Your Frequently Asked Questions
Have questions? You’re not alone — and we’re here to help. Below you’ll find answers to some of the most common questions we receive, so you can get the information you need quickly and confidently.
Frequently Asked Questions
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What is factoring?
Factoring is a financial tool you can use to maximize your cash flow. Great Plains will buy your outstanding invoices and turn them into a positive checkbook balance. We charge a low fixed fee with no monthly minimums, so you get your cash faster.
What is the difference between recourse and non-recourse factoring?
Recourse factoring typically suits larger trucking companies that can assume customer credit risk. This program includes lower fees and a financial reserve. Non-recourse factoring lets Great Plains assume credit responsibility. While the factoring fee may run higher, there is no reserve held by Great Plains until the invoice is paid. Non-recourse factoring is ideal for a trucking company operating one to five trucks.
What are Great Plains factoring fees?
Great Plains factoring fees are based on the monthly volume of invoices you factor, the average number of days it takes your customers to pay, and the type of factoring program chosen, recourse or non-recourse.
How long does it take to get paid?
Great Plains offers ACH transfers (direct deposit) within 24 hours after the purchase of invoices at no extra charge. That means it’s for FREE! We also offer same-day wire transfers for a low fee.
Do I have to factor all of my invoices?
You are not required to factor all your customers with Great Plains. However, we do require that once a customer's account has been factored, that customer continues to be a factored account. If all open invoices are paid, you may request that your client be released, and you are free to self-bill that customer moving forward.
Does Great Plains have a monthly minimum?
There are NO monthly minimums with Great Plains!
How long does it take to get set up with Great Plains?
Funding can begin in as little as 24-48 hours after submitting a completed application and factoring agreement to Great Plains!
How do I know if my customers are credit-worthy?
Great Plains offers our clients unlimited 24/7 access to our online customer search engine. Our clients are also more than welcome to call and talk to any member of our credit team.
What paperwork will Great Plains require when purchasing my invoices?
Great Plains will require your trucking company's invoice, the broker's rate confirmation, if applicable, all signed proof of delivery and bill of lading, and any accessory paperwork required by the customer to pay the invoice.
Will Great Plains require original proof of delivery to purchase invoices?
Great Plains only requires original proof of delivery to purchase invoices if your customer requires original proof of delivery to pay your invoices.
I am a new trucking company. Can I factor with Great Plains?
Though Great Plains does require you to operate under your own operating authority, we do work with brand new trucking companies every day! Need operating authority? Contact our Authority Department today!
Are there set up fees with Great Plains?
The only fee(s) associated with an account are those taken when funding an invoice.
Does Great Plains have a fuel card?
Great Plains is a reseller of the EFS FTS Discount Fuel Card. Call us today for more information.
Is it a lengthy process to sign up?
The most time in our factoring setup is spent discussing the tailor-made program designed to ensure factoring is right for you. The process involves simply filling out the application, completing factoring documents, and getting final approval.
How long does approval take?
The approval process may take 1-7 business days until first funding. After approval, funding usually occurs within 24 hours.
I am a new business without much history. Is factoring right for me?
If you are a new business faced with a large customer concentration demand, factoring may be perfect for you. In some cases, it may be the competitive edge you need! By factoring, you have the cash available to pay operational costs and supply the customer continuously.
How will my customers be treated?
This is a common concern heard by Great Plains. Great Plains becomes an extension of your company and treats your customers as such. As you know, it is of the utmost importance to treat customers with courtesy and respect. Please feel free to contact our client references to answer this question or for additional information.
Does Great Plains compete with banks?
We provide factoring services, something a bank does not typically provide. We provide a product that complements a bank’s lending services. We become partners whose common goal is helping our mutual clients.
What are the requirements for factoring?
Each business is unique and different requirements may arise. The factoring process puts more emphasis on your customer’s ability to pay. Factoring requirements are reviewed on a case-by-case basis.
What if my company had a financial loss last year?
The bank may not be able to help when faced with a financial loss. That’s where we come in. Great Plains looks at your business processes and the customer’s ability to pay.
Is it expensive to factor?
Typically, you will find that factoring is more expensive than traditional funding sources. But as factoring demand increases, the cost of factoring is decreasing. The additional services Great Plains provides, such as accounts receivable credit and collections management, reduce the cost of extra employees and time.
Is factoring a loan?
In the strictest sense of the word, it is not. You do not incur additional debt. You actually make use of an asset — accounts receivable.
Are there issues that can lengthen the application process?
Felony convictions, federal tax liens, active bankruptcies, SBA loans, and numerous company shareholders are topics to be discussed prior to the application process.
Is factoring relevant for both invoicing to businesses and individuals?
The factoring industry is a “business to business” industry servicing only invoices billing other businesses.
