How does having to leave loads of money sitting idle, supposedly help the maintenance and depreciation budget or in fact do anything to help the balance sheet ?.Let alone making it a credit liability against your house instead.
The fact that a factoring arrangement for late bad debt won’t suffice as a substitute for the TC is precisely my point.
Instead of which they prefer to push the new start operation into a financial black hole before it even turns a wheel.
No one starts up a haulage operation with the intention of being parked up burning through their savings or worse credit facility to pay the standing costs of an unused truck.Bollox indeed.
As already stated, it does not need to be cash money “sitting idle”
Again, as already stated, you do not need to risk your house just to get the Financial Standing
Yet again, not only is this nonsensical idea not appropriate, but a new operator would not have an customers indebted to him
The FS just needs to be AVAILABLE, it isn’t “being used up”
- Are you you appropriately qualified to be someone’s transport manager, having passed the requisite exams to obtain a TM-CPC in road haulage?
- Have you ever been approved by the TC to be the nominated transport manager on someone’s O-licence?
- Have you ever guided a new operator from start to finish through the process of getting a licence?
I’ll bet my right arm the answer to all of those is “No”.
So why do you feel qualified to opine on what OP would require to get up and running? You simply do not understand the system, even when it has been spelled out to you.
Statutory Document No. 2 - Finance
Applying for an O-licence
With all those qualifications Zac you could obviously provide a specific case study example as to how a credit arrangement, to meet the O licence financial standing requirement, could possibly be obtained without providing the lender with collateral security.
Or why such a credit agreement wouldn’t by implication put your property equity at risk anyway regardless ?.
Exactly what type of situation would require any need to utilise such a reserve without any income having been earned and/or owed by your debtors to cover all and any liabities owed to your creditors to date ?.
Assuming you need to use that reserve you obviously then no longer meet your financial standing requirement so you have to close down the operation at that point anyway.
So obviously then no way of meeting your liabilities including the money now owed to your financial standing credit provider.
Do you have a personal credit card? Probably yes
Did you need to provide collateral to get it? No, you didn’t
Owner driver wanting one vehicle has a personal credit card with a clear balance of £8k: FS sorted, no risk to his house/home
What’s so hard to understand about that?
A personal credit card ain’t the same thing as a business credit facility and using a credit card for such a purpose is just going to add to any financial business problems not solve them.
So tell us exactly what scenario would mean income not more than meeting outgoings on the balance sheet and by definition all income will be in arrears to a greater or lesser extent.
As I said alleviated by factoring as and when needed.Not by taking on board debt to cover it.
While if anyone does use this enforced O licencing financial black hole they not only now have an unserviced debt around their neck, they have to close down anyway because they obviously no longer meet the financial standing requirement.
FFS Carryfast, why do you feel the need to reinforce everyone’s opinion, of your absolute ignorance, by arguing with qualified, expert and knowledgeable people?
I’m going to assume you have a genuine issue of “being on the spectrum”, as the expression goes. Why else whould you continue to pretend you know what you are talking about when it is clear you do not?
It is common for an owner-driver to use a personal credit card to meet his Financial Standing.
I think you will find you are either in or out when it comes to factoring.
No finance supplier is going to allow you use of their services ad hoc for the invoices you choose, it is either all or nothing.
As has been mentioned previously any invoice the factor is unable to recover for whatever reason they will look to you for recompense.
So that’s where he is, I knew it wasn’t on the planet. 
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Qualified expert opinion.That says you have to factor every invoice, not just selectively as required, the factor will chase you for any resulting bad debts, and you should guarantee any resulting business cash flow issues with your personal credit card, that opinion.
The idea that you have to factor every invoice, even those that have been paid before they can be or need to be, submitted for factoring, is as realistic as as not submitting it for factoring clearly on the terms of without recourse.You do know what that term means ?.
Sorry CF cba to argue with you. Your business / finance expertise is obviously better than any one else on here.
You crack on and have a look at some factoring t&c’s. and then you may wake up and smell the coffee.
By the way that last post of yours is pure alphabet soup.
When somebody is beaten, the best way to deal with it is to basically admit you are wrong, and shut tf up.
Keeping digging your own grave,.and plugging away on a lost cause, keeping on blagging it by making out you actualky know what you are talking about, arguing points that have already been proven to be wrong by those who actually DO know the score, just makes you look silly and totally desperate …and for what?..just for the last word.
Just saying like.
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Here’s one for you, Carryfast. Lots of wheels and dog trailer, you could be a European wide mud carter, factoring all your invoices. 
Or the OP can take the TC’s and your advice and not use factoring ( without recourse ) and take on personal credit ( debt ) to fix business financial problems, which either way means your personal property is on the line.
In this case all to keep a tipper on the road running around the houses.
Anyone would think it was me who’d signed away my parents’ house to keep the zb TC happy.
Can’t tell the difference between credit and debt…
How many times does it have to be said, a credit card is not a risk to personal property such as your house. Once again clearly illustrating an extra-terrestrial approach to understanding the world around us.
Giveit a rest Carryfast, you’re just making a fool of yourself.
You couldn’t even get a start as an employee, so now you’re making up excuses for not becoming a road transport barron.
O/P can take MY advice ?
Yeah you are right he should.
My advice was…
‘Dont even think about it’.
(You obviously read something else though, …apparently.
Or saw what you wanted to see in order to make your point.
Thanks for the replies. I have sat back and read what you’ve said. In my current job I’m on shift which alternates between days and nights. From reading I think it’s a pipe dream. I lived my whole life around trucks weather it was running fruit and veg with my grandad into London ( old Bedford TK), across Europe with my dad or taking the odd one out as I do now.
For the one man band setting up in an established area you can’t compete with established firms. I have even spoke to a couple of friends that get hauliers in to move plant. I know what they charge and I know I couldn’t do it that cheap. I wouldn’t say I’m poor but I wouldn’t have the financial backing also. Kudos to those that are.