Leaders constantly balance two goals: building strong client relationships and keeping their business stable.
This balance gets tested when customers like Fortune 100 companies ask for longer payment terms.
The Fed’s rate hikes this year have constricted financial liquidity for businesses. Many shippers rely on bank loans, so when the Fed rates increase, they grapple with higher bills, straining their budgets.
To handle these money pressures, shippers are thinking differently. Some propose longer payment terms, from the usual 30-day cycle to 60 or even 90 days. This shift can help their bottom line, making their financial reports look better or allowing them to make better offers to their clients.
For brokers, it’s about tactful negotiation. They aim to keep clients happy and close. But they also need to watch their company’s financial well-being. Striking the right balance is an essential skill. Read the entire article here:
https://www.denim.com/blog/how-to-navigate-shippers-extending-freight-payment-terms
Leave a Reply