Trending in Logistics Industry

Trending in Logistics Industry

Trending in Logistics Industry

Published Aug 2 

Trending in Logistics Industry

The verbal regulation in logistics industry there are several turbulence forces that reshape the trending way the organizations think about technology, conduct business, and look to the future.

This is, of course, true for the logistics industry where market trends are impacting the sector to a great degree. From new technologies to explore and take advantage of, to shifting regulations that require new strategies and tactics to ensure compliance, logistics companies must stay plugged into new and emerging trends to stay at the bleeding edge and remain competitive. The below are the list of trending segments of the logistics industries.

Automation: This concept is not fully in vogue but the creative idea of of a fully automated truck or car is definitely in the works. This will be a slow transition: it started with a simple cruise control option, it is starting to evolve into a truck that can stay centered in the lane and stay far enough away from surrounding cars, and will eventually turn into a truck that does not need a driver at all.

RFID: means Radio-frequency Identity (RFID) and this revolves around the application to internet shapes. chips have promised to provide real-time tracking information. However, while many OFD (out-for-delivery) companies have invested a lot of money in RFID, they have yet to see a real ROI from the technology. RFID in logistics has potential particularly in route optimization, and the real-time tracking of goods. When effectively integrated, RFID systems can provide precise location and quantity data in real-time. For instance, tagging trucks, pallets, and inventory provides multi-lateral views of what is happening across the supply chain.

Omnichannel: Ecommerce have played an important role in revolutionizing the logistics industry today, creating a heavy reliance on omnichannel logistic services and data driven solutions. More and more logistic companies will be focusing their attention on implementing more tools to obtain big data that will create a more successful supply chain while increasing consumer satisfaction. There is a variety of innovation in this particular area that will continue to change the way logistic companies handle day to day operations.

Technology: Technology give shape to a new industrial revolution to every industry with unavoidable transitions. For the logistics and transportation industry in particular, the evolution of technology will continue to greatly impact every way of doing business in supply chain management. Here are some of the biggest technological advancements impacting the logistics and transportation industry today:

Employee Shortage: The logistics industry is bracing itself for the highly anticipated continuation of labor shortages. Unfortunately, finding enough qualified applicants to work in this diverse and complex industry has been difficult since the recession. Some of the key strategies logistic companies are already starting to implement to combat this unavoidable issue consist of: developing built in succession and talent pipeline programs, creating structured paths for advancement for high potential workers, creating a variety of training programs.

Sustainability Movement: The time for paying fines and penalties for not transitioning with government regulations is nearing, so starting this transition now can only benefit a logistic company. Increasing government regulations surrounding sustainability and green friendly practices around the world are shifting the way business is done in every industry. Unfortunately, this will be an expensive and tedious venture for many logistic companies, but with a growing concern for climate change, it is simply inevitable. There are a variety of natural gas powered vehicles being produced today, and even major transportation companies like Penske are staying ahead of the industry by implementing these vital eco-friendly practices early.

Comparing the Logistics Loan

Logistics loans revolves around funding source, interest rates and applicable loans documents. The diagram below stipulates what to consider before working up to a financial institution or local bank to apply for logistics loans.

Types Rates Terms Funding Bank 6–10%3–7 years14–30 daysSBA6–10%3–7 years10–30 days Line of Credit5–15%1–3 years7–30 daysFactoring1–20%1 years7 daysAlternative6–25%1–5 years5–7 days Cash Advance1.16–1.553–24 months1–3 days

Logistics Bank Loans

Lines of credit and term loans offered by local banks, credit union and community lenders is the most common methods of applying for logistics loan. Financing can be used for a wide range of uses including acquisitions, refinancing, purchases, working capital, making payroll, helping to you expand your company and just about any business use.

Havelet Finance Limited unlike other traditional lenders accepts 2% interest rate for loans in the logistics company.

SBA Loans for Logistics Business

SBA loans for mostly logistics business offer terms up to 25 years depending on use, and have rates very similar to conventional loans. In fact, SBA loans are simply loans provided by banks in which the government agrees to backstop their losses if the logistics company fails to repay the lender.

Alternative Loans for logistics Industry

There are quite a number of similarities associated with Alternative loans and convectional loans both rates are calculated based on APR and not on factoring rates.

Other than that the similarities end, because alternative loans are much faster than bank loans, and require much less documentation, cash-flow and credit history. Loans can be approved within minutes and funding can take place in less than a week.

Cash Advances for Logistics Industry

Cash advance is bane for funding the logistics industry. While much more expensive than bank loans and alternative lender, the process takes only a day or two with minimal documentation needed.

Alternative Source of Financing for the Logistics Industry

The rise of technology gave room for manufacturing of some traditional vehicles. This is mostly the reasons why logistics industry have become the mainstay in economic development globally.

The alternative source of financing the logistics industry can be discuss below.

Asset finance, Small business loans, Unsecured loans, Invoice finance,

At Havelet Finance Limited, we are confident in our ability to reach a solution that works for your business, and your unique needs. If you already know what type of finance you’re looking for, or if you’d like to learn more about the options available to you, contact us We will be happy to put our years of experience to good use.

Logistics Business; Financing and Loan for the Industry.

One of the most competitive industries in global economy is The logistics and transportation industry. This is because Financing a logistics business is most relatively low costs and regulatory stipulation importantly on the basis that associated with the industry.

Transportation and logistics industry is associated with logisticians that examine harmonize company’s supply chain; due to difficulties associated with the logistics industry, logisticians median pay is around $74,000 per year. Overall, the logistics industry has remained steady with slow growth of around 2 percent in the past few years. In 2015, the United States logistics and transportation industry reached $1.48 trillion in revenue, accounting for 8 percent of the annual gross domestic product (GDP). These overwhelming numbers have continued in 2016, with expectations of 2017 looking positive.

Havelet Finance Limited offer long-term financing and loans for the establishment, or modernization of logistics and transportation business world-wide. We also refinance an existing logistics company.

The logistics and transportation industry remain the major player in the global economy today, however there are major subsectors of the logistics industry that contribute to the positive growth. These subsectors include:

Trucking: The most common and popular category of the logistics industry is trucking. Over 10.5 billion tons of freight being moved via this category of logistics. It relatively concede cargo to be transferred over short and medium distances throughout the global ports.

Maritime: The maritime category for the logistics industry accounts for most of the international goods transportation. Maritime shipment includes carriers, seaports, terminals, and labor involved for movement of goods and cargo.

Air and Express Delivery Services: Through this method, express and international delivery services are delivered. Logistic companies can offer expedited and time sensitive transportation for a variety of items. Air and express delivery services are an $82 billion industry that tends to benefit small and medium sized businesses that cannot afford to handle their supply chain needs alone.

Freight Rail: This category is another fast way of transporting goods and services all through the globe. This method of transportation for goods averages around 5 million tons of goods for almost every single industrial, retail, and resource based industry.

Today in the global world, logistics industry remains topnotch within the spheres of economic development of a nation. Movements of valuable resources and agricultural produce around world would be considered emergency in the absent of logistics industry. The entire industry has seen some set backs from the recent global recession, but has been quick to recover, especially by adapting to vital trends that are reshaping the logistics industry today.


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