The transportation industry — especially trucking — is one of the hardest sectors to finance. Many lenders see trucking companies as high-risk due to fluctuating fuel costs, insurance expenses, driver turnover, and economic cycles that affect freight demand. As a result, business owners often find themselves pushed toward expensive alternative financing options instead of traditional bank loans.

The Fed held interest rates at 7.5% for nine months, but a 0.25% cut is expected due to a weakening economy.

The Federal Reserve made a key move for the first time in terms of interest rate cuts since the outbreak of the hyper-inflationary period following the Covid-19 pandemic.

The Federal Reserve has announced that interest rate cuts are on the horizon in Q4 2024. What does this means for small business credit rates?

Powell just said that interest rates are ‘likely to be higher’ than previously expected. To combat runaway inflation the Fed continues to raise interest rates. Restoring price stability means that monetary policy will be tightening for the foreseeable future.

‘Best’ is a relative term. The act of a financial institution lending money means that they must take into account ‘risk’. The cost of the financing is actually an interpretation of the risk that the lender is gauging, based on the credit worthiness of the borrower/applicant.