Freightworld

Agree that they are one of the earlier brokers out there. Concerning that they are still on the stance of pay when paid ... they should have healthy enough retained earnings there after that much time.
 
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bubba-one said:
Yes they pay when they get paid, need to keep on them, anywhere from 45-75 days
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personal opinion and rant to follow.....

That seems to be an ongoing issue with a lot of companies now... I never understood how this was every acceptable in any industry, let alone transportation. Maybe more companies need to leverage a past-due interest charge after 30 days. Sad state of affairs when some companies can't even manage their cashflow let alone freight.

People need pay damn bills on time, or they need pay a financial institution for a LOC that allows you to remit on time. Don't expect carriers to be your bank for free, so many companies in this industry offer up free lines of credit without understanding the impact.
 
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theman said:
Agree that they are one of the earlier brokers out there. Concerning that they are still on the stance of pay when paid ... they should have healthy enough retained earnings there after that much time.
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Hit the nail directly on the head....
 
In my opinion, one of the primary advantages of brokers and why carriers would want to deal with them is because dealing with a lot of shippers gets terms longer than 30 days. Smaller carriers in particular are never cash rich, and enjoy the quicker pay of a broker and even take the quick-pay option which gives extra profit to the broker.

Listen, these are an older bunch there and they haven't really grown much for a long time. I'd be surprised if they weren't looking for an exit plan. Maybe they have some good clients, don't know.
 
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theman said:
In my opinion, one of the primary advantages of brokers and why carriers would want to deal with them is because dealing with a lot of shippers gets terms longer than 30 days. Smaller carriers in particular are never cash rich, and enjoy the quicker pay of a broker and even take the quick-pay option which gives extra profit to the broker.

Listen, these are an older bunch there and they haven't really grown much for a long time. I'd be surprised if they weren't looking for an exit plan. Maybe they have some good clients, don't know.
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The first part is one of the reasons brokerages exist.

CH can accept 90-120 day terms with XYZ company. But Joe with 5 trucks has monthly bills to pay and needs the cashflow.

I can't imagine ever taking a load from these guys. Only getting paid IF they get paid? That's not how this works. I picked up and delivered the load, with clean BOL's. Contract is between me and you, not the shipper.
 
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I am not defending or justifying slow payment by any means. Our firm pays our carriers regardless of when or even if we get paid. However, a strict interpretation of the trust account provision of the Ontario Highway Traffic Act states that Ontario freight brokers must operate a trust account. All funds received from a shipper or consignee shall be placed into that trust account for distribution to the carrier who performed the transport. So until the funds are actually received and placed into the trust account, there are technically no funds to pay the carrier. Carriers should ask any broker they plan on dealing with just how strictly they abide by the HTA trust account provision, before they haul a load.
 
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loaders said:
I am not defending or justifying slow payment by any means. Our firm pays their carriers regardless of when or even if we get paid. However, a strict interpretation of the trust account provision of the Ontario Highway Traffic Act states that Ontario freight brokers must operate a trust account. All funds received from a shipper or consignee shall be placed into that trust account for distribution to the carrier who performed the transport. So until the funds are actually received and placed into the trust account, there are technically no funds to pay the carrier. Carriers should ask any broker they plan on dealing with just how strictly they abide by the HTA trust account provision, before they haul a load.
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Agreed, question is how many Canadian Brokerages actually have a Trust account? is there a resource we can use to verify if one does and how much is in it?
 
The only way to verify if a broker operates a trust account is to ask them, or inspect their cheques to see if the words “in trust” appear on the face of their cheques. No, there is no way, nor should there be, for anyone to be able to see the contents of someone’s bank account, regardless if it is a trust account or otherwise. The best course of action is to spell out on your credit agreement that your terms are 30, or whatever days regardless if the shipper/consignee has paid the broker or not.
 
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loaders said:
The only way to verify if a broker operates a trust account is to ask them, or inspect their cheques to see if the words “in trust” appear on the face of their cheques. No, there is no way, nor should there be, for anyone to be able to see the contents of someone’s bank account, regardless if it is a trust account or otherwise. The best course of action is to spell out on your credit agreement that your terms are 30, or whatever days regardless if the shipper/consignee has paid the broker or not.
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I have worked with a 120+ brokers so far and not one cheque had a "In trust" on them LOL. There should be a database for Brokers that have Trust accounts. That's one step the MTO can implement to curb this BS.
 
Those of us who have been in this business long enough, can remember all sorts of steps the MTO has taken to police/regulate the freight brokerage industry. Intermediary licenses, Load Broker Certificates, Provincial surety bonds and now only the trust fund remains. I think what we can read into this is that the MTO are not at all interested being in the business of assuring or guaranteeing the creditworthiness of anyone. That job rests solely with whoever is dealing with the freight broker.
 
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Anybodys have the paperworks for this or know who the trustee is for this guy?

Thanks you
 
As of October 22, 2024, there has not been any bankruptcy filings. Unless someone actually has a copy of the creditor list, one must assume that they have simply packed up and headed home. Normally, I would say send me a PM and lets see if we can get you some money; however, my experience with this board is there is never any interest in pursuing the debtor, etc.
 
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SCAM CHASER said:
As of October 22, 2024, there has not been any bankruptcy filings. Unless someone actually has a copy of the creditor list, one must assume that they have simply packed up and headed home. Normally, I would say send me a PM and lets see if we can get you some money; however, my experience with this board is there is never any interest in pursuing the debtor, etc.
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That is really amazing. How many posts do we see, pretty much almost daily, all complaining about non payment? Some lamenting the fact that the debtor is many, many months past due and yet the creditor has done nothing to recoup their lost money, except for making a few angry phone calls. If you have a legitimate, properly documented, delinquent invoice, why not use an experienced paralegal to help get your funds? Yes, there will be a cost involved, but isn’t getting some of your money back better than getting none of it? Surprised to hear that ScamChaser.
 
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Google their name and it comes back "Permanently Closed". Perhaps they settled up all outstanding invoices as no one on InsideTransport has reported them owing money.
 
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