Just a simple thought, but did anybody ever think that MAYBE ASE is having problems getting paid from people they haul freight for, thus interrupting their cash flow?I dont see that problem there, from the point my checks are good and always on time, all the time.
Ya know Guido, that is certainly not MY problem. If they want to extend credit to non and sloooooow payers, then that's THEIR business. But the contract states 30 days.
What's the problem here. They pay slow. You know it, they know it, sooo...keep em on the bottom of YOUR food chain. Run a few loads for them only when it is convenient for YOU, when it is extremely profitable for YOU, put it in the pipeline, and go about the other 97% of your business. As has been typed before.....no reason to complicate the simple. The main reason why many small businesses fail, is they are extremely inflexable in their ability to deal with the dynamics of business itseff.
That is certainly true for us, and that is where we stand. Sustainability is not the issue here. We can handle the delay to some point. But why should we? Why should we float them for four months while they rob Peter to pay Paul. They certainly make sure that we hold to OUR end of the contract. But they breach theirs without consequence?
"Long time paying"??? What's that got to do with anything???
This is most certainly a valid thread. The reason I mentioned it was that this is an intelligent, well-informed community of owner operators. It is important that they get the whole perspective, whether they are desiring to lease equipment and services, or partner. He asked for criticism. I brought it.
By the way, as for having the highest credit ratings in the industry, as of today, ITS Credit Stop show All-State with an "F" rating (it must stand for FANTASTIC), 106 average days to pay, and an open complaint for non-payment.
NOTE: An open ended non-payment complaint can exist for many reasons.
1. Insurance claim on a load,
2. Carrier dropped the ball substantially and broker decided not to pay,
3. The carrier has since been paid but failed to update their file,
4. Broker has not paid as of yet. (I believe the load must be 60 days + in order to file a claim.
Recently, I saw where E-1 had a complaint, so it could be anything. However, E-1 still pays in 30-35 days.
Two theories: Cash flow problem. This is something most of us face right now and I am no exception. I have to stay on top of that everyday. But it still plays into the financial viability. Nations had the same problem. Next thing you know, Amerijet was buying half the company.
Secondly, if they really DO have the cash, then it speaks into their ethical viability. Ignoring contracts, just to let it earn a little longer in the bank.
ASE is basically acting like the White House right now. When you have no logical facts to stand on, just blame your critics.
