FreightRover just launched a $500 million financing facility for advancing supply chain and factoring operations nationwide. But what does that actually mean? And why is it important?

Through our affiliate partner Rover180, we have taken a new approach to factoring and supply chain finance. Traditional programs are subject to extensive bank regulation compliance, which limits options and adoption. Rover180’s program provides an alternative by not impacting a buyer’s balance sheet or requiring Unified Commercial Code-1 (UCC-1) filings.

Rover180’s accelerated receivables model is unique in design and application. The supply chain finance program focuses on improving a buyer’s working capital. It consolidates all supplier payments into one monthly payee and annual 1099, extends the days to pay until after goods are sold, and has the benefit of no financing fees. It also supports supplier liquidity by offering flexible receivable terms, payment in as little as 24 hours, and ACH direct deposits.

Rover180’s factoring is just as simple and efficient. With low rates and no extra charge for same-day pay, factoring is stress-free. There are no reserves or holdbacks and the entire process is mobile friendly. Through FreightRover and Rover180’s partnership, factoring carriers also gain access to discounts on fuel and over-the-road medical care. There is instant carrier, payor and invoice approval, and like supply chain finance, vendors can receive same-day pay via ACH deposit. (Questions about factoring?)

This is a big deal for businesses across America. Among top US companies, average days to pay suppliers sits at 57, a number growing annually. This trend negatively impacts smaller suppliers who often struggle with cash flow, especially in the capital-intensive transportation industry. FreightRover and Rover180’s program helps companies extend pay terms to improve working capital while still supporting the liquidity needs of their valuable supplier base.

FreightRover’s technology for invoicing and straight-through payment processing powers this new facility that creates about $50 billion a year of funding capacity.

FreightRover’s partnership with Rover180 signifies a new, faster, more efficient way to manage your pay. Everyone benefits, from buyers and shippers to carriers and other suppliers, and there’s something for everyone, whether you’re working with factoring or supply chain financing. The future is looking bright, and FreightRover and Rover180 are leading the way.