• Tread Talk

Know The Difference Between Non-Recourse vs. Recourse Factoring

Updated: Mar 16, 2020

Would you make an investment in something without knowing what it is?

If your answer is no, keep reading to understand the difference between your investment in non-recourse vs. recourse factoring.

If you answer is yes, well … good luck.

The obvious question - WHAT is freight factoring?

YOU want to get PAID and WE want to HELP!

Freight factoring turns your invoices into cash to get you paid immediately. The services eliminate the wait time for brokers and shippers to pay you for delivering loads. Instead, selling your invoices to a factor company like us at Porter Billing Services, you’ll have access to cash within 24 hours. It’s a win-win solution.

There are two types of freight factoring: recourse and non-recourse. It is important to know the difference before getting involved in any program.


  • The factoring company ACCEPTS ALL RISK when brokers or shippers don’t pay on time OR go out of business.

  • No reserve held - You receive 100% of your money up front.

  • If you do your job, your fleet won’t be charged back


  • The factoring company will collect payment back from the carrier if the shipper or broker doesn’t pay

  • The factoring company will hold a portion of your funding in reserve until the customer pays

  • Your fleet is responsible for collecting if the shipper or broker doesn’t pay in the allotted time

We work closely with trucking companies and owner operators to give you the best freight factoring services you’ll need. With Porter Billing Services, if your wheels are turnin’, you’re earnin’!

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