens factoring company will want their money back. Normally will use approval to a company and guarantee their payment. An example could be a weight that pays $ 2,500.00 and invoice factoring company has to be a limit to this particular company of $ 3,000.00. If the client does not for some reason, then pay the guilty party ha factoring company like than the customer and do not pay. Once the customer pays and everything cleaned after a predetermined time between you and the factoring company will give them more of your money once you return. Again, it is stated in the contractual period. Remember I told you that they pay 80 percent and the other is held in reserve. After the period is over they can send an additional 10 to 15 percent. Maybe even more, but you have to make sure before entering into agreements with them.